The Kohima Chamber of Commerce and Industry (KCCI) has urged the Nagaland Government to provide a 30-day grace period for retailers affected by the recent ban on the sale of food products containing tobacco or nicotine, while also seeking clarity on the scope of enforcement and relief for licensed vendors facing financial losses.

In a statement, the KCCI acknowledged the June 4, 2026 notification issued by the Department of Health & Family Welfare prohibiting the sale of food products containing tobacco or nicotine, including gutkha, pan masala and twin-pack chewable products. KCCI said it recognized the notification as a public health measure issued under the Food Safety and Standards Act (FSSAI), 2006, and did not challenge its legal basis.

However, the Chamber pointed out that the ban was enforced immediately without any phase-out period, leaving small retailers with unsold inventories that had been lawfully purchased and stocked under valid licences.

According to KCCI, many traders now face direct financial losses as there is no provision for returning, refunding or gradually disposing of existing stock. The Chamber argued that businesses which operated in good faith under the prevailing regulatory framework should be provided a reasonable transition period before full enforcement takes effect.

To address the issue, KCCI requested the State Government to grant a 30-day grace period from the date of its statement, during which retailers would be allowed to either sell or return legally acquired stock without penalty.

The Chamber also highlighted confusion regarding product classification, stating that cigarettes, beedis and loose tobacco are regulated under the Cigarettes and Other Tobacco Products Act (COTPA), 2003, and are not classified as food products under the FSSAI framework.

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KCCI maintained that such products fall outside the scope of the June 4 notification and expressed concern that enforcement action treating COTPA-governed products as banned under the food safety order could amount to a misapplication of jurisdiction. It said this has caused avoidable losses to traders who stock only such products.

To prevent confusion, the Chamber called upon the District Administration of Kohima and the Department of Health & Family Welfare to issue a clear public order specifying which products are prohibited under the notification and which remain permissible under existing laws.

The KCCI further raised concerns regarding Tobacco Vendor Licences (TVLs) issued by the Kohima Municipal Council (KMC). It noted that licence fees had already been collected from traders for the current tenure prior to the notification, but no updated guidance had been issued on how the ban affects existing licences.

KCCI urged the KMC to address the matter by either providing prorated refunds for the remaining period of the licence tenure or formally recognizing a limited sell-out window for affected vendors.

The chamber placed four key demands before the authorities:

1. The State Government should grant a 30-day grace period for retailers to sell or return existing legally acquired stock without penalty.
2. The Department of Health & Family Welfare and the Kohima district administration should issue a definitive order clearly distinguishing products banned under the June 4 notification from those still permissible under COTPA.
3. The Kohima Municipal Council should clarify the status of TVL fees already collected and provide relief through refunds or a recognized sell-out period.
4. A joint working group with KCCI representation should be constituted to address field-level concerns and facilitate a smooth transition during implementation.

Reaffirming its support for public health goals, KCCI stated that it remains committed to complying with both the Food Safety and Standards Act (FSSAI) and COTPA. The chamber said its appeal was aimed at ensuring due process and proportionate implementation of the notification while safeguarding the livelihoods of local business community that has operated within the law.