Guide to Serbia’s Amended Tobacco Law of 2023

1. Introduction: Navigating the New Tobacco Legislation in Serbia

• Overview of the Law

  • Adoption and Publication: The amendments to the Serbian Tobacco Law, formally published in the “Official Gazette of the Republic of Serbia” under number 92/2023 on October 27, 2023, mark a significant legislative milestone. These amendments were passed by the National Assembly of the Republic of Serbia, reflecting the country’s commitment to adapting its legal framework in response to evolving market trends and public health concerns. This law is pivotal in shaping the future of the tobacco industry in Serbia.
  • Goals and Significance: The amended law aims to create a regulated environment for the production and trade of new and alternative tobacco-related products. It aligns with the European Union’s legal standards, particularly Directive 2014/40/EU, thereby ensuring the protection of minors and public health. The law also addresses the need for a predictable business environment and enhanced control over the market activities of tobacco-related products.

2. Why the Amendment? Understanding the Rationale Behind the Changes

• Market Evolution

  • Adapting to New Products: The tobacco market’s evolution, with a shift towards new and alternative products that may not contain traditional tobacco but include nicotine or non-nicotine flavors, necessitated a legal response. These products are increasingly popular for smoking or oral use, reflecting changing consumer preferences and technological advancements in product design.

• Protecting Minors and Public Health

  • Youth Protection and Public Health: A primary motivation for the amendments is the protection of minors from the growing appeal of alternative tobacco products. This includes regulations around electronic cigarettes, particularly single-use ones, and nicotine pouches. The law aims to reduce the accessibility and attractiveness of these products to younger audiences, thereby safeguarding public health.

3. Key Legal Provisions of the Amended Tobacco Law

• Expanded Definitions and Categories

  • Inclusion of Related Products: The law now includes a broader range of products such as liquids for electronic cigarettes, herbal products for smoking or heating, nicotine pouches, and water-pipe products (flavors for hookah). This expansion ensures that emerging products are clearly defined and regulated within the legal framework.
  • Clarification of Definitions: The law has been updated to include detailed descriptions and classifications of various tobacco and related products. This includes traditional tobacco products like cigars, cigarettes, and pipe tobacco, as well as new categories like heated tobacco products and oral tobacco products, ensuring legal clarity and comprehensive coverage.

4. Implications for the Tobacco Industry and Retailers

• Regulatory Impact

  • Taxation and Excise Duties: The amendments bring related products like nicotine pouches under the scope of ‘Akciza’ excise taxes. The law specifies the calculation and application of these taxes, which is a crucial consideration for manufacturers and retailers in financial planning and pricing strategies.

• Retail Adjustments

  • Licensing and Sales Restrictions: Retailers are now required to obtain specific licenses for selling related products. Additionally, the law imposes restrictions on sales methods, including bans on internet sales and vending machine sales, to control the distribution and accessibility of these products, especially to minors.

5. Transitional and Final Provisions

• Enforcement and Penalties

  • Penalties for Non-Compliance: Non-compliance with the new regulations can lead to significant legal consequences, including fines, suspension of licenses, and potential criminal charges for repeated or serious violations. This section will detail the range of penalties applicable to different types of violations, offering businesses a clear understanding of the legal risks involved.

6. Conclusion: Preparing for a New Era in Tobacco Regulation

• Expert Legal Support with AK STATT

  • Navigating Regulatory Changes: AK STATT’s expertise in legal matters related to the tobacco industry is invaluable for businesses navigating these regulatory changes. Our services include legal consultation, compliance strategy development, and assistance in licensing and registration processes. We provide tailored solutions to ensure that your business not only complies with the new law but also thrives in a changing market landscape.