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SA vape shops planning to move out of state amid new regulations overhauling the industry

VAPING retailers are planning moves interstate or overseas as tough new laws governing the sale of e-cigarettes are set to overhaul the industry.

VapourEyes Australia managing director Savvas Dimitriou says he’ll likely need to move his Blair Athol-based business interstate following the introduction of new vaping laws. Picture: MATT LOXTON
VapourEyes Australia managing director Savvas Dimitriou says he’ll likely need to move his Blair Athol-based business interstate following the introduction of new vaping laws. Picture: MATT LOXTON

VAPING retailers are planning moves interstate or overseas as tough new laws governing the sale of e-cigarettes are set to overhaul the industry.

The bill, which passed through Parliament’s Upper House last week, is expected to be approved in the Lower House by the end of the year, introducing the same rules around vaping as the tobacco industry.

Savvas Dimitriou, managing director of Vapoureyes — Australia’s largest vaping business — says he will likely need to move the business, which employs about 25 people in Adelaide, to either the Northern Territory or Victoria once the legislation takes effect.

Mr Dimitriou said no other Australian states had banned online sales and the move would decimate the local industry and force many former smokers who had used e-cigarettes to kick their habit, to go back to tobacco.

“It really is just absolutely insane,” he said. “So many people are afraid that they’ll take up smoking again.”

Under the changes, online sales would be banned and retailers would no longer be able to promote, advertise or give away their products.

E-cigarettes could not be sold to minors and vaping would also be banned in outdoor dining areas, in cars with children present.

Many sellers agree with some of the proposals, including banning sales to children, but say stopping online orders will have a huge impact on business.

If approved, the changes, which Mr Dimitriou said appeared to be “a fait accompli” as they had bipartisan support — were likely to come into effect mid next year.

Jacqui Munn, who owns The Vape Store at Goodwood and Holden Hill, makes the majority of her sales online. She has started a vape business in New Zealand and said she was considering moving her SA operations there too.

“I can’t imagine that we could survive — at least we’d have to downsize, which would mean we’d have to lay off staff,” Ms Munn said.

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Natalie Broadbent owns Juice n Junk at Campbelltown — a business based entirely on online sales — and said she would consider moving to Queensland.

“Having this business is the only thing that has allowed me the balance between work and home, to make enough money to support my family and be there for my son,” Ms Broadbent said. “This is just going to have a massive impact on the SA economy.”

Health Minister Stephen Wade questioned the claim that the changes would decimate local businesses, saying retailers could modify their business plans to comply.

“The ban on online sales creates opportunities for retailers to sell more products in-store — business that has previously been lost to online sales,” Mr Wade said.

“Allowing direct sales in-store still gives adults the choice.

“I make no apologies for prioritising public health, particularly the health of our children.”

Labor successfully passed an amendment to the government’s proposed legislation, which also covers tobacco sales, increasing the maximum penalty for selling tobacco products to minors from $5000 to $20,000 for a first offence. Fines will increase from $315 to $1200.

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Original URL: https://www.adelaidenow.com.au/business/sa-business-journal/sa-vape-shops-planning-to-move-out-of-state-amid-new-regulations-overhauling-the-industry/news-story/fb9bca288a5b82d427e00a2633eeefc3