In June 2024, the Kyrgyz parliament handed a regulation banning e-cigarettes set to take impact on July 1, 2025, pending the president’s signature. Deputies Shairbek Tashiev and Alisher Kozuev launched the invoice with the objective of safeguarding younger folks’s well being. Nonetheless, some stakeholders within the “tobacco dialogue” query the efficacy of this method. Notably, solely vapes are banned by the regulation, whereas IQOS – a line of heated tobacco merchandise manufactured by Philip Morris Worldwide – have been excluded.
The affect of varied foyer teams in Kyrgyzstan is well-documented, with a whole bunch of articles, journalistic investigations, tutorial research, and NGO analyses out there on-line. In recent times, a number of legislative modifications have raised public concern and debate about lobbying within the nation.
In 2020, Kyrgyzstan’s parliament handed a controversial law permitting the parallel design and building of high-rise residential buildings and public services. Deputies had reviewed the identical amendments in 2016 and 2017, however they have been rejected. On the time, civil activists held peaceful protests towards the modifications, with critics alleging that the amendments would allow building to start with out official paperwork – design or survey work, for instance – and finally result in unsafe building.
The next yr, in 2021, deputies accredited a bill to establish a particular playing zone in Issyk-Kul, which was signed into regulation by President Sadyr Japarov in 2022. However the story didn’t finish there. On October 30, 2024, deputies swiftly handed amendments to the “Legislation on Playing Actions of the Kyrgyz Republic,” proposed by the Cupboard of Ministers. The brand new amendments now enable casinos to be established inside authorities buildings.
The banking foyer has additionally drawn consideration. The Civic Platform Public released an evaluation in 2020 addressing proposed amendments to legal guidelines governing the Nationwide Financial institution’s operations, indicating important lobbying efforts by monetary stakeholders.
Freedom of the press is one other vital space of concern. In December 2023, a draft regulation on media was launched in parliament. Human rights activists and attorneys warned that the regulation, some sections of which have been reportedly plagiarized from Russian sources, may severely limit press freedom. In January 2024, a number of editorial workplaces have been searched and practically a dozen journalists have been arrested. Prison instances have been opened towards the information company 24.kg and 11 journalists who all both presently or previously labored for Temirov Dwell have been placed on trial. On October 10, two of the journalists have been sentenced to jail time – six and 5 years – whereas two others got three-year probation sentences. Individually, in September Kyrgyzstan’s Supreme Courtroom upheld a decrease court docket’s determination February to liquidate Kloop Media.
The tobacco foyer, although much less seen, additionally wields affect. Main tobacco business gamers are believed to have direct entry to sure parliamentarians, a degree raised publicly by Deputy Dastan Bekeshev, who highlighted their impression on legislative selections.
It Makes No Sense to Ban, It Makes Sense to Regulate
Bekeshev, who opposed the ban, argued that excise taxes on e-cigarettes can be more practical than prohibition, given challenges in enforcement. He cited Kazakhstan’s expertise. Comparable bans in Kyrgyzstan’s northern neighbor have resulted in an increase in smuggling and gross sales via casual channels like messaging apps. He additionally highlighted a current incident involving a police officer’s alleged extortion of a teenager utilizing e-cigarettes. Bekeshev fears extra incidents of this nature, together with elevated corruption potential if a ban is enforced.
The regulation consists of important penalties for violations. Fines for people utilizing vapes are set at 10,000 soms ($116), and for authorized entities, 60,000 soms ($700). Promoting vapes may result in fines of fifty,000 soms ($582) for people and 65,000 soms ($760) for authorized entities. Importing vapes would carry a penalty of 150,000-200,000 soms ($1,750-$2,330) or one to 2 years of imprisonment.
Bekeshev voiced issues over the disparity in fines, noting, “20,000 soms for gentle medicine, and 40,000 for vapes?”
This potential for corruption, notably involving youth, was echoed by Deputy Elvira Surabaldieva, who acknowledged that giant fines may result in bribery: “In the event that they catch a smoking teenager, they could demand: ‘Give me 20,000, or face a 40,000 positive,’ creating fertile floor for corruption.”
Oversight of the ban’s enforcement stays unsure. Sardar Mayrykov, government director of the OPORA Affiliation, which promotes options and options inside the framework of hurt discount for alcohol and tobacco-related points, steered that accountability may fall to the Ministry of Inner Affairs. With a year-long transition interval for suppliers, Mayrykov expects the time might be used to finalize and coordinate enforcement mechanisms and related rules.
New Corruption Feeder for the Safety Forces
Below the present Tax Code charges, excise taxes on tobacco merchandise (together with vapes) are projected to generate $78.3 million (about 6.97 billion soms) for Kyrgyzstan’s price range this yr. From January to June 2024, excise taxes on tobacco merchandise imported from Eurasian Financial Union (EAEU) member states contributed 2.53 billion soms. In response to Customs Service knowledge, Kyrgyzstan imported $3.37 million in vapes and associated merchandise within the first half of 2024, barely exceeding the $3.35 million imported all through 2023. China has been the leading supplier over the previous 2.5 years, accounting for 78 % ($6.6 million) of vape imports, adopted by South Korea ($1 million) and Malaysia ($0.6 million), with the UAE and Thailand trailing behind.
Following the brand new regulation’s implementation in 2025, Kyrgyzstan’s price range may lose roughly 300-400 million soms ($3.5-4.7 million) yearly. Banning authorized vape gross sales may broaden the shadow market, probably resulting in elevated availability of low-quality merchandise, an increase in tobacco smoking charges, and a discount in authorities income.
As Ulukbek Turdubekov, a consultant of the Worldwide Enterprise Council of Kyrgyzstan, emphasised, making an allowance for the rise in excise tax by 15 % yearly, the quantity misplaced would solely enhance. He careworn that if IQOS have been banned, the price range would lose 3-4 occasions extra. In response to his forecasts, the cash coming into the price range by way of excise taxes presently will, after the regulation goes into impact, go into the pockets of customs officers, because it was earlier than the regulation started to control the vape enterprise.
Turdubekov outlined two probably eventualities post-ban: both the vape business will shut down fully, or income will circulation via customs “informally,” citing Kazakhstan’s expertise the place the vaping market stays largely unlawful and the ban solely heightened this challenge.
The invoice, nonetheless, seems to comprise favorable provisions for main gamers. Notably, it permits manufacturing and exporting e-cigarettes, enabling corporations to proceed manufacturing in Kyrgyzstan for worldwide markets. As an illustration, in March 2024, Cupboard Chairman Akylbek Japarov visited the Center Asia Tobacco plant in Tokmok, which manufactures tobacco merchandise, together with e-cigarettes. The plant, which goals to create 2,000 jobs with a $500 million funding, plans to export to China, Asia, and Arab nations – a notable determination provided that China is the first vape provider to Kyrgyzstan.
In June, one other legislative transfer sparked debate. Parliamentarian Marlen Mamataliev proposed amendments to permit e-cigarette manufacturing within the Bishkek Free Financial Zone, offering preferential circumstances to 2 corporations. This led Deputy Surabaldieva to boost issues about favoritism, arguing that if defending youth is the precedence, such exemptions undermine that objective.
“It looks like opponents have been pushed out, leaving two corporations in a privileged place. This seems to be a blatant lobbying effort that bypasses honest competitors,” she remarked.
Kyrgyzstan Violates WTO guidelines?
Turdubekov expressed skepticism concerning the declare that corporations will restrict manufacturing to exports solely.
“It appears somebody is attempting to monopolize the market to regulate manufacturing, gross sales, and export of e-cigarettes. This can be a blatant violation of WTO ideas. In response to commerce rules, nations can set inner restrictions so long as they’re non-discriminatory. How are you going to ban imports whereas permitting exports? What does that imply for the WTO framework?” he argued.
As a member of the EAEU, Kyrgyzstan should additionally adhere to the financial union’s regulatory requirements. In response to the EAEU’s pointers on the circulation of those merchandise, member states are inspired to control fairly than ban them outright. The rules state that member states should take all needed actions to limit and take away from circulation any nicotine-containing merchandise that fail to satisfy the EAEU’s technical requirements.
World Epidemic of Vaping
Kyrgyzstan adopted the Tobacco Management Legislation in 2006 and concurrently joined the Framework Conference on Tobacco Management. Nonetheless, full regulatory documentation for presidency and supervisory actions was not initially established. In 2021, Japarov signed the Legislation “On the Safety of Residents’ Well being from the Results of Tobacco Consumption, Nicotine, and Publicity to Ambient Tobacco Smoke and Aerosol,” which addressed beforehand neglected particulars.
“The president signed a very progressive invoice,” mentioned WHO professional Alina Talantbekova, referring to the 2021 regulation. “Kyrgyzstan has been highlighted for example for different nations, even throughout Europe, from Iceland to Tajikistan. The regulation covers digital cigarettes and related merchandise. We could also be delayed with the supporting rules, however the regulation itself is strong.”
In response to the WHO, though the long-term well being results of e-cigarettes will not be totally understood, they’re recognized to launch poisonous substances, together with some which are carcinogenic and others that heighten the chance of coronary heart and lung illnesses.
In 2019, a examine amongst kids aged 13 to fifteen revealed that one in 5 younger people who smoke had tried smoking by the age of seven. As Talanbekova mentioned, a subsequent survey carried out by World South with 5,600 schoolchildren throughout Kyrgyzstan’s areas discovered that vapes and hookahs had already reached rural areas.
“Vapes are available in all places, with kids and youths lining as much as purchase them. We don’t totally perceive the impression on creating our bodies,” Talantbekova emphasised.
Clear Lungs or Soiled Lobbying?
Deputy Bekeshev has repeatedly been on the middle of high-profile tobacco-related controversies in Kyrgyzstan’s parliament. In March 2023, discussions on Tax Code amendments led to a corruption scandal. Bekeshev detailed the incident on his web site, describing an intense debate over taxes on heated tobacco merchandise. He warned his colleagues {that a} proposed tax discount would slash price range revenues by 300 million soms, predicting that the dispute may evolve right into a felony case sooner or later. Regardless of his warnings, the proposal handed.
“IQOS received, Kyrgyzstan misplaced,” his blog concluded.
Two years in the past, a video appeared on-line alleging that staff of one of many main tobacco corporations have been writing legal guidelines on cigarettes for Kyrgyzstan. Formally, the Division for Technical Regulation of the Ministry of Financial system and Commerce and the Affiliation of Suppliers (Producers and Distributors) ready the technical rules however it appeared {that a} Kazakh citizen, who labored for a big tobacco firm, was the creator. The one member of the the Affiliation of Suppliers from the tobacco business was an organization that provides IQOS to Kyrgyzstan. The ensuing technical rules approached IQOS in another way than different heated tobacco merchandise.
“Tobacco corporations’ affect right here is broadly recognized,” mentioned Talantbekova. “In response to the regulation, they shouldn’t be concerned in coverage or regulatory growth, but I nonetheless see them at conferences.”
This involvement contravenes Article 5 of the WHO Framework Conference, which explicitly goals to protect nationwide insurance policies from tobacco business affect. But, as in lots of Central Asian nations, Kyrgyzstan continues to face challenges because of the robust affect of the tobacco foyer.
Turdubekov famous two fundamental motivations behind legislative modifications: public profit, for instance by way of elevated price range income; and private pursuits, that are incessantly prioritized. These private motives, he defined, can embrace the elimination of opponents and the safety of a enterprise sector the place the initiator of a regulation has his personal enterprise.
“Any modifications to the regulation typically stem from private pursuits. I haven’t seen different motives,” he remarked.
