With the topsy-turvy the world is witnessing regarding Brexit, every one awaits the final result of the different business and trading deals that will be fixed in regard of the incident of divorce of UK from European Union. There will be massive changes in the policies of trading between the EU and Britain, which will affect a wide number of industries and sectors economically. But one industry that will show constancy in terms of sales and stature or even grow gradually is the nicotine industry. This includes the e-cigarettes and tobacco industry. Even in tumultuous times, this is one of the industries that promise not to falter but prosper instead.
Vaping has shown a promising growth in sales since it has been considered by the PHE(Public Health England) as a successful cessation to smoking. Tobacco has been observed as an ultimate recession-proof product. The greater world has seen many ups and downs in the economy, the greatest falls in the US stocks but these mishaps could not affect tobacco shares. Tobacco products’ sales decrease with each year due to campaigns all over the world regarding the health issues and deaths caused by tobacco. But tobacco companies levy extra tax with the marginal rise in price of the products to do with the decreasing sales every year. The business plan is fool proof; hence the tobacco industry stays rigid in its profit margin. In UK, smoking costs the economy a ransom amount of money. Though UK has a target of making itself smoke-free by 2030, the recent intimacy of the PM with the tobacco firm will not affect the existence of the market.
The e-cigarette industry has shown to be prominent since the last decade when different clinical studies have declared vaping as much less harm causing and positive compared to tobacco. Many tobacco companies are shifting to production of vapes considering the reason that it is the next trending unbeatable product to sell. E-cigarettes regulation in Europe are governed by a body called Tobacco Products Directive and they have imposed many limitations like vape tank capacities, nicotine concentration, bottle sizes and even advertisements on vape products.
The UK vape industry on the other hand is a fully fledged safe industry which encourages smokers to shift from smoking tobacco to vaping. This industry is flourishing day by day giving the number of customers it is attracting. After Brexit happens finally, the UK government has considered looking over the policies of TPD and if they abolish them, the sales in the vaping industry will see growth on a global scale. UK has a thriving industry of vapes with consumers free to access different products. It comes second in the world just after USA, the first vaping industry in the world. The revision of the tobacco control and regulations is tending to be of great importance given the aim of ‘Smoke Free Britain’ by 2030. The government will try to persuade all the smokers into vaping. Tobacco or vape industry is an industry of much importance and will hold a strong policy when the Brexit finally comes out. The UK government will definitely amend the terms of TPD and relax it more, applying some limitations on the sale of products of vape.
Reference: Shake and Vape website