Russian President Vladimir Putin has signed a law on comprehensive regulation of the tobacco market. The document that regulates the production, turnover and import of tobacco and nicotine-containing products into the country has been published on the official legal portal. The explanatory note to the document states that the basis for the model of regulation of the tobacco market is the system of state regulation and control of the alcohol market.
The law, which comes into force on September 1, 2023, provides for licensing activities in the field of tobacco production and turnover, establishes requirements for equipment for the production of such products, and also provides for the regulation of turnover using the "Honest Mark" labeling system.
In addition, the document contains provisions on state regulation of prices for tobacco and nicotine—containing products - the government will set a minimum price for the retail market.
All the requirements of the law apply, including to electronic cigarettes.
The law on state regulation of the alcohol market has been in force in Russia since July 2016. Since then, retailers have been required to record in the Unified State Automated Information System for accounting for the volume of production and turnover of ethyl alcohol, alcoholic and alcohol-containing products (EGAIS) not only the acceptance of goods from wholesalers, but also all retail sales to consumers through cash registers.
Some requirements of the law will come into force later. So, from July 1, 2025, it will be prohibited to place the main technological equipment that is not owned, managed or managed by the manufacturer in warehouses and production facilities of the corresponding products and raw materials. Licensing is provided both for those who are engaged in the production of nicotine-containing products, and for those who import and store them.
In order to prevent the illegal release of tobacco products, the law introduces mandatory state registration of equipment for their production. The types of such equipment will be determined by the government. In the absence of a license for the production of such goods, the equipment must be mothballed under the supervision of the federal control and supervision authority, the measure will enter into force on March 1, 2024.
It will be possible to use the equipment again only after its deconservation — also under the supervision of supervisory authorities. The law also defines what is the basis for the suppression of illegal production and trafficking of tobacco products and raw materials for it. From the same date, regulations related to the prohibition of the sale of nicotine-containing products below the minimum price, which will be determined by the Cabinet of Ministers, will come into effect.
Earlier, the government also proposed to introduce criminal liability for the production and sale of tobacco products without a license. Now the relevant bill is being discussed in the State Duma. If it is adopted, the maximum penalty for manufacturers and suppliers of counterfeit goods will be three years in prison. It is assumed that it will enter into force simultaneously with the law signed today — from September 1, 2023.
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