1.
FDA REVELATIONS
TBI:
What is top-of-mind
for you concerning the FDA?
Patel:
Some of the mass market [cigar] com-
panies are proposing that we [premium cigar
companies] go through testing, such as carbon
monoxide testing and a few others, but we feel
that we should absolutely not have to do that.
We are made differently, the humidity is differ-
ent, the combination of tobacco is different, the
climate is different, there are changes that take
place from year to year and you never have the
consistency in that kind of mapping with pre-
miums. Plus, we don’t have cigars from 10 years
ago that people can link to, it’s cost-prohibitive.
We would rather say to the FDA that our
cigars are ‟substantially equivalent” and they
don’t present a public health hazard to the pop-
ulation because nothing is that different from
cigars made pre- and post-2007. They’re the
same size, have the same amount of tobacco
and there’s no harmful effect. They need to
come up with a different ruling for us. The bur-
den is on the FDA to show that premium cigars
create a significant health problem. There’s no
data, they have no evidence that the benefit of
the deeming rules outweigh the detriment to the
industry. There’s no demonstrative science, just
arbitrary and capricious regulations that are not
relevant because they don’t rely on any data.
We are working with the Office of Man-
agement & Budget (OMB) to show them this
and that they have no evidence of any public
benefit with what they’re doing. It’s clear that
they just intend to be prohibitionists; they’re
just trying to wipe all tobacco off the face of
the market. Even though we are finally work-
ing with the OMB, we fear they are absolute
strict prohibitionists.
People are complaining that soldiers can’t
get cigars in Afghanistan and Iraq. I believe
Mitch Zeller said that it’s a soldier’s job to
shoot, not to smoke, so that’s the kind of men-
tality we are dealing with.
TBI:
What stage are you in with
the FDA? What communication
have you had?
Patel:
A few months ago, we filed a lawsuit,
that is, our industry associations—Cigar Rights
of America, the Cigar Association and the
IPCPR—are all three suing the FDA on the
compliance side because much of the deeming
regulations are arbitrary and ambiguous.
FDA told us we had 90 days in which to get
substantially equivalent cigars out (by August
8), but they didn’t give us guidance as to what
“substantial equivalence” is. All we knew is
that it had to be similar to products created
before 2007. So now we’re going to the OMB
and pushing them, saying we need clarity and
we want them to understand how these laws
actually impact the premium cigar segment.
It makes no sense. They’re not showing
any health benefit to society by doing this
and the detriment in cost to our industry to-
tally outweighs any benefit they’re trying to
claim. The government does not understand
our business, and they’re not trying to intel-
ligently make educated decisions on their
rules and rulings.
However, we have totally started the pro-
cesses to be compliant, even beyond what we
have to do. First off, if you’re a domestic man-
ufacturer, you have to register your products
with the FDA. Then, in February, everybody
has to come up with an ingredient list to the
FDA. We also started product registration—
we started it, but we don’t have to do it because
we are not a domestic manufacturer.
There’s a bill pending presently in Congress
for premium cigar exemption because we are
not habit-forming, nor are we a product that is
consumed by youth. We managed to get that
bill out of the House and now we are cautiously
hopeful that we could get it out of the Senate
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