News

In last week's Convenience Distribution News, we shared that CDA, NATO, NACS and EMA sent a letter to Mastercard regarding its recent enforcement actions against retailers selling certain electronic nicotine delivery system (ENDS) products. Mastercard threatened to issue substantial fines to retailers selling ENDS products that are not among the U.S. Food and Drug Administration's (FDA) currently authorized products, even though many of these products are covered by pending PMTAs. On July 27, 2026, Mastercard responded, “In light of additional information being provided to Mastercard regarding the acquirers’ specific merchant customers – we have decided to temporarily pause any assessments to provide customers additional time to execute their remediation plans and ensure compliance.” CDA will continue to monitor this issue and encourages Mastercard to permanently eliminate the assessment.

Numeral is a sales tax and exemption certificate compliance platform for direct-to-consumer brands and wholesale distributors. The company automates the full compliance lifecycle — nexus tracking, registration, filing, remittance and exemption certificate management — across all U.S. jurisdictions and global VAT obligations.

Contact information for Numeral is as follows:

Nia Gorbunova
nia@numeralhq.com
Numeral
301 Howard Street
San Francisco, CA 94105
https://www.numeral.com/

CDA Business Academy returns for its second year – a 16-week virtual education program designed for emerging, rising leaders and middle managers in the convenience products distribution industry. Open to all CDA members, the program's curriculum focuses on people management and business finance.

The second cohort will run from Aug. 20 through Dec. 3, with live sessions held every third Thursday. Space is limited – register now to secure your spot by July 31.

Ready to invest in your future leaders? Click here to learn more or contact Lauren Herbert for further details.

August 19, 2026 at 2:00 pm ET

Register now for this popular webinar featuring Ajay Yadagiri and Paul Grubbs, senior vice presidents of Management Science Associates. They will discuss what is happening in the nicotine industry, including current trends and other interesting insights for wholesalers and retailers.

Can’t attend the webinar on August 19? Still register to attend and you’ll receive a recording of the webinar directly to your inbox on August 20. Contact Lauren Herbert with any questions.

Loews Arlington Hotel
Arlington, TX
February 22-24, 2027

Exhibit space is selling fast. Register online today!

Register now to increase your opportunity of being assigned a preferred booth location through the CDA priority point system. The CDA priority point system expires July 31. Exhibit space is assigned on a first-come first-served basis after July 31.

Marketplace brings together distributors with their top trading partners and suppliers over a three-day period, featuring:

• a one-day turnkey trade show
• focused education sessions
• distributor showcase
• and networking opportunities

Attendee registration opens in September.

By exhibiting at Marketplace 2027, you agree to the CDA Notices & Disclaimers and Exhibitor Terms & Conditions.

On July 30, 2026, the Senate Health, Education, Labor and Pensions (HELP) Committee will hold a markup of several health and education related bills and plans to vote on pending agency nominations, including Keith Sonderling to be Secretary of Labor. Sonderling is expected to advance out of Committee to the full Senate.

The U.S. Food and Drug Administration (FDA) has announced additional updates to the Center for Tobacco Products Portal Next Generation (CTP Portal NextGen). With the rollout of these new features, the FDA is also announcing that it will phase out the use of eSubmitter forms for PMTA and SE submissions. Read more here.

Senate Agriculture Committee Chair John Boozman (R-AR) told reporters last week that a markup of the Senate farm bill draft is on its way but noted that he’s waiting for Senator Mitch McConnell’s (R-KY) return to Congress. McConnell, a member of the panel, has been absent since his hospitalization last month. Read more here.

On July 22, 2026, Reps. Angie Craig (D-MN) and Andy Barr (R-KY) introduced a bill designed to set up a clear regulatory framework for hemp and hemp-derived THC products. The Lawful Hemp Protection Act would establish a comprehensive federal regulatory framework for hemp products. The bill would modernize federal hemp policy by establishing clear rules for producers, processors, retailers and consumers; and would preserve states’ ability to enact stricter regulations while ensuring lawful interstate commerce for compliant hemp products. Read more here.

On July 16, 2026, a group of Democratic Senators reintroduced the Cannabis Administration and Opportunity Act (CAOA), comprehensive legislation that would end federal prohibition of cannabis by removing cannabis from the list of federally controlled substances and empowering states to create their own laws. A summary of the bill can be found here.

CDA recently joined NACS, NATO and EMA in sending a letter to Mastercard regarding its recent enforcement actions against retailers selling certain Electronic Nicotine Delivery System (ENDS) products. In recent months, Mastercard has issued substantial fines to some retailers for selling ENDS products that are not among the FDA's currently authorized products, even though many of those products are covered by pending premarket tobacco applications (PMTAs) and fall under the FDA's current enforcement discretion policy. The group urged Mastercard to revise its policy on ENDS sales to clarify that products marketed in accordance with the FDA's May 8, 2026, enforcement guidance - and in compliance with all applicable federal, state and local requirements - may continue to be sold while the FDA completes its review of the pending PMTAs. In addition, the group sent a letter to Global Payments Inc. regarding its recent communication directing merchants to review vape/ENDS-related products and remove unapproved ENDS products. CDA will continue advocating for practical, consistent regulatory policies on behalf of our members and will provide updates as this issue develops.

On July 21, 2026, the House voted 220-205 to pass a stopgap funding measure, or continuing resolution (CR), through Dec. 4, 2026, in an effort to avert a potential government shutdown before the end of the fiscal year on Sept. 30. Senate Republicans and Democrats are expected to make changes to the House stopgap that would require the House to vote again on the CR after it returns from its summer break on Aug. 31, 2026. Read more here.

August 19, 2026 at 2:00 pm ET

Register now for this popular webinar featuring Ajay Yadagiri and Paul Grubbs, senior vice presidents of Management Science Associates. They will discuss what is happening in the nicotine industry, including current trends and other interesting insights for wholesalers and retailers.

Can’t attend the webinar on August 19? Still register to attend and you’ll receive a recording of the webinar directly to your inbox on August 20. Contact Lauren Herbert with any questions.

On June 14, 2026, a coalition of public health and anti-tobacco groups filed a federal lawsuit against the U.S. Food and Drug Administration (FDA), challenging a new enforcement policy that allows some e-cigarette and nicotine pouch products to be marketed without formal authorization. The lawsuit alleges the enforcement guidance violates federal law by permitting unauthorized tobacco products on the market, including ones the agency has found pose risks to youth. Read more here.

On July 14, 2026, the Senate Health, Education, Labor and Pensions (HELP) Committee held a hearing to consider Sean Kaufman to be Assistant Secretary for Preparedness and Response for the Department of Health and Human Services (HHS) and Erica Schwartz to be Director of the Centers for Disease Control and Prevention (CDC). On July 15, 2026, the Senate HELP Committee held a nomination hearing to consider Keith Sonderling to be Secretary of Labor. Read more here.

On July 15, 2026, CDA, in partnership with the Minnesota Wholesale Marketers Association (MWMA), submitted a formal comment letter to the U.S. Food and Drug Administration (FDA) responding to a series of questions that the agency posed to the industry about various methods, called flexible options, to trace food products under the Food Safety Modernization Act’s food traceability rule. The second addendum to the comment letter includes a joint CDA/MWMA memorandum explaining the issue of “eaches” and detailing an imprinting option to minimize the food tracing burden on wholesale distributors. Read the formal comment letter here.

CDA Business Academy returns for its second year – a 16-week virtual education program designed for emerging, rising leaders and middle managers in the convenience products distribution industry. Open to all CDA members, the program's curriculum focuses on people management and business finance.

The second cohort will run from Aug. 20 through Dec. 3, with live sessions held every third Thursday. Space is limited – register now to secure your spot by July 31.

Ready to invest in your future leaders? Click here to learn more or contact Lauren Herbert for further details.

NOAT are nicotine pouches without the noise.

Built differently from the ground up, NOAT is a design-driven nicotine innovation company combining premium consumer appeal with Scandinavian simplicity. Its proprietary oat-fiber encapsulation technology and formula of just 8 food-grade ingredients plus nicotine deliver a smoother, longer-lasting experience that tastes natural, not artificial.

NOAT pouches contain no intentionally added microplastics, and its packaging is paper-recyclable. Designed for discreet everyday use, the low-profile format takes up less pocket space while improving pallet density, helping retailers maximize space without compromising performance.

All NOAT products are developed and manufactured in Sweden at its factory.

Contact information for NOAT, Inc. is as follows:

Russell Quick
russell@noat.com
NOAT, Inc.
115 9th Ave S. 502
Jacksonville, FL 32250
(904) 660-1128
http://www.noat.com

Loews Arlington Hotel
Arlington, TX
February 22-24, 2027

Exhibit space is selling fast. Register online today!

Register now to increase your opportunity of being assigned a preferred booth location through the CDA priority point system. The CDA priority point system expires July 31. Exhibit space is assigned on a first-come first-served basis after July 31.

Marketplace brings together distributors with their top trading partners and suppliers over a three-day period, featuring:

• a one-day turnkey trade show
• focused education sessions
• distributor showcase
• and networking opportunities

Attendee registration opens in September.

By exhibiting at Marketplace 2027, you agree to the CDA Notices & Disclaimers and Exhibitor Terms & Conditions.

On July 1, the DEA, with support from the Department of Health and Human Services (HHS) and the FDA, initiated the process to temporarily place certain enhanced 7-hydroxymitragynine (7-OH) products into Schedule I of the Controlled Substances Act, citing an imminent hazard to public safety. When finalized, the temporary scheduling would remain in effect for up to two years. The action could have significant implications for retailers and distributors following the close of the public comment period on July 31. Read the proposal's full summary here.

The Federal Motor Carrier Safety Administration (FMCSA) is taking another step in its commitment to enforce English-proficiency regulations for truck drivers. On June 24, a proposed rule was submitted to the White House’s Office of Management and Budget regarding English-language proficiency and out-of-service criteria. Read more here.

The FDA has updated the website that is dedicated to providing information and guidance on the FSMA Final Food Traceability Rule to include a link to a recording of the public meeting held on June 15. CDA’s Tom Briant was one of many who presented comments throughout the day long hearing. Here is the link to the FDA website which FDA updated on July 2.

On June 29, the Drug Enforcement Administration (DEA) began the hearing on the proposed transfer of marijuana from Schedule I to Schedule III under the Controlled Substances Act. The hearing is expected to conclude by July 15 and will include testimony from organizations representing law enforcement, public health, and other stakeholders. While the proceeding does not directly affect hemp-derived products, it could have broader implications for the federal regulation of cannabis.

CDA Business Academy returns for its second year – a 16-week virtual education program designed for emerging, rising leaders and middle managers in the convenience products distribution industry. Open to all CDA members, the program's curriculum focuses on people management and business finance.

The second cohort will run from Aug. 20 through Dec. 3, with live sessions held every third Thursday. Space is limited – register now to secure your spot by July 31.

Ready to invest in your future leaders? Click here to learn more or contact Lauren Herbert for further details.