THE move to introduce excise duties should cover vape e-liquids with nicotine while the vape industry must be quickly regulated (including regulating standards for vape e-liquids with nicotine).
The Malaysian Vape Chamber of Commerce (MVCC) president Syed Azaudin Syed Ahmad said any taxation and regulation imposed should be holistic and take into account the current market situation.
“In the local market, more than 97% of the vape e-liquids sold contain nicotine with a similar trend seen in other countries,” he pointed out in a media statement. “However, there is still no taxation and regulation covering vape e-liquids with nicotine.”
Syed Azaudin further opined that if the tax is only implemented on non-nicotine liquids, the move would be an exercise in futility as it does not take into account industry and consumer needs.
Currently there are 1.12 million vapers in Malaysia, according to the National Health and Morbidity Survey 2019 conducted by the Ministry of Health.
MVCC estimates that there are 3,000 vape-related businesses, mainly operated by Bumiputera entrepreneurs employing up to 25,000 workers while the industry is worth more than RM2 bil annually.
“The vape industry in Malaysia is not small and there is a mature and large ecosystem involving manufacturers, importers and consumers,” explained Syed Azaudin.
“This is a fact that cannot be ignored. In view of this, the Government should quickly introduce a comprehensive set of regulations, including consumerism and product standards for vape e-liquids with nicotine.”.
According to him, many developed countries have introduced regulations for the vape industry, including consumerism and product standards for vape e-liquids with nicotine.
Countries such as UK, New Zealand and Canada have already acknowledged the role of vaping to help cigarette smokers quit smoking, which has been proven to be less harmful than smoking.
“These countries also have regulations that cover the industry and enable consumers to obtain products that adhere to standards that have been set,” justified Syed Azaudin.
“The vape industry urges the Government to re-evaluate these factors and introduce a comprehensive regulation and taxation regime for the industry,” said Syed Azauddin. – Dec 14, 2020