BRITISH American Tobacco (M) Bhd lauds the Malaysian Government for indicating that it will legalise nicotine vapour products.
The only cigarette manufacturer listed on Bursa Malaysia is referring to the announcement made by Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz during the tabling of Budget 2022 that excise duty will be levied on nicotine-based gel or liquid products for vapes and electronic cigarettes.
“The introduction of excise duty for nicotine vapour products is a step in the right direction for tobacco harm reduction in Malaysia,” BAT Malaysia’s managing director Nedal Salem pointed out in a media statement.
“Regulation will not only allow vape users access to reduced-risk alternatives to smoking but also ensure the products used are compliant to quality and safety standards.”
Moreover, Nedal said such regulatory measure runs parallel with BAT Malaysia’s motto of wanting to build “A Better Tomorrow” by reducing the health impact of its business vis-à-vis the creation of multi-stakeholder value.
“However, BAT Malaysia is of the opinion that any taxation framework for reduced-risk products must be well considered and encourage switching from traditional cigarettes and not drive consumers to cheap, unregulated black market alternatives,” stressed Nedal.
“If not, the mistakes of high tobacco excise rates will be repeated where currently the Government loses RM5 bil annually.”
Aside from nicotine vapour products, the Government also plans to broaden the scope of excise duty to also include premixed sugary drinks made from chocolate, malt, coffee and tea in the quest to drive a healthier lifestyle among Malaysians. – Oct 30, 2021
