BRITISH American Tobacco Kenya has urged Parliament to rethink key provisions of the proposed Tobacco Control (Amendment) Bill, warning that some measures could hurt investment, innovation and harm reduction efforts in the country’s tobacco industry.
This comes amid concerns over the impact on the value chain where introduction of additional administrative powers for the Minister, licensing requirements and other measures pose a risk of technical termination of a value chain of over 100,000 Kenyan livelihoods.
In submissions to the National Assembly’s Departmental Committee on Health, BAT Kenya said while it supports regulation of emerging nicotine and tobacco products, lawmakers should adopt what it termed a “progressive and evidence-based” approach that differentiates between combustible cigarettes and alternative nicotine products.
The company’s memorandum comes amid growing debate over regulation of electronic cigarettes, nicotine pouches, heated tobacco products and other smokeless alternatives that have rapidly expanded in global markets over the last decade.
BAT Kenya welcomed the government’s move to amend the Tobacco Control Act of 2007 to bring emerging products into the legal framework, saying the law has lagged behind technological changes and scientific developments in the industry.
However, the cigarette manufacturer argued that the proposed legislation in its current form risks treating all nicotine products the same despite varying health risk profiles.
“The weight of scientific evidence demonstrates these products emit significantly reduced levels of toxicants, and present a much lower risk profile compared to traditional combustible cigarettes,” the company said in its submission.
The firm wants Parliament to introduce risk-proportionate regulation that distinguishes conventional cigarettes from smokeless alternatives such as electronic nicotine delivery systems (ENDS), electronic non-nicotine delivery systems (ENNDS), heated tobacco products and oral nicotine pouches.
According to BAT Kenya, overly restrictive provisions could discourage adult smokers from transitioning to products considered less harmful and undermine broader public health objectives.
The company has also warned that excessive regulation may unintentionally fuel illicit trade, which remains one of the biggest challenges facing the tobacco sector in Kenya and across the East African region.
Industry players have long argued that heavy taxation and restrictive rules create a fertile environment for counterfeit and smuggled tobacco products, depriving the government of billions in tax revenue while exposing consumers to unregulated goods.
Current evidence shows the growing illicit cigarette market now represents approximately 45 per cent of the total cigarette market.
This results in an annual Sh12 billion loss of government revenue.
"It is imperative that legislative proposals clearly outline sustainable mechanisms that enable the government to not only promote public health, but also prevent and combat illicit trade in regulated products," managing director Crispin Achola notes.
BAT Kenya further argued that poorly calibrated laws could discourage multinational investment and research into reduced-risk products at a time when global tobacco firms are shifting toward smoke-free alternatives.
The company told MPs that regulation should be guided by scientific evidence, international best practice and the principle of harm reduction.
It is recommended that lawmakers establish a distinct regulatory category for smokeless nicotine products rather than placing them under the same framework as combustible tobacco products.
Among the proposals advanced by BAT Kenya are the development of differentiated standards on packaging, marketing, taxation and usage restrictions based on the relative risk profile of each product category.
The company also called for clear definitions within the law to avoid regulatory ambiguity that could complicate enforcement and licensing.
Another concern raised by the manufacturer is the potential economic impact of stringent restrictions on the wider value chain, including farmers, distributors, retailers and manufacturers.
Kenya’s tobacco industry remains a significant contributor to government revenue through excise taxes, corporate taxes and export earnings, while also supporting thousands of livelihoods directly and indirectly.
BAT Kenya warned that abrupt or punitive measures could destabilise the sector and reduce competitiveness, especially if neighbouring countries adopt more flexible regulatory models.
The company also urged lawmakers to ensure that any new rules align with constitutional principles on public participation, fair administrative action and predictable business regulation, even as it appeals for an extensive stakeholder consultations and room to make amendments on issues raised by the industry.
According to the firm, there was no report from the Health Committee by the time the Bill was being deliberated, which was also subjected to limited and a select stakeholders, as opposed to a wide public participation across the country.
The proposed Tobacco Control (Amendment) Bill seeks to tighten oversight of emerging nicotine products, expand advertising restrictions, strengthen public health protections and close regulatory gaps that have emerged since the enactment of the original Tobacco Control Act nearly two decades ago.
The Bill is part of wider efforts by governments globally to respond to the fast-changing nicotine market as companies diversify away from traditional cigarettes.
BAT Kenya, however, insists that regulation should strike a balance between public health goals, consumer choice, innovation and economic sustainability.
The debate now shifts to Parliament, where lawmakers are expected to review submissions from industry players, health experts, civil society organisations and the public before deciding whether to amend the proposed law.
The outcome is likely to shape the future direction of Kenya’s tobacco and nicotine market, with implications for public health policy, investment and tax revenues in one of East Africa’s largest economies.