You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

September 4, 2024

Indonesia Imposes Stringent Requirements on Electronic Cigarettes

Government Regulation No. 28 of 2024 (“GR No. 28”) was issued on July 26, 2024, to implement Law No. 17 of 2023 on Health (the “Omnibus Health Law”). GR No. 28 contains extensive provisions on tobacco products and electronic cigarettes in an effort to reduce the health risks associated with addictive substances, decrease the prevalence of smokers, and prevent the initiation of smoking among beginners in Indonesia.

The Indonesian FDA (known as “BPOM”) is working to implement the relevant provisions in GR No. 28 and has subsequently issued a draft regulation on the control and distribution of tobacco products and electronic cigarettes. This draft regulation is set to replace current BPOM Regulation No. 41 of 2013, which only covered tobacco products. The new draft regulation, however, also incorporates rules on electronic cigarettes.

This article outlines some of the measures on electronic cigarettes contained in GR No. 28 and the draft implementing regulation, focusing particularly on testing and reporting requirements, sale and pack size requirements, and labeling and advertising requirements.

Testing and Reporting

The draft regulation requires that each variant of electronic cigarettes produced or imported be tested for nicotine content. These tests must be conducted in an accredited laboratory, and the results must be reported to BPOM.

The use of additive materials is prohibited unless they have been proven safe for public health. To enforce this, electronic cigarettes must be tested for the presence of prohibited additives before they are distributed. Additionally, a verification of the content of prohibited additives must be conducted during the distribution period, with the testing and verification being carried out in different laboratories. The results of both tests (i.e., the pre-distribution test and the subsequent verification) must be reported to BPOM.

Sale and Pack Size

GR No. 28 prohibits the sale of electronic cigarettes:

  • Via self-service machines;
  • To individuals under the age of 21 (an increase over the previous minimum age of 18 years old) or to pregnant women;
  • In locations near entrance and exit doors or in high-traffic areas;
  • Within 200 meters of children’s educational facilities or playgrounds; and
  • Through web services, commercial electronic applications, or social media platforms without age verification.

GR No. 28 also establishes pack size requirements for electronic cigarettes. For closed-system or single-use cartridge electronic cigarettes, the liquid nicotine content must not exceed 2 mL per cartridge, and each package cannot contain more than two cartridges. For open-system or refillable electronic cigarettes, liquid nicotine must be sold in 10-milliliter or 20-milliliter containers. For solid electronic cigarettes, there must be 20 sticks per pack.

Labeling

Electronic cigarette labels are required to display health warnings in both text and image format, providing educational information about the risks of smoking. These health warnings must be printed on the package surface as an integral part of the packaging. There are five different required warnings for each variant of electronic cigarette. Each of the five warnings must be equally displayed on all of the electronic cigarette packs for each variant.

The health warning text and images must be displayed on all sizes of electronic cigarette packages. Each package must show one type of health warning, which cannot be obscured by anything else. The warning must meet the following criteria:

  • The warning must be displayed on the top portion of the package (horizontal orientation), on both the front and back, covering 50% of the surface area;
  • The packaging must include the word “warning” in yellow text that stands out clearly on a black background;
  • The image must be printed in color; and
  • The font must be Arial Bold, proportional to the package size, with yellow text on a black background.

The draft regulation also requires electronic cigarette labels to include the following information:

  • A statement that the product contains nicotine;
  • A statement that the product is prohibited from being sold or provided to individuals under the age of 21 or to pregnant women; and
  • The production code; date, month, and year of production; and the name and address of the manufacturer.

The label must not contain any misleading information or sign or any promotional wording.

Advertising

GR No. 28 stipulates extensive advertising requirements for electronic cigarettes. Advertising on digital-based social media platforms is prohibited. GR No. 28 also specifies requirements for advertisements placed on websites and commercial electronic applications. requirements for advertisements at point-of-sale locations and via outdoor media, print media, and broadcasting media.

Advertisements on websites or commercial electronic applications:

  • Must include a health warning and a statement prohibiting the sale or provision of electronic cigarettes to individuals under the age of 21 and to pregnant women;
  • Must not illustrate or suggest that using electronic cigarettes offers health benefits;
  • Must not use misleading words or phrases or encourage the consumption of electronic cigarettes,
  • Must not depict the use or display of electronic cigarettes or any references that could be associated with the brand;
  • Must not feature children, teenagers, or pregnant women in any pictures or text;
  • Must not target children, teenagers, or pregnant women;
  • Must not use cartoons or animation as advertising characters;
  • Must not contradict public norms;
  • Must implement age verification to limit access to those 21 years old and above.

Conclusion

Businesses operating in the electronic cigarette industry in Indonesia need to stay vigilant and proactive in response to these new regulatory requirements. Compliance will not only require adjustments in production, packaging, and marketing strategies but also proactive due diligence to avoid potential legal repercussions. Companies should consider conducting comprehensive audits of their current practices and seek legal counsel to ensure full compliance with the evolving regulatory landscape. By doing so, they can better navigate the complexities of these stringent regulations and mitigate risks that could impact their market presence and operational continuity.

RELATED INSIGHTS​ 

March 7, 2023
According to the Ministry of Health of Vietnam, many healthcare facilities in the country are facing a shortage of drugs, medical devices, and materials/chemicals. To address the urgent needs of medical examination and treatment in public healthcare facilities, on March 4, 2023, the government of Vietnam promulgated Resolution No. 30/NQ-CP on continuing to implement solutions to ensure the availability of drugs, medical equipment, and healthcare supplies (“Resolution 30”). Resolution 30 amends item 4 of Resolution No. 144/NQ-CP dated November 5, 2022, allowing medical examination and treatment expenses to continue to be covered by health insurance for technical services carried out with medical devices supplied by contractors after winning tenders to supply materials and chemicals. The new mechanism brings more benefit to patients by removing the previous ending date of November 5, 2023, and will be applicable until there is further guidance from the government. Resolution 30 also allows the use of medical devices that were donated or gifted by domestic and foreign entities (including those that were provided under now-expired joint ventures or cooperation contracts) regardless of whether those entities have fulfilled the procedures for ownership establishment. Technical services that are performed by such devices will be covered by health insurance. This provision will help address the shortage of medical devices used in public hospitals. The determination of bid price is also a highlight of Resolution 30, which pilots a simpler price determination procedure for the purchase of drugs and medical devices. Instead of requiring purchasers to obtain quotations from three suppliers, Resolution 30 allows them to compare prices based on the quotations actually received, even from only one or two suppliers. Alternatively, price determination can be based on the winning bid price for a similar medical device procurement package that was awarded within the last 120 days. This
March 1, 2023
In Cambodia, the Ministry of Commerce takes the lead on many consumer protection matters, issuing and enforcing regulations that contribute greatly to a fairer and more transparent legal framework. The regulations protect consumers while simultaneously creating a more a level playing field for businesses. On September 2, 2022, the ministry issued a new regulation concerning household chemical products. The regulation, named Prakas No. 192 on the Requirements for the Labeling of Household Chemical Products, is another big leap forward in light of the consumer protection framework that the Cambodian government has been rapidly updating in recent years. Interesting issues in the regulation include household chemical product classification, labeling and language requirements, product storage requirements, recall requirements, and obligations for companies engaging in business activities related to household chemicals. In addition, the regulation reminds household chemicals businesses operating online of the need to obtain additional e-commerce licensing. Cambodia’s consumer protection authority, the Consumer Protection, Competition and Fraud Repression Directorate-General—commonly known as the CCF—has already started to enforce the new regulation, as the three-month transition period under the regulation has now passed. Classifying and Defining Household Chemicals The regulation classifies household chemicals into three groups based on the product’s purpose—namely detergents, pesticides, and substances for home and garden protection. There is also a separate list of household chemicals identified as “chemicals not allowed for use in food.” This list is just a reminder, as existing legislation already prohibits the use of the identified chemicals in food. The regulation defines household chemicals as finished chemical products, or chemical additives to products, that can be harmful to health and that have one of the three purposes mentioned above. The regulation further states that the products are for use in “normal life,” such as in homes, workshops, or gardens, or for other public use.
February 28, 2023
Influencer marketing and the creation of sponsored content is an increasingly popular way for brands to reach their target audience. Although there is no universal definition of an “influencer,” the term is broadly used to describe people who are able to affect purchasing decisions of others through their relationship with their audience. In the context of social media and the creator economy, influencers are usually people with significant followings on platforms such as Instagram, TikTok, Twitch, or YouTube who are viewed as celebrities, opinion leaders, trendsetters, or experts in their respective field. Based on a study conducted by Nielsen in 2022, 80% of social media users in Asia who follow influencers are likely to purchase products recommended by the influencers. Brand owners should be aware of five key legal considerations when entering into influencer marketing agreements. 1. Making informed decisions through due diligence Every collaboration with an influencer is a business relationship. Brands must conduct thorough due diligence on potential influencers prior to engaging them. This may include deep dives into the individual’s old social media posts, as well as requests for disclosure of prior controversial incidents and existing brand associations. For example, a health and fitness brand may not want—for both legal and commercial reasons—to be publicly associated with an influencer who is a brand ambassador of electronic cigarettes, no matter how impressive the latter’s Instagram following or deadlift record is. Brands should also ensure that their influencer marketing agreements include relevant representations and warranties that the influencer has not and will not commit a crime or act in a way that may cause negative publicity for the brand. This may include racist, extremist, homophobic, violent, or misogynistic acts, or any other acts that are obscene or against public order. 2. Clearly defining the scope of engagement Brands
February 21, 2023
On December 28, 2022, the Ministry of Health of Laos issued Decision No. 3789/MOH on the Control of Hemp for Medication and Products (the “Decision”). The Decision approves the regulated cultivation, extraction, production, processing, storage, distribution, utilization, import-export, and transport of hemp. The Decision also authorizes the use of hemp and hemp-related products by the general population, although use of certain products is limited to those with medical prescriptions. Background In 2019, the Lao government established an ad hoc committee to consider the legalization of cannabis, as reported previously. The government permitted certain local companies to grow cannabis in specific zones under pilot programs, although it continued to strictly prohibit the use and commercialization, as well as consumption, of cannabis-related products, regardless of the level of psychoactive tetrahydrocannabinol (THC) in the products. Overview of the Decision The Decision was issued by the Ministry of Health (which led the ad hoc committee) and permits authorized companies to engage in certain activities involving the use of hemp and the consumption of hemp and hemp-related products. The Decision defines hemp (“porkeo” in Lao) as a “plant that belongs to the same family as ganja and bears the scientific name Cannabis Sativa L. (Cannabis sativa L. subsp. sativa var. sativa) which is a subspecies of ganja (Cannabis Sativa L.).” This definition aims at differentiating hemp from the general definition of ganja or marijuana, which continues to be listed as a prohibited narcotic in Laos. The Law on Narcotics (2007) and the Penal Code (2017) still prohibit the production, trade and use of all types of cannabis. These laws will need to be amended to ensure that they are aligned with changes set out in the Decision.  Authorized Hemp Activities The Decision allows approved companies to engage in the cultivation, extraction, production, processing, storage,