To avoid a future European Union prohibition on flavor-infused heated tobacco goods, major tobacco companies, notably British American Tobacco, are offering heat sticks produced from nicotine-infused materials like rooibos tea.
Health professionals caution that while the sticks represent a novel technique to inhale the addictive substance, it is not yet apparent if they are safe.
To prevent the emission of hazardous chemicals during combustion, the tobacco sector has been making "heat-not-burn" sticks for a long time.
Due to growing health consciousness and high taxes in some countries, traditional cigarettes are no longer as popular as they once were. These "lowered-risk" products, which are heated in a machine, have aided in reversing this trend.
British American Tobacco (BAT) is currently taking things a step further by releasing a version of its products in nine European nations, including Germany and Greece, that uses nicotine-infused Rooibos tea in place of tobacco. The firm intends to market its goods globally.
BAT noted in a statement that the decision gives adult smokers and nicotine users access to the greatest variety of low-risk products.
Researchers cautioned, however, that there might be hazards connected to breathing the tea that are not yet known.
Erikas Simonavicius, a research associate of King's College London, said anything that burns or is vaporized and absorbed into the lungs will probably have some impact.
Simonavicius stated that tobacco corporations have not yet released any studies examining the potential health effects of rooibos or other zero-tobacco products.
BAT, the first major tobacco company to disclose the ingredients in their zero-tobacco sticks, declined to confirm whether such a study had been done.
Competitor Philip Morris International (PMI) said on an investor day in September that it will begin selling zero-tobacco sticks later this year.
It declined to disclose the ingredients in the products or talk about any potential health risks.
CEO of PMI, Jacek Olczak, stated to shareholders that the company's zero-tobacco sticks might not be subject to the same regulatory oversight as tobacco products.
BAT said that the present EU tobacco regulations do not apply to its zero-tobacco sticks.
So even after the bloc's imposition of a ban on flavor-infused heated tobacco products later this month, it can continue to offer rooibos sticks in flavors like tropical fruit and peppermint.
According to Jefferies analyst Owen Bennett, the key advantage of the new products should be providing a way to maintain the availability of menthol and flavor varieties in the EU market.
Competitive companies Imperial Brands and Japan Tobacco International refused to comment on whether or not they would introduce zero-tobacco sticks.
Bennett of Jefferies and Phil Gorham, a senior stock analyst for Morningstar, opined that the regulatory benefits that these products currently enjoy are not likely to endure for very long. In the coming years, the EU is either overdue for new tobacco directives or expects them. He said that nicotine will be the focus of the upcoming regulatory wave.
According to Fabienne Diekmann, an attorney representing the companies, several smaller tea stick distributors in Germany are already engaged in a legal dispute with the government over whether or not their goods are subject to the country's current tobacco tax regulations.
Regulation needed
Cigarettes continue to be the primary source of income for tobacco corporations. In over 170 markets throughout the world, BAT, for instance, distributes brands like Dunhill, Camel, and Lucky Strike, all of which have strict regulations and tariffs.
Although the new product is exempt from EU tobacco taxes, BAT's rooibos heat sticks are offered in Germany on the company's official heated tobacco site for 5.80 euros ($6.11), the same price as the majority of its flavor-infused heat sticks. This might result in a larger profit margin.
Heated tobacco products will be taxed at a minimum of 20% of the retail cost throughout the European Union, while national governments are allowed to impose higher rates.
In order to prevent them from tempting more individuals to use nicotine, researchers said it was crucial to offer smokers a wide range of alternatives that were also carefully regulated.
The tobacco industry claims that its substitute products are intended for smokers rather than people who do not consume nicotine at present.