Tue, 26 Nov 2024

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DHIVEHI

Licence mandatory for tobacco trade: Health Ministry

21 Nov 2024

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Juman Anwar

Photo: Social Media

The Ministry of Health announced today the implementation of significant amendments to the Tobacco Control Act, introducing stricter regulations for the sale, import, and distribution of tobacco products.

The updated law came into force on 15 November. In the recent announcement made today, the Ministry mandates that all businesses involved in the tobacco trade must now obtain a valid licence issued by the Ministry of Health.

In addition to a business permit, a special licence is now required for activities such as importing, exporting, and selling tobacco products, whether in bulk or individually. The Ministry is required to draft separate regulations setting out the licensing process within 60 days of the law’s enactment. Once these regulations are finalised, businesses will have a limited period to comply, after which any tobacco trade without proper licensing will be deemed illegal.

Penalties for non-compliance are substantial. Fines range from MVR 1,000 to MVR 1,000,000, with harsher penalties for offences such as smuggling, unauthorised sales, fraud, or violations of packaging and labelling requirements. In cases of serious violations, fines could reach ten times the total taxes and fees payable. Licences may also be revoked for breaches of the law, further deterring unlawful activities.

The amended Act also bans the use and distribution of vaping devices from 15 December. Importers face a fine of MVR 50,000, and up to MVR 10,000 per device. Retailers will be fined MVR 20,000, and unauthorised distribution, including giveaways, will incur MVR 10,000 fines. Similarly, using vaping devices will result in a MVR 5,000 fine, while selling or distributing them to minors will carry a penalty of MVR 50,000.

In another significant change, the minimum legal age for purchasing tobacco products has been raised from 18 to 21. Stricter penalties for smoking in prohibited areas have also been introduced.

The Government’s broader efforts to reduce tobacco consumption include an increase in import duties on tobacco products as well.

These measures are the first amendments to the Tobacco Control Act since 2010, reflecting the Government's commitment to tackling public health concerns related to tobacco use through stricter regulations, higher penalties, and awareness efforts.

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