Five reasons for the Middle East to become the world's fourth largest consumer of electronic cigarettes market!

On September 12, U.S. President Trump announced that his government will plan to ban seasoning e-cigarettes after a series of health events related to vaping.(There is no conclusive evidence that e-cigarettes are the cause of health events.). Mr Trump told reporters vaping was a "new problem", especially for teenagers.

American Minster of health said the FDA will finalize a plan to remove all non-tobacco-flavored products from the market. Michegan became the first state in the United States this month to ban flavored electronic cigarettes. Mr Azar said he would distribute new guidelines on e-cigarettes to the FDA in a few weeks.

The editors believe that the Trump administration is showing concern for the safety and health of the nation as the United States enters the election season, even if there is no definitive evidence that e-cigarettes cause these diseases. In the politically correct general direction, The FDA is largely committed to stricter regulation.

Coupled with the high cost of previous PMTA applications, the US e-cigarette market can already judge that it will shrink significantly in a short period of time. We expect that the corresponding lobbying force will begin to become active, and it is not yet possible to predict when the relatively friendly policy will return.
Under this kind of market environment in the United States, many electronic tobacco companies are now concerned about how to disperse market risks, where the emerging market is, and how to open up new markets. The European and Southeast Asian markets will receive more attention from e-tobacco companies. At the same time, emerging market forces will be more noticeable. The spillover power of the market will be highlighted. The competition for the emerging market will become more fierce, and the layout of each company will be greatly advanced.

A large number of e-cigarette manufacturers and brands have already focused on the Middle East e-cigarette market with great consumer potential. At present, the market is very growing. Since the history of the region is a large tobacco user, fruit flavors plus mint e-cigarettes are even more popular.
So is the Middle East e-cigarette market the next big opportunity? The answer is yes! Following North America(Mexico, United States, Canada ...), Europe(United Kingdom, Germany, France, Italy ...), Asia(Korea, Japan, China, Indonesia, Malaysia ...), The Middle East will become the world's fourth largest electronic tobacco consumer market. Now we analyze from five aspects: e-smoking policy, consumption level, consumption habits, geographical location, and promotion of giants.

1, e-smoke policy
Policy has a direct impact on an industry. The same goes for electronic cigarettes. If a country is severely prohibited and severely suppressed, the market will be greatly affected. Such as Malaysia, Thailand, etc., and now the United States.
Malaysia, before the popularity of electronic cigarettes, the Malaysian government has been frantically suppressed. Remember that at the end of 2013, the market was very hot. The Malaysian government used administrative orders to intervene in the electronic tobacco market. At that time, major media and television reported large-scale negative news or even false news. The electronic cigarette market was quickly affected. Great impact!

More than a year later, more people bought e-cigarettes. On November 5, 2015, the Ministry of Health of Malaysia launched a lightning crackdown on electronic cigarettes. It raided more than 300 electronic tobacco stores throughout the country at night, seized electronic cigarettes and tobacco products, and treated e-tobacco practitioners as criminals! A moment of panic, the market is freezing. In the later period, various interests were entangled and compromised. After the legalization of e-cigarettes, the Malaysian e-tobacco market was considered to be the golden period of development.
In this regard, Thai electronic tobacco control is stricter! Electronic cigarettes can not be bought or sold, nor can they be used or carried. In the territory, carrying, buying, selling and using electronic cigarettes is all illegal in law.

Carrying and using electronic cigarettes, up to 5 years imprisonment, 500,000 baht(100,000 yuan) fine; Import, export and sale of electronic cigarettes, up to 10 years imprisonment.
Before 2019, it is also illegal to sell e-cigarettes in Dubai; In April 2019, the UAE Government consumer watchdog, the UAE Standardization and Metrology Authority(ESMA), confirmed the new regulations for e-cigarettes: as long as manufacturers produce e-cigarettes that meet the new standards, and carry health warnings similar to cigarette packaging on product packaging, Then you can legally sell electronic tobacco products.
UAE.S 5030, the UAE e-cigarette compliance standard, is based on international practice and is based on the World Health Organization(WHO) standard framework. The regulations include the sale of e-cigarettes, e-pipes, e-hookah rehydration devices, and the regulation of imports, manufacturing, sales, and packaging. It also covers PMI's heating non-combustion equipment IQOS and other non-thermal combustion tobacco products.
The legalization of e-cigarettes in the United Arab Emirates is a good news for e-cigarettes lovers, especially in tourist destinations such as Dubai. The lifting of the ban is very convenient for foreign tourists; The change in policy has huge business opportunities for manufacturers and retailers alike.

2, consumption level
In general, income and demand are positively correlated, that is, the higher the income, the greater the demand for goods, because higher income represents higher purchasing power and ability to pay, and demand is constrained by the ability to pay.
When it comes to consumption levels, there is absolutely no need to worry. Because when it comes to local cities, many people think of Dubai in the United Arab Emirates. Many Chinese will also choose Dubai when they travel. I want to see what it's like, the country of the earth.

Dubai Khalifa tower, sailing hotel, etc., jongyu carved walls, gorgeous, was once known as the desert miracle city. Every day, it attracts a large number of tourists and comes to sightseeing. Finance, retail, travel, shipping, transportation, and real estate are the main economic pillars. The world's largest Dubai mall is even more expensive, attracting tourists from all over the world.
Dubai's per capita income is US$ 7,6752. There are also reports that Dubai's poor people's standard monthly income is generally no less than that of 2wandilamu. 1dilamu is equivalent to RMB 1.93. From this we can intuitively feel the pride of the country!

3, consumption habits
With policy support and high consumption, do locals in the United Arab Emirates and the Middle East smoke? Do you smoke a lot?
According to WHO data, in the United Arab Emirates, which has a population of about 10 million, the smoking rate in the United Arab Emirates is as high as 25 % to 30 % for men and 0.7 % for women. The average UAE adult smokes 583 cigarettes a year, ranking 82nd in the world.
The traditional tobacco market and trade are very active. Many religious people have a very large demand for tobacco tools. Local tobacco products are basically imported.
Especially local people are fond of absorbent smoke, and water smoke often becomes a leisure and social method. It's all over the street. At sunset, or in a smokehouse, bar, or lounge, these places are crowded with people who enjoy a pleasant time. The unique fragrance of smoky fruit tastes even won the favor of many women.

From the social elite to the general public, regardless of the youth and old age, they are immersed in it.
As a new type of tobacco, especially fruit flavor plus Mint, plus ice, to a large extent also conforms to the preferences of smokers in the Middle East, and electronic cigarettes are easier to carry than water cigarettes, thus raising the consumer boom of electronic cigarettes.
Now that the electronic cigarette market has been legalized, a large number of consumers have switched to electronic cigarettes or heating non-burning products. Recent data show that the Middle East e-cigarette market is growing extremely fast.

4, geographical location
Located in the middle of the Middle East, Dubai has a strong geographical advantage. The area is 4,114 square kilometers, accounting for 5.8 % of the total area of the United Arab Emirates, ranking second after the country's area relay Abu Dhabi. The population is 3.1 million(April 2018), accounting for about 41.9 % of the country's population, and it is the most populous city.
Coupled with a free and open market environment, Dubai is the economic and financial center of the Middle East and the main transportation hub for passengers and goods in the Middle East. Oil revenues contributed to the early development of Dubai, but due to limited reserves and low production levels, the oil industry only accounted for less than 5 % of Dubai's GDP after 2010. The economy is now heavily dependent on tourism, retail, aviation, real estate and financial services.
As the first country in the Middle East to legalize e-cigarettes, Dubai is expected to become a logistics center and wholesale center for the Middle East e-cigarette market based on its geographical position and policy support.

20 March 20-22, Dubai Electronic Tobacco Show Organizer WAYJOY said that next May is Dubai's first half of the procurement peak season, in order to meet the needs of Eid products consumption, we expect to usher in the procurement peak season in early May. Around May 10, local channels will begin large-scale distribution and preparations for the retail sale of Eid.
Due to the fact that the Middle East electronic market is still relatively in a period of brutal growth, laws and regulations have gradually improved. According to authoritative statistics, the sales of the Middle East electronic tobacco market have reached US$ 400 to 600 million. Local dealers in Dubai expect sales to triple to the present level, if the law and regulations are fully implemented.
For electronic tobacco companies, the Middle East electronic tobacco market is a huge business opportunity, is to spread risk and open up an important place for overseas business. Open up the Middle East market only in a hurry, not after the people!

5, giant push
According to public information, Fimo International's IQOS heating non-combustion products have entered the Dubai market and are sold in Dubai's International Airport duty-free shops, commercial supermarkets, supermarket chains and other channels; And carry out strong advertising at Dubai Airport.
The e-smoke public number understands that IQOS has obtained ESMA certification and is currently the only ESMA certified product in the Middle East market.
According to WAYJOY, the organizer of the Dubai Electronic Tobacco Exhibition on March 20-22, 2020, the ESMA authorities have designated three international certification bodies, SGS, RACS and TUV, to be responsible for product certification.

In addition to Femo International, JUL, British American Tobacco, etc. are also vigorously expanding the local market. Now the entire Middle East market, the product is mainly small cigarettes, including disposable small cigarettes, open small cigarettes, small cigarettes. The main brands are STIG-VGOD, VAPERESSO, SMOK, MYLE, TUGBOAT and so on.
Currently in Dubai, tobacco supplies and tobacco oils are included in the control for tobacco standards, the use of regional controls is consistent with tobacco, shopping centers, medical facilities, schools and other regions prohibit the use of e-cigarettes. The editor reminds all friends to pay attention to Oh, 2000dilamu's fine is not worth mentioning, but the equivalent of RMB is close to 4,000 yuan, not a small number.

Conclusion
According to the above stated, the ban on electronic tobacco market in the United States will bring different effects to the electronic tobacco market in various regions of the world. All electronic tobacco companies are facing huge market pressure, and it is urgent to find new alternative markets!
Especially in the Middle East electronic tobacco market relative blank period, the first to enter the market will have a huge first-mover advantage, the first step to establish a brand, establish channels, so as to reap the early dividends of the development of the industry, laid the market foundation in one fell swoop.
The first truly Middle East Electronic Tobacco Exhibition will be held at the Dubai Festival City Intercontinental Convention and Exhibition Center on March 20-22, 2020. This will be beneficial to promote the rapid development of the Middle East e-smoke market. When the wind comes, who is prepared early and who will meet the challenges of the future will be more leisurely.