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Reply to Does smuggling negate the impact of a tobacco tax increase?

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James Middleton, NGO

Clear the Air

Re: Does smuggling negate the impact of a tobacco tax increase?. Tsui tobaccocontrol-2015-052310doi:10.1136/tobaccocontrol-2015-052310

NOT PEER REVIEWED

This article is manifestly wrong in material content.

Hong Kong has in fact, two current large domestic manufacturers of tobacco products, Hong Kong Tobacco Co Ltd and Nanyang Brothers Tobacco Co Ltd.

Moreover the HK Customs Dept are all over the local dial-up-delivery smuggling syndicates to the extent that the tobacco funded front groups ITIC and Oxford Economics had to produce wildly false and flawed Information on the supposed level of illicit product availability (suitably decimated by the following reports).

The HK Government gauges smoking prevalence from its Thematic Household survey reports; what is lacking in Hong Kong is the absence of questions in these Thematic Household Surveys seeking information on how many interviewees had purchased and / or used illicit tobacco in the previous year, the price they paid for it and the frequency of such DNP usage and whether they were concerned that the ingredients / nicotine/tar levels would most likely be far more toxic than the excise DP cancer sticks.

Only with the incorporation of this relevant data could the claimed 10.7% prevalence levels be accurately gauged.

In Singapore which has a lower cost of living than Hong Kong, a DP packet of Marlboro retails at HK$ 76 whereas the same DP packet in Hong Kong costs only HK$ 50, meaning tobacco remains affordable and available to HKG youth and there is no tobacco retailer license system, no POS display legislation and no onus on liquor /mahjong / sauna licensees to enforce the anti smoking legislation in their premises.

The Health Department Policy Bureau failed to seek an excise increase in the last Budget, according to the Financial Secretary in an RTHK radio interview in Feb 2015.

The Tobacco Control Office has just over 100 ‘enforcement’ officers to cover Hong Kong, Kowloon, the New Territories and the Islands area over two shifts meaning they have insufficient manpower to patrol.

http://seatca.org/dmdocuments/Asia%2014%20Critique_Final_20May2015.pdf
http://tobaccocontrol.bmj.com/content/early/2015/01/05/tobaccocontrol-2014-051937.full
http://www.legco.gov.hk/yr11-12/english/counmtg/hansard/cm0322-translate-e.pdf page 7400
http://www.customs.gov.hk/en/publication_press/press/index_current.html
Shows the multiple seizures and arrests.

Hong Kong Tobacco Company Ltd Address : 3/F Paramount Building, Hong Kong Tel 25618111 Owner Charles HO Tsu Kwok https://webb-site.com/dbpub/positions.asp?p=4462 http://www.bloomberg.com/research/stocks/people/person.asp?personId=8075652&ticker=1105:HK https://webb-site.com/articles/bauhiniafound.asp

Nanyang Brothers Tobacco Co Ltd http://www.nbt-hk.com/ Location: Tuen Mun Hong Kong http://www.zigsam.at/B_Peel.htm http://www.scmp.com/news/hong-kong/law-crime/article/1846318/tobacco-worker-43-dies-industrial-accident-hong-kong Nan Yang also manufacture flavored tobaccos (PEEL)which are sold in the local market http://english.caijing.com.cn/2004-03-20/110030213.html

Smuggling arrests http://www.siic.com/en_service_4.html

Nanyang owners Nanyang Brothers Tobacco Co., Ltd. Nanyang Brothers Tobacco (short for “NBT”)is the largest cigarette manufacturer in Hong Kong, of which main brand is “Double Happiness ” and has a history of more than 100 years. At present, “Double Happiness” has been one of the most valuable trademarks in the tobacco industry. The production base of NBT is located in Tuen Mun, Hong Kong. NBT owns advanced manufacturing techniques, and its process of production is completely under computer control and management in order to guarantee the quality of products. The product of NBT is not only sold to China Mainland, Taiwan, Hong Kong and Macao, but also sold to Singapore, Thailand and Korea and so on. In 2011, its sales revenue and net profit reached 2,473 million HK dollars and 610 million HK dollars respectively.

Cigarettes manufactured by Nanyang Brothers Tobacco Nanyang Brothers Tobacco Co. Ltd., located at Tuen Mun, New Territories, Hong Kong, China

Nanyang Brothers Tobacco Co. Ltd., located at 9 Tsing Yeung Circuit, Hong Kong, China Founded in 1906. NANYANG means SOUTH PACIFIC. Current PRODUCTS: Alain Delon, Centori, Chunghwa, DJ Mix, Just Above, Peel, Polar Bear, Shuang Xi, Texas 5, (The Globe), Wealth

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