You must have heard by now that FDA deeming regulations for electronic cigarettes have been released after a long wait, but what does this mean for ecig companies? It’s one of the first questions that came to our mind after we heard. Actually it was more like the third thing that came to our minds. The first thought was how do we fight this? These FDA regulations are clearly a threat because they take the view that electronic cigarettes and all vapor products are essentially tobacco products. That’s not good for ecig brands, and that’s not good for vapers.
Which is the second question that then came up. What does this mean for vapers? Well, right now, it doesn’t mean anything. You don’t need to run out and stock up on ejuice or anything like that. It will be at least 90 days until anything comes into effect. But you should be concerned. Even if ecigs aren’t ever really going away, this could very much affect the choices that you have to vape. All the ecig brands you are used to may not have a path forward if the new FDA regulation actually sticks.
As for that third question, where are ecig brands in all this? Well, we worry about them too. Not because they are all great or all create amazing products, although the top ones certainly deserve that praise, but because this could hit some where it hurts. It could force small ecig companies out of business or even medium sized ones. They’ll need an estimated $1 million per product to get through FDA testing. When we say per product, we mean EACH ecig juice flavor and EACH nicotine level for each of those flavors. That’s a lot of bankrolling.
Ecig Brands Facing Extinction?
Since the numbers are that high, it certainly makes us wonder if ecig brands face extinction. Before we go any further we have to acknowledge that there are good aspects of this FDA regulation as well. It prohibits the sale of ecig products to minors, and that’s something you can’t argue against.
It also enforces childproof packaging, which is long overdue. With standards coming in, you would hope that safety goes up and that means eliminating accidents that happen when cheap ecig brands are allowed to sell whatever they want.
That’s where the good news end, however. Now that ecig companies will potentially have to bankroll huge wads of cash to get through FDA testing, it remains to be seen who can afford it. This shouldn’t really threaten bigger ecig brands like Vuse, Blu Cigs, or even Green Smoke. But it will definitely affect the others. They will have to come up with major cash influxes to be able to deal with the new regulations. We’re sure a number of them have been preparing for this day, as it was on the horizon for what seemed like forever, but we don’t know yet how well they have positioned themselves. That remains to be seen.
Overall this would seem to hit the smaller ecig companies the hardest. They have the least cash on hand and they’ll have to come up with something. That’s especially the case for ejuice makers who have so many different products that would need to go through regulation. But they may be able to come up with the money if the business is run well enough. That’s the only upside here with ejuice vendors; the little guys who are homebrewing with perhaps dangerous consequences will be the first ones that shut down.
Yet all of this isn’t completely certain yet because there is hope in the way of a Congressional bill. That would be the bill that already passed a vote in the House Appropriations Committee and would change the grandfathering date of the FDA deeming regulations forward from the current February 2007 date. Such a change would set everything right and wash all of these fears away. Now we need it to continue its way through congress and pass all the stages until it becomes legislation. That would be the ideal.
In the meantime, there will be some tense times ahead. You can join in by finding your congressman and letting them know how strongly you feel about electronic cigarettes and the impact they have made in your life. We’re all in this together form now on. Ecig companies, vapers, and anyone else in the community need to unite.