PETALING JAYA: The Finance Ministry must allocate half of the revenue collected from taxes on nicotine and non-nicotine vape liquids to the Health Ministry to support public health initiatives aimed at combating the rising use of e-cigarettes among youth, says Southeast Asia Tobacco Control Alliance (Seatca), based in Bangkok.
Seatca welcomed the enforcement of the Control of Smoking Products for Public Health Act 2024 (Act 852), which came into effect on Tuesday (Oct 1).
The Act aims to ban the sale and purchase of tobacco products, smoking materials and tobacco substitutes, including vape products, to minors.
In a statement, Seatca's coordinator for Malaysia, Tan Yen Lian, noted that from June 2021 to June 2024, the revenue generated from excise taxes on vape liquids amounted to RM141.1mil.
While this figure is modest compared to an industry valued at RM3.5bil, allocating at least RM70mil from this tax revenue to the Health Ministry could fund effective interventions to prevent and control the use of recreational nicotine products.
"A significant budget is needed to implement effective public awareness programs to mitigate the harms of e-cigarette use. For example, this year, the Australian government launched an AUD 63mil (RM182mil) public awareness campaign targeting youth at risk of using e-cigarettes," she added.
Tan emphasised the urgency for the Finance Ministry to fulfill its commitment. "The 2025 Budget announcement is approaching in Malaysia. Since the Finance Ministry has not increased tobacco taxes for the past nine years, allowing the nicotine industry to flourish, it is high time to raise taxes on the tobacco industry as a tangible measure to protect youth."
Seatca's call to action highlights the necessity for sustained financial support for public health initiatives to address the growing challenge of e-cigarette use among youth. Tan noted that since the law was gazetted in February this year, importers, manufacturers and distributors of tobacco products—including e-cigarettes, nicotine liquids and gels—have had ample time to prepare for regulation.
As of Tuesday, they have an additional six months to register with the Health Director-General.
She urged the Health Ministry to enforce the deadline specified in the law to protect children from the lifelong consequences of nicotine addiction, cautioning against yielding to industry tactics and pressure that could delay implementation.
