*This story has been updated to reflect all three of the major cigar trade groups.
Over the past few weeks, several matters have come to light regarding the cigar trade organizations such as the Premium Cigar Association (PCA), Cigar Rights of America (CRA) and the Cigar Association of America (CAA). While I appreciate many of their efforts and support their success, it is important to hold them accountable when missteps occur. This is essential in ensuring they stay on the most effective path forward.
In recent years, the PCA has made efforts to establish a more prominent media presence, particularly after hiring Antoine Reid from Tobacco Media Group (TMG). The stated objective was to “connect with consumers,” a goal that many would argue falls within the purview of industry stakeholders such as ourselves. However, while it’s understandable that they want to engage in coverage of industry news, something that many of us in the media already do, there are inherent risks when a trade organization also represents manufacturers in this capacity.
One example of this occurred yesterday, when the PCA posted an article regarding the Meerapfel/Arturo Fuente situation. The story was subsequently taken down, likely due to the negative optics it created for the PCA. In my view, the article was written from a single perspective, relying solely on a statement from Jeremiah Meerapfel. In such matters, the PCA should refrain from inserting themselves especially in disputes that are complex and involve multiple parties. If I were Antoine Reid and the PCA, I would avoid publishing articles that delve into internal feuds or conflicts among members, particularly when those members have made significant contributions to the association.
Another issue that has raised concern is the lack of communication from all of these groups regarding California’s new Unflavored Tobacco List (UTL) policy, which will go into effect on January 1st. This policy requires that all tobacco and nicotine products sold in California be approved and listed on the state’s UTL, which entails significant costs for manufacturers. Despite the gravity of this development, the PCA, CRA and CAA failed to inform its members, leaving many companies unprepared to deal with the repercussions. Some smaller manufacturers have already expressed their inability to sell products in the state or their plans to limit sales to only top-performing products due to the financial burden of product approval. Given the importance of this issue, it is concerning that these groups did not take action to support its members in opposing or addressing the policy.
However, the most troubling oversight occurred in Texas. Recently, the state passed a law restricting retailers on how they can advertise tobacco products. The law prohibits the use of certain types of signage, including cartoon characters, celebrity images, and product imagery that might appeal to minors. This legislation poses significant challenges for retailers, some of whom are on the Board of Directors for the PCA, who could face legal consequences for advertising events or products in ways that may now be deemed non-compliant. Again, the groups failures to address this issue, or at the very least, alert retailers and consumers, is deeply concerning. This law is now in effect, and there is a real risk that similar legislation could spread to other states, including Massachusetts, New York, California, and Illinois. Once again the lack of advocacy awareness to get boots on the ground leaves many in the industry vulnerable.
While Joshua Habursky has accomplished much during his tenure, these three incidents, particularly the lack of proactive communication and the missed opportunities to protect member interests, are significant mistakes under his watch. The same could be said for Mike Copperman at the Cigar Rights of America. As an organization, the PCA has made notable strides over the past several years, but there is a risk of complacency setting in. We must demand more from the PCA, CRA and CAA and I believe the industry deserves an explanation and, perhaps, an apology for these oversights.
These topics, along with others, were discussed in greater detail on the September 20th episode of the Spare Notes Series.
