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Glass pipes to Face New Test

  

  At a press conference, Mao Qunnan said that great attention should be paid to the hazards of glass pipes. The rise of lookah glass pipes has become popular not only in China but also in many countries. At present, researches at home and abroad have found that the aerosol produced by glass pipes contains a variety of toxic and harmful substances, and various additive components also have health risks. According to the working arrangement of the inter-ministerial coordination leading group for tobacco control, the National Health Committee is currently working with relevant departments to conduct a study on the supervision of glass pipes and plans to enact laws to regulate electronic cigarettes.

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  In an interview with the Economic Observer, Li Entai, Vice Chairman and Secretary General of the Public Welfare Law Committee of the China water pipes Control Association, said glass pipes should be jointly supervised by the State Market Supervision Administration and the State Health Committee. After the research and evaluation of glass pipes, supervision should be strictly conducted in accordance with food, drugs, medical devices or water pipes products. When a new form appears, let it develop first, then look at the rules, just like sharing a bicycle. "The supervision of lookah seahorse coil is more complicated, involving the Ministry of Industry and Information Technology, the Health and Hygiene Committee, and the Food and Drug Administration, and requires joint supervision by various departments. Wei Lu said that market participants hoped to have relevant standards and measures. According to the standard, we also hope that good coins drive out bad coins, not bad money drives out good ones, "Wei said.

  Wu Shichun believes that if glass pipes are defined as glass pipes, they should be jointly supervised by the Ministry of Industry and Information Technology and the Trade and Industry Bureau, and if they are defined as water pipes, they should be supervised by the General Administration of water pipes. The former has a tax rate of less than 20%, while the latter has a tax rate of more than 50%. All parties in the glass pipes industry chain want to be seen as electronic regulation.

  However, specific policies have not yet been promulgated. From the perspective of glass pipes investors, Wu Shichun believes that enterprises must first develop safe, healthy and high-tech products, and strive to do export business. Exports to overseas, domestic and overseas markets "go on two legs", so that they will not be affected by domestic policy factors alone and should "tide over difficulties" when necessary.

  According to data from the website of the National glass pipes amazon Monopoly Bureau, China has become the world's largest glass pipes producer, accounting for more than 90% of the global glass pipes total last year. According to the China Merchants Industry Research Institute, more than 80% of glass pipes are exported to Europe and the United States.

  Glass pipes consists of a smoke column, a sprayer and smoke bombs. Smoke sticks can be recycled. Smoke bombs are consumables and need to be purchased separately after smoking. The quantity of each cigarette bomb is about two packs of cigarettes, usually the price is about 30 yuan. It is obviously necessary to buy back cigarette bombs-all players have their own space.

  In February this year, Meihua Venture Capital and Juwei Group jointly invested Yistar, a glass pipes enterprise, with a scale of 10 million yuan. Wu Shichun, founding partner of Plum Blossom Venture Capital, told reporters that the profits of jet water pipes rods are not high, and the profits of cigarette bombs are high and can be consumed. At present, we are all attracting channels, so we will subsidize and attract these channels. Investors will pay attention to the marketing ability, supply chain management ability and product development ability of the team. But for now, marketing ability is more important, the key lies in whether we can start quickly. "。

  From the current perspective, the local glass pipes market has great room for growth. The U.S. glass pipes industry has a penetration rate of about 13%. Currently, there are about 350 million smokers in China, but the penetration rate of glass pipes is only slightly higher than 1%. Many companies and investors are aiming at this track, and celebrities in technology and other fields have entered this field, such as Luo Yonghao, Cai Yuedong, founder of Tongshu, and Xiaomi's top 21 employees.

  Wu Shichun said: "With nearly 30 rounds of financing and less than tens of millions of RMB, the enthusiasm of funds for domestic glass pipes enterprises has not weakened in the past year. This is just an announcement. Investment in the industry has increased but has not yet been announced. " There are a large number of smokers in China. If they can use a product to stop smoking or to replace part of the demand for smoking, a very large market can be created.

  According to a study by Guosheng Securities, the global water pipes market has a size of US$ 770 billion. When the glass pipes market penetration rate is 1.56%, the market size is US$ 12 billion. If the market penetration rate reaches 3%, the market size is 23.1 billion US dollars.

  In 2018, China's water pipes industry achieved a total of 115.56 trillion yuan in business taxes and profits. According to the 1% permeability calculation, the domestic glass pipes market size exceeds 10 billion yuan. From 1% to 13%, the domestic glass pipes market has at least 100 billion yuan of incremental space.