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January, 2008:

China Seizes 9 Billion Counterfeit Cigarettes In 2007

China seizes 9 bln counterfeit cigarettes in 2007 – ChinaView

BEIJING, Jan. 16 (Xinhua) — A total of 9.28 billion counterfeit cigarettes were seized nationwide in 2007, the State Tobacco Monopoly Administration (STMA) announced here on Wednesday.

Law enforcement agencies raided 3,876 counterfeit cigarette warehouses and rounded up 7,026 people in connection with the false brands, prosecuting 3,492 people, said STMA head Jiang Chengkang.

He added law enforcement agencies also solved 5,505 cases, each of which involved more than 50,000 yuan (about 6,906 U.S. dollars). Among those, 49 cases were valued at more than ten million yuan.

In 2006, the country seized 9.07 billion counterfeit cigarettes and cracked 24 major cases. Each were valued at more than ten million yuan and resulted in the prosecution of 2,313 people.

China’s tobacco industry generated 388 billion yuan in taxes and profits last year, a 25 percent year-on-year increase, according to the STMA.

By calculation, tobacco industry taxes and profits will account for about eight percent of the country’s fiscal revenue in 2007.

FG Seeks N130bn Damages against Philip Morris

Tobacco: FG Seeks N130bn Damages against Swiss Firm

From Funso Muraina and Awashima Ugaden in Abuja, 01.15.2008

The Federal Government yesterday sought a N130 billion damages from a tobacco firm, Philip Morris International for selling tobacco related products to under aged persons.

It has also accused the company of evading court service in the suit it filed against British American Tobacco Nigerial Limited and four other companies over the production and marketing of tobacco products in the country.

The Federal Government through its counsel, Joseph Daudu SAN, told Justice Binta Murtala-Nyako that he has made attempts to serve Phillip Morris International who are the 5th defendant in the suit but have not been successful.

He said the company refused to accept the court processes from the courier company that took the envelope containing the processes to them. Daudu said, “I was told that the 5th defendant in this case has not been served with the processes in this case.

“The courier company we sent came back and told us that they (Philip Morris) refused to accept the envelope containing the processes from them. We are hopeful that by the next adjourned date all parties in the case would have been served. He asked the court for a date to enable him effect service on all the defendants in the case. Other defendants in the suit are British American Tobacco Limited, British American Tobacco Company PLC and British American Tobacco Investment Limited.

Before the case was adjourned to the 17th of March by Justice Nyako, counsel to British American Tobacco Investment Limited, Mrs.

Funke Adekoya told the court that he was filing a preliminary objection to the suit. In the main suit, the Federal Government approached the court for an order compelling the defendants in the suit to cease the marketing, promotion, distribution, and sale of tobacco related products to minors and under aged persons.

They also asked for an order of mandatory injunction restraning the defendants from representing or portraying to minors or persons under the age of 18,any alluring or misleading image regarding tobacco related product whether by direct depictions,pictorial, advertorials, images, words messages,sponsorship, branding and or through overt or covert and or subliminal means. The Nigeria Tobacco Alliance organized a rally at the court yesterday in support of the step taken by the Federal Government against the tobacco companies. The Program Manager of the Alliance , Mr. Adeola Akinremisaid, “we are supporting the Federal Government’s suit against the tobacco industry because what BAT cannot do in Britain must not allowed be allowed inNigeria”. “It is illegal to sell minors in the United Kingdom ,so why are they doing it here. It is illegal to sell cigarette in unit in the UK, so why are they doing that here”. In the statement of claim, the Federal Government asked for the following declarations notably a declaration of this honourable court that the tobacco related product are manufactured, marketed,promoted, distributed and sold by the defendants are additive; a declaration of this honourable court that the tobacco related product as manufactured, marketed,promoted, distributed, promoted and sold by the defendants are harzadous and injurious to the public health; a declaration of this honourable court that the defendants’ conduct as specified herein in the complaint/statement of claim in relation to its misrepresentation and concealment of material facts and other such acts, are reprehensible. They want the defendants to pay N1346,250,421,627.39as special damages occasioned by their conduct They also want the defendants to pay 130 billion for wrongful conduct.

Nigeria Takes On Tobacco Giants

By Andrew Walker
Nigeria analyst – BBC News 14th Jan

Nigeria’s government is suing three international tobacco firms for $44bn (£22bn) – the first such case in the developing world – due to start in the capital, Abuja.

It says tobacco manufacturers are putting unacceptable pressure on the country’s health services, and companies are targeting younger and younger people in an attempt to replace former smokers in Europe and America.

British American Tobacco (BAT), Philip Morris and International Tobacco Ltd, deny the claims and say they are socially responsible companies who do not target children.

They question the massive sums demanded by the government and say the case “has no merit”.

But government lawyers are convinced they have a strong case.

E-mails between tobacco firm employees to be shown to the court in the capital Abuja will reveal deliberate attempts to increase the number of “young and underage” smokers and attempts to influence lawmakers to keep tobacco sales unregulated, they say.

Four Nigerian state governments also plan to go to court early in 2008 to argue similar cases.

Cigarette smoking is widespread in Nigeria and BAT recently set up a factory in the West African country.

Campaigners in Nigeria say children are sent positive messages about smoking all the time.

And young people across Nigeria can buy cigarettes from vendors in single “sticks”, which campaigners say makes it easier for young people to pick up the habit.

The World Health Organization estimates that 18% of young Nigerians smoke – storing up huge potential health problems in a country of 140 million people, most of whom are under 20.

Dossier

“If this case gets to the evidence stage, the companies are dead on arrival,” says Babatunde Irukera, prosecuting the case for the government.

“We expect they will try to delay the case by questioning the jurisdiction of the court. But if they see that they’re in trouble we expect them to try and settle out of court.”

He says they have a dossier of evidence that runs to 3,000 pages consisting of internal company e-mails discussing how to target children and influence lawmakers in Nigeria.

“Documents we have refer to ways of increasing the number of ‘YAUS’ in Nigeria. We have expert testimony that says YAUS means ‘Young And Underage Smokers’,” he said.

The e-mails come from a public depository of evidence uncovered during a series of class-action lawsuits across the US.

Many of those cases have been initially successful, but litigants have seen payouts slashed or kicked out on appeal.

In 2000 a Florida court awarded $145bn damages to hundreds of thousands of smokers, but the case was thrown out on appeal.

The Florida supreme court said making such an award would “result in an unlawful crippling of the defendant companies”.

Poor hospitals

Nigerian public hospitals are chaotic, poorly funded places where equipment is often out of date or broken.

Corruption and inefficiency are also responsible for the overload on the health service.

Tobacco company lawyers may argue there is little evidence that the government has been taking responsibility for its own health services.

“We haven’t got a clue where the government got the amount they are asking for. Much of what they claim doesn’t add up,” said British American Tobacco spokesperson in London Catherine Armstrong.

The company says they have been operating in Nigeria since the early 1900s and has never targeted children.

“It is false to suggest that tobacco companies have had a knee-jerk reaction to falling markets elsewhere in the world,” Ms Armstrong said.

The tobacco firms expect legal arguments to go on for “years and years”, she added.

Counter-productive

But anti-smoking campaigners say children are definitely the targets of marketing campaigns.

Cigarette companies sponsor fashion shows and music concerts, said Eze Eluchie of People Against Drug Dependence and Ignorance (Paddi), a Lagos-based organisation.

“They have something called an 18-plus programme, which they say tries to prevent young people from taking up smoking. But when 16- and 17-year-olds see that, it makes them think smoking is grown-up. It’s counter-productive,” he said.

Whatever happens with the court case, the government is already trying to curb the spread of smoking.

Cigarette adverts have been restricted – only allowed on radio and TV after 2200 and billboards have been scrapped.

The authorities in the capital, Abuja, are also considering a smoking ban in public places.

Tobacco-Free Electronic Cigarettes and Cigars

Tobacco-free electronic cigarettes and cigars deliver nicotine and generate concern

John Pauly, Qiang Li and Matthew B Barry

doi:10.1136/tc.2006.019687
2007;16;357- Tob. Control

Novel cigarette-appearing items have been introduced to the market with the intent, either stated or implied, of reducing toxicants in mainstream and second-hand smoke and/or helping smokers break their nicotine addiction. We report here the introduction to the market of electronic products that mimic a cigar, cigarette or pipe. These articles are unique in that they are the first to have the appearance of conventional tobacco products but contain no tobacco. The products deliver nicotine, at different amounts, but no smoke or tar.

See the full article here: Tobacco-Free Electronic Cigarettes and Cigars

Macau Support for Tobacco Control

High support for tightening restrictions on tobacco: survey

Saturday, 12 January 2008 – Macau Daily Times

A survey showed that 44.8 percent of the Macau people endorsed a stricter control on tobacco, according to a survey released by the yesterday.

The survey, launched by Macau’s Department of Health, consulted public opinions on the SAR government’s proposed revision of tobacco control laws, including increase of tobacco tax, expansion of no-smoking area, regulations of tobacco advertisements and sales.

Among the proposed regulations, 76.8 percent of the people support the expansion of no-smoking area in the island city of 528, 000 residents, according to the survey.

Feedback from the surveyed also suggested that the government should establish a tobacco supervising office to step up its control over tobacco, and ban smoking in casinos and world heritage sites.

Meanwhile, the survey also indicated that tobacco dealers, souvenir retailers and some restaurant owners were partly or fully against the proposed regulations on tobacco.

Is The Smoking Ban Effective?

Do you think the smoking ban is effective?

Jan 12, 2008 – SCMP

But how about taxis?

There is no curb on either drivers or passengers smoking in these small spaces. Hong Kong administrators should note that Japan virtually banned all smoking in taxis whether it be by passengers or the drivers themselves.

It will be a great day when I can drive a few kilometres and not have to witness a taxi driver with his window wide open spilling cigarette ash, and probably the butt as well, on to our roads or pavements, winding up his window and then driving away.

No wonder most taxi cabins smell filthy.

J. R. Paine, Chai Wan

Do you think the smoking ban is effective?

Jan 12, 2008 – SCMP

The smoking-ban legislation has been in force for a year now and I think it has been ineffective. As I am a non-smoker, I sometimes find it hard to breathe on our streets because there are so many people smoking. The law mostly applies to indoor public places. It does not stop people lighting up on the street, and the number of smokers in Hong Kong has not decreased.

The fact is that non-smokers are exposed to second-hand smoke in our streets, and so they continue to face a health risk.

I would like to see a blanket smoking ban, including outdoor areas. This would help protect non-smokers and might help some smokers kick their habit.

Angel Lau Ho-yan, Tung Chung

Russia Agrees to Tobacco Convention

Friday, January 11, 2008 / Updated Moscow Time Business

Cabinet Agrees to Tobacco Convention

By Anatoly Medetsky – Staff Writer

The Cabinet on Thursday backed further efforts to battle one of Russia’s most unhealthy addictions — smoking — by giving the go-ahead to a total ban on tobacco advertising, promotion and sponsorships.

The bill approved by the Cabinet in its Thursday session clears the way for Russia to join a UN tobacco control convention requiring members to take these steps within five years of signing on.

Current laws forbid outdoor, radio and television advertising for tobacco, but major international firms that dominate the domestic market, such as British American Tobacco, run ads in glossy magazines, the metro and are heavily involved in sponsorships.

British American Tobacco most recently helped organize an art exhibition at the State Russian Museum in St. Petersburg. Promoters often hand out cigarettes to passersby in busy locations.

Accession to World Health Organization’s Framework Convention on Tobacco Control will come if and when the bill is passed in the State Duma and is signed by the president.

Duma Speaker Boris Gryzlov, whose United Russia party holds an overwhelming majority in the chamber, has already signaled his support for the bill.

“I personally don’t smoke,” he said. “I think accession to the convention is absolutely the right thing to do.”

The convention also requires that member countries raise taxes on cigarettes in order to discourage consumption. Russia currently charges a token 3 percent tax on tobacco production, compared with some 50 percent in Western Europe, said Azam Buzurukov, the WHO’s national tobacco-control officer in Moscow. The cheapest cigarette brand costs a mere 6 rubles (25 cents) per pack in central Russia, he said.

The convention binds governments to restrict smoking in public places, a measure that many West European countries adopted over the past year, with the latest bans hitting French cafes, hotels and clubs on Jan.1.

It also tells member states to require producers to remove words like “light” and “mild” from packaging, which should also bear larger health
warnings. In an effort to reduce supply, the document also calls for a crackdown on counterfeit products.

The WHO hailed the government’s decision. “We are positively thrilled,” said Buzurukov. “It would have been great if it had happened even earlier.” According to the WHO web site, Angola and Uganda, for example, both ratified the document last year.

Galina Sakharova, deputy director of the government’s Pulmonology Research Institute, attributed the delay to heavy lobbying by the tobacco industry and a government reshuffle in 2004, a year after the convention was opened.

Russia has attracted significant investment from tobacco companies in recent years as they looked to make up for markets where tight anti-smoking regulations had come into effect, including neighboring Ukraine.

British American Tobacco, a leading domestic producer, said Thursday that it supported Russia’s efforts to enter the convention, but that it expected that government decisions about regulating the industry would be balanced.

“Every country is an individual case, and practical decisions aimed at reducing the effect of tobacco consumption on health may vary
significantly,” company spokesman Alexander Lyuty said in an e-mailed statement.

The government’s health watchdog, the Federal Consumer Protection Service, said in November that 65 percent of Russian men and 30 percent of women smoke. Some 400,000 people died in 2005 from smoking-related illnesses, according to government statistics released last year. In 2000, the government recorded 340,000 such deaths.

Thailand Joins World With Smoking Ban In Bars

Thailand to ban smoking in bars, restaurants: Health ministry

BANGKOK (AFP) — Thailand will ban smokers from lighting up in bars, restaurants and open-air markets across the kingdom in a bid to curb smoking, the public health ministry said Friday.

The ban will take effect on February 11 and smokers violating the regulation will be fined 2,000 baht (60 dollars) with night club and restaurant owners facing a 20,000 baht fine, a health ministry official said.

Thailand already bans smoking at public places such as government buildings, train stations and hospitals. Hathai Chitanondh, who heads the anti-smoking NGO National Health Foundation, said he would lobby the government to expand the smoking ban to public beaches.

“Thailand is a leading country in this region to aggressively fight against smoking. We have reduced the number of smokers to around 9.4 million” of the 65 million population, Hathai told AFP.

In addition to banning smoking in Bangkok’s bars and nightclubs, the new regulation will also prevent people from lighting up in the popular Chatuchak market, the city’s biggest outdoor market and a major tourist draw, he said.

Although Thailand was long a holdout for smokers, Pavornwan Koonmongkon, president of the 70,000-member Thai Restaurant Association, said she believed the ban would face little resistance.

“Smokers usually cooperate and respect no-smoking rules. This shouldn’t cause any problems. I think it’s a sign of the success of the government’s campaign to raise public awareness about smoking,” she said.

Wisconsin’s Cigarette Tax Inspires Many To Quit.

Jan 10, 2008 11:32 AM (1 day ago) AP

MADISON, Wis. (Map, News) – The increase in Wisconsin’s cigarette tax seems to have inspired many to quit.

The week after the tax went up, the state’s tobacco quit line received as many calls as it got all of last year. Nine-thousand people called the toll-free line in the first week of January. Usually only about 200 people a week call the Wisconsin Tobacco Quit Line.

The cigarette tax increased by US$1 per pack on Jan. 1.

On New Year’s Day, the tax for a pack of cigarettes in Wisconsin increased by $1. Wisconsin residents are now paying $1.77 in taxes for a single pack of cigarettes. The tax on a single pack of cigarettes in Michigan is $2. Maureen Busalacchi, executive director for SmokeFree Wisconsin, said the organization estimates 33,000 adults will quit for good because of this tax increase.

Thousands of people are calling 1-800-QUIT-NOW looking to quit, she said. The demand for quitting is high, and two-week starter kits of medication are being offered to help smokers kick the habit.

“With the support people are getting from the quit line, hopefully, that number will be higher but that is our projection,” Busalacchi said. Wisconsin has a population of 5.5 million, and there are 900,000 smokers in the dairy state.(HK has 7 million population and 840,000 smokers hence the comparison)

A smoker usually does not quit the first time he or she tries. “The more you quit, the better you get at it. If you’re not successful, try again because your success rate increases,” Busalacchi said. Among carcinogens and other harmful chemicals, cigarettes contain nicotine, a highly-addictive substance. “Your brain is calling for this,” Busalacchi said. “We should support (people) and help them so they can be successful in quitting.” Busalacchi said Smoke Free Wisconsin was one of the biggest proponents of this tax increase. “We support it because it is the best way to reduce use from starting a lifetime of 66,000 kids won’t get started smoking because of this tax,” Busalacchi said. “We hope that it exceeds our expectations in the number of people that quit smoking. With health care costs and how much Wisconsin spends a year, that can be nothing but a good thing.”

Wisconsin currently spends $10 million a year for tobacco prevention, according to Smoke Free Wisconsin. The U.S. Centers for Disease Control and Prevention (CDC) recommends the state spend between US$31.2 million and $82.4 million a year to have an effective, comprehensive tobacco prevention program.

Money generated from the increased tax on cigarettes will go into the state’s general fund. “It originally was suppose to go into Medicaid, which is really the best place for taxpayers … we spend over a half a billion dollars in Medicaid treating tobacco related diseases. That is just Medicaid,” Busalacchi said. Wisconsin is the 12th highest taxed state for cigarettes in the nation. Six states have cigarette tax rates of $2 or more with 22 states that have cigarette tax rates of $1 or more. New Jersey is the highest at $2.28 in taxes for a pack of cigarettes.

US Anti-Tobacco Efforts

U.S. falls short in anti-tobacco efforts – report

Thu Jan 10, 2008 12:00am EST – Reuters
By Maggie Fox, Health and Science Editor

WASHINGTON, Jan 10 (Reuters) – The U.S. Congress and President George W. Bush have stymied efforts to tighten regulation of tobacco and discourage smoking and states have not spent nearly enough to battle cigarettes, the American Lung Association said on Thursday.

The group implied that heavy lobbying and spending by tobacco companies was influencing at least some politicians and urged Congress to give the Food and Drug Administration the authority to regulate cigarettes.

“While many states have failed to make meaningful progress at protecting their most vulnerable citizens, the tobacco companies are spending billions of dollars annually marketing their deadly products,” the report reads.

“A report issued by Common Cause and the Tobacco-Free Kids Action Fund found that the tobacco industry made almost $3 million in Political Action Committee contributions to federal candidates during the 2005-2006 election cycle, including more than $1.7 million in contributions directly to federal candidates,” it adds.

“The Institute on Money in State Politics found that tobacco companies and retailers gave over $96 million to state-level candidates, committees and ballot measure campaigns during the 2005 and 2006 election cycle.”

In 1998, states reached a settlement with tobacco companies in which they received $246 billion over 25 years to pay for the costs of smoking-related illnesses.

But anti-smoking campaigners say states have raided these and other tobacco-prevention funds to cover budget deficits, build roads or pay for non-tobacco related projects.

PRESIDENTIAL VETO

“While the American Lung Association applauds the U.S. Congress for increasing the federal cigarette excise tax by $0.61 to $1.00 per pack, unfortunately it was vetoed by the president and will not take effect,” the report read.

“The increased tax would have resulted in current smokers quitting and fewer children starting to smoke.”

The report praises efforts by some states.

Twenty-one states, the District of Columbia and Puerto Rico have now approved comprehensive smoke-free air legislation,” it reads.

In 2007, seven states — Illinois, Maryland, Minnesota, New Mexico, New Hampshire, Oregon and Tennessee — significantly strengthened their smoke-free air laws. Tennessee is the first traditional tobacco-growing state to pass strong restrictions on smoking in public places and workplaces.

But states are slower to raise tobacco taxes — which several studies show can deter smokers. And they also do not spend nearly as much as is recommended on programs to prevent smoking and to help smokers kick the habit, the Lung Association complained.

“More than half of states have not passed comprehensive laws prohibiting secondhand smoke in workplaces and other public places,” the report reads.

“Until the political will can be found to implement the proven and effective policies graded in this report, over 438,000 people each year will continue to die from tobacco-related diseases.”

The Lung Association report accuses tobacco companies of marketing to youths and even to children with new flavored cigarettes and brightly colored packaging.

Nearly 21 percent of Americans smoke — a total of 45 million people, according to the U.S. Centers for Disease Control and Prevention.

(Reporting by Maggie Fox, editing by Todd Eastham)