UK Independent Electronic Cigarette Trading Association: One Time Share Reaches £ 670 Million in 2022, Ban Brings Uncertainty

UK Independent Electronic Cigarette Trading Association: One time share reaches £ 670 million in 2022, ban brings uncertainty

 

 

At the IBVTA24 forum, the management manager of IBVTA gave a speech, sharing the growth data of the UK disposable e-cigarette market and discussing the dynamics and compliance issues of the market.

 

Recently, the Independent Electronic Cigarette Trading Association (IBVTA) in the UK successfully held the IBVTA 24 Forum at the Birmingham Convention Centre. This forum brings together numerous industry experts, policy makers, and representatives from regulatory and law enforcement agencies.

At the forum, Liam Humberstone, the Managing Director of the UK Independent Electronic Cigarette Trading Association and a member of the British Standards Institution (BSI), gave a speech, sharing growth data on the UK disposable e-cigarette market and discussing market dynamics and compliance issues. Two to two Firsts as live audience members, summarize their speech content and viewpoints as follows.

Humberstone's speech venue | Image source: 2Firsts

 

The sales revenue of disposable electronic cigarettes in 2022 reached 670 million pounds

 

Humberstone pointed out that the disposable electronic cigarette market has experienced significant growth in the past few years.

 

He shared market data on disposable e-cigarettes in the UK with the audience, showcasing the sales growth of disposable e-cigarettes, refills, and refills in recent years.

Drawing: 2Firsts | Data Source: Liam Humberstone Speech

Humberstone's speech content | Image source: 2Firsts

 

These data indicate that from 2020 to 2022, sales of disposable electronic cigarettes increased from £ 10.6 million to £ 671 million, and sales of e-liquids and cartridges also showed a significant upward trend. Humberstone believes that the rapid growth of refilling e-liquid and refilling cartridges means an increase in the usage time of electronic cigarettes and more choices for consumers.

 

Meanwhile, Humberstone mentioned the dynamics of the disposable electronic cigarette market and the market performance of competing brands in recent years.

 

During the period of 2020 to 2021, GEEKBAR achieved significant growth in the market due to its unique taste and high sweetness smoke, making it a "trend" product.
In late spring 2021, the ELFBAR brand entered the market with sufficient supply and continued to grow for a period of time.
Entering 2022, disposable electronic cigarettes have further consolidated their market position. The launch of the LOST MARY brand attracted attention in the market and surpassed ELFBAR that year.
In the same year, the SKE Crystal brand also entered the market at the end of the year, providing consumers with more product choices.

Humberstone's speech content | Image source: 2Firsts

 

The ban on disposable electronic cigarettes brings uncertainty to the market

 

Humberstone pointed out in his speech that despite the wide variety of pre filled e-cigarette products on the market, the ban on disposable electronic cigarettes announced by the UK government has brought additional uncertainty to the market, making some innovative products no longer feasible.

 

On the same day as his speech, Huw Iranka Davies, Deputy Minister for Climate Change and Rural Affairs and Cabinet Secretary for Wales, confirmed in a written statement that the Environmental Protection (Disposable Electronic Cigarettes) (Wales) Regulations 2024 will come into effect next year. It is reported that the newly revised regulations will ban the use of disposable electronic cigarettes from June 2025, aiming to address plastic pollution and reduce environmental harm.

 

Humberstone stated that the tobacco and e-cigarette laws may have restrictive effects on non professional retailers, while tax policies stuck in the draft stage may have adverse effects on the legal market, while inadvertently fueling black market activity, especially in the 10ml e-liquid market.

 

At the specific regulatory level, Humberstone stated that the 2016 Tobacco Products Regulation (TRPR 2016) sets clear limits on the nicotine concentration, cartridge volume, and refill container specifications of electronic cigarettes, and requires refill liquids to have child protection, tamper proof functions, and flow control or docking systems. However, these regulations are uncertain and lack clarity, posing challenges to law enforcement and legitimate supply chains, and may involve expensive legal fees in practical operations.

Humberstone's speech content | Image source: 2Firsts

 

In the face of this regulatory environment, Humberstone mentioned in his speech that some brands adopt a "market opportunism" strategy, violating UK regulations through cash transactions and informal market sales to gain a competitive advantage. When he mentioned this in his speech PPT, he showcased brands such as GEEKBAR, HAYATI, ELUX, and FUMOT.

Humberstone's speech content | Image source: 2Firsts

 

They even import these products from regions without a 2ml e-liquid restriction, and the market needs more sustainable products to cope, "Humberstone said at the end of his speech.