In the last months, Estonia has undertaken a process to try to control cross-border trade and the smuggling market of vaping products, re-admitting the use of menthol flavor and with the proposal to suspend excise duties on liquids with and without nicotine for two years.

As reported in an opinion of Nicorex Baltic OÜ on the Tobacco Act and the Alcohol, Tobacco, Fuel and Electricity Excise Duty Act Amendment: ‘the black market for e-cigarettes is very large and completely disproportionate to the share of the legal market. The main reasons for the emergence of a large-scale black market are the very high rate of excise duty and the ban on flavored e-liquids. Due to the ban on flavors, consumers import e-liquids from neighboring countries and buy on the black market, where flavored e-liquids are available in finished form but are uncontrolled and potentially dangerous.’
A partial removal of the flavor ban, in force since June 2019, was approved a few months ago by the Estonia Parliament: from May 2020, with the New Tobacco Act, the use of menthol flavor in electronic cigarettes, should be allowed. We have to use the verb ‘should’ because currently the new Act applies but the Estonian Authority suggests waiting before taking any actions: right now it is in the hands of chancellor of justice who will give her assessment whether or not the adoption was done correctly and will it stay as it is or should it be cancelled.

An amendment on Alcohol, Tobacco, Fuel and Electricity Excise Duty Act is currently under discussion: the bill, that will be presented at the beginning of July, provides for the suspension of the collection of excise duty on tobacco liquids for two years. The changes are scheduled to take effect on December 1, 2020 and they would apply to nicotine and nicotine free e-liquids.

The amendment can be changed by June: stay in touch for the latest updates!