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Cigarette Sales Grow In US After 20 Years: FTC

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The Federal Trade Commission on Tuesday released the Cigarette Report and the Smokeless Tobacco Report, both for the year 2020. The Cigarette report revealed that the annual cigarette sales increased for the first time in 20 years.

The Smokeless Tobacco Report has for the first time carried sales of nicotine lozenges or nicotine pouches as well as flavor-wise sales revenues.

The number of cigarettes that the largest cigarette companies in the United States sold to wholesalers and retailers nationwide increased from 202.9 billion in 2019 to 203.7 billion in 2020.

The smokeless tobacco sales also increased from 126.0 million pounds in 2019 to 126.9 million pounds in 2020. Revenue therefrom increased from $4.53 billion in 2019 to $4.82 billion in 2020. The sales of nicotine lozenges or nicotine pouches not containing tobacco, was recorded at 140.7 million units and revenue of $420.5 million.

The flavor-wise sales revenues of smokeless tobacco products showed Menthol topping with 54.5 percent of revenues, closely followed by tobacco flavor (no added flavor) with 43.4 percent. Fruit flavored products accounted for only 2.5 percent of sales.

While the amount spent on cigarette advertising and promotion increased during the period, similar spends for smokeless tobacco products declined year-on-year. The FTC has been issuing the Cigarette Report periodically since 1967 and the Smokeless Tobacco Report periodically since 1987.

Given the concerning trends highlighted in the report, including the first increase in cigarette sales in two decades, the Commission has assured to continue to expand its approach in reporting shifts in the tobacco industry.

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