MVCC highlighted that the vape industry in Malaysia is expanding, providing job opportunities and attracting foreign direct investment. Photo credit: Ahmed Robin, Pexels.
The Malaysian Vape Chamber of Commerce (MVCC) is warning that regulations under the Control of Smoking Products for Public Health Act 2024 (Act 852) could lead to major economic and public health repercussions. Free Malaysia Today (FMT) reports MVCC is also recommending that the government implement its "overly prohibitive" vaping measures in stages.
Earlier this month, health minister Dzulkefly Ahmad announced that regulations are expected to be enforced in August. These measures may include plain packaging and prohibiting the display of vape products. MVCC secretary-general Ridhwan Rosli warned that such a move will "kill the industry" and destabilize the market.
“The industry, which currently employs 31,500 workers, including a significant portion of Bumiputeras, could see severe job losses and a decline in its economic footprint,” he said. “To date, industry players have been left in the dark due to the lack of clarity from the government. How exactly will these regulations work? If these regulations come into effect, no one in the industry will be prepared, and the
MVCC’s Malaysian Vape Industry Research 2023 found that the vape industry was valued at RM3.48 billion (US$747.17 million) last year, up 53% from RM2.27 billion (US$487.38 million) in 2019. Market research firm Grand View Research reported that the global vape market was valued at about US$12.41 billion (RM57.91 billion) in 2019 and is expected to grow to around US$182.84 billion (RM853.39 billion) by 2030, with a compound annual growth rate of 30.6%.
Ridhwan Rosli highlighted that the vape industry in Malaysia is expanding, providing job opportunities and attracting foreign direct investment. “Globally, multinational companies have already made substantial investments in the (vape) industry, driven by its growth potential and increasing global demand,” he said. “With better regulations, Malaysia can fully capitalize on these FDI opportunities. Malaysia should proactively engage with industry players and get our input so that clear and better regulations (for the vape industry) can be established to fully capitalize on FDI opportunities.