WHO may equal electronic cigarettes to usual. Part 2
Among other participants of the meeting were representatives of six WHO regions: countries from Africa, America, South-Eastern Asia, West Mediterranean and Western part of Pacific Ocean. Participants have declared that electronic cigarettes "will be considered tobacco products according to FCTC" if they contain nicotine received from tobacco leaves. Such formulation may be costly for majority of manufacturers of electronic cigarettes: main part of them produces liquid nicotine from tobacco leaves. In such case they may face ban on advertising, restriction of smoking places and tax burden that are applied on usual cigarettes.
Potentially it may stop fast market growth. Annual sales of electronic cigarettes have increased from 20 million in 2008 to 3 billion in 2013 according to the data of Canaccord Genuity analysts. The Wall Sreet Journal has estimated entire world tobacco market of 800 billion USD. Such growth has already attracted major tobacco companies: all of them have already launched or are developing electronic smoking devices. At the end of previous year Philip Morris has declared that in the middle of 2014 will start production of electronic cigarettes: this market has more opportunities for growth managers of the Company explained. In June 2013 British American Tobacco has launched sales of electronic cigarettes on Britain market, but in August player number 4 in tobacco world, Imperial Tobacco, has declared about plans to launch their own device for smoking in 2014.
Toughening the requirements to advertising electronic smoking devices from the part of FCTC may become critical point for quickly growing branch, experts recognize. "It may affect opportunity of attracting new consumers", - considers Shane McGill, Euromonitor branch analyst. WHO as international organization has huge weight and influences perception of products all over the world, says Sanjiv Desai, the main consultant of VMR Products that produces electronic cigarettes. "We cannot dismiss social perception and influence that any WHO decision will have on electronic cigarettes" - Desai declared.