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Hilton Maker Demonstrates Great Earnings for 2013

hilton cigarettes
British American Tobacco (BAT) revealed greater earnings for 2013 as sales of its major brands persisted to increase and it succeeded to increase prices, even though negative exchange rate actions have affected the profit progression.

The world’s second giant cigarette manufacturer by profit after Philip Morris International (PMI) announced pretax revenue of GBP5.80 billion for the year, higher from GBP5.59 billion in previous year, as profits boosted to around GBP15.26 billion, from GBP15.19 billion, and it additionally raised margins by means of cost cutting.

Mentioning the effect of currency moves, the company stated its profits were practically plain at present rates, however would have been higher 4% if foreign currencies had continued to be stable around the year. Revenue from operations has boosted by 3% at recent rates. It was specially affected by sterling’s weakness against the Brazilian real, South African rand, Japanese yen and Australian dollar.

BAT’s story has been identical for many years: stable revenue growth as it concentrates on promoting growth of its key brands in Asia and some other growing markets and decreasing costs, compensating ongoing decreases in sales in the majority of emerging markets and in entire cigarette sales volumes.
2013 demonstrated similar results. It once again boosted the market share and volumes of most of its best selling cigarettes such as Dunhill, Kent, Lucky Strike, Hilton, Viceroy and Pall Mall. Dunhill volume increased by 9.7% and Pall Mall boosted by 4.4%, while both Kent and Lucky Strike demonstrated lower results 2.9% and 6.5% respectively.

Entire worldwide cigarette volume sales declined 2.6%, whilst cigarette volumes dropped 2.7%. On the other hand, sales of global brands expanded 2.1% and all round volume growth for the key brands constituted 1.9%.

The company representative declared that they will include the Rothmans brand to the key drive brands portfolio starting 2014. He also stated that the difficulties still remain this year, with the recovery still weak, mainly in its southern European markets. On the other hand, the pricing environment continues to be decent. “BAT persisted to operate ardently in 2013, with one more year of outstanding profits advancement and cash flow, to some extent compensated by currency headwinds. The group’s key cigarette brands also gained exceptional progress in market share and volume. Challenging trading difficulties remain a problem in several places of the world, particularly in southern Europe, however these final results illustrate that the group’s approach proceeds to provide strong revenue and dividend increase,” Chairman Richard Burrows stated in a report.

Taking into account the company’s solid overall performance in latest years, it also has an emphasis on its cash flow. Operating income increased 5% to GBP5.32 billion in 2013. Free earnings went up 3% to GBP3.37 billion.

Sale of tobacco products before Monday tax hike

Abed Abuhadid has one word to announces the business in his tobacco shop in the days before the increase in the cigarette tax by $ 1.60 a pack.

Business-taxes-270x300One of his clients store at the Smoke & Cigar Depot in Waite Park, Phyllis Zimmerman, pats a plastic bag she keeps that hung cigarettes cartons.

“It’s eight boxes,” Zimmerman said. “I think it’s stocking up.”

The cigarette tax rise will come into force on Monday, the first day of 2014 state fiscal year, along with a number of other changes to the state law passed during the 2013 Minnesota’s 2013 legislative session.

Abuhadid has ruled Smoke Shop for 16 years, during which time he had seen a few cigarette tax rise. But this is the greatest thing he’s seen by far, more than doubled in the package of state tax from $ 1.25 to $ 2.90, according to the House Public Information Services.

Supporters say the move will encourage some smokers to quit and to reduce public health costs of smoking, in addition to generating new tax revenues.

But Abuhadid doubt the tax increase will be additional revenue for the state. He says that some heavy smokers will go to surrounding states to buy cigarettes instead. In addition, he said that more customers roll their own cigarettes and smoking electronic cigarettes to save money.

Another of his clients, Kathy Nyberg of Avon, said she was trying to quit smoking in part because of higher taxes. At the same time, however, she is not a fan of the move. “I think it stinks,” said Nyberg.

Two new sales taxes on businesses takes some effects on Monday for transaction that were are not subject to the tax. They apply to companies that buy electronic and commercial repair and telecommunications equipment.

Dream Act

Some students living in the country illegally can get a living teaching in colleges and universities of Minnesota and state financial aid under the new law.

Dream Act is part of a broader higher education that the budget law shall come into effect on Monday. The law also freezes the training of students for the next two years in the Minnesota State Colleges and Universities, including Saint-Cloud State University and St. Cloud and Technical College.

Students without documentation will be eligible for resident tuition and state financial aid if they meet certain criteria, such as having attended high school for at least three years in Minnesota, in compliance with the requirements for selective service, and to prove they are applied, to have legal status, if such a process is established at the federal level. Director of the state institutions of higher education expects about 755 students in the state of Minnesota will take advantage from the new rules. The office is in the process of preparing an application for such students, said its spokesman, Sandy Connolly.

St. Cloud-area parks and trails will benefit from nearly $ 3 million in funding through grants to Minnesota’s Clean Water, Land and Legacy Amendment.

The grants are going to go out for the two-year budget cycle, which begins on Monday. They include a $ 1 million Sauk River Regional Park in Sartell, $ 1,000,000 to extend the Lake Wobegon Regional Trail and $ 930,000 to extend the Rocori Trail.

The funding River Juice Regional Park – the proposed park across the river from the juice of Whitney Park on the Sartell’s South edge – would be for land acquisition, trail improvement and other improvements.

Lake Wobegon Trail boosters want to extend the trail from its terminus in St. Joseph into downtown St. Cloud. A proposed first phase of the expansion would bring the trail River’s Edge Park in Waite Park.

Rocori Trail backers want to connect Cold Spring and Rockville to the existing trail. This would allow access to the two regional parks in Rockville: Rockville County Park and Park Eagle.

Ministry wants 70 pc of price as taxes for tobacco products

The Health Ministry is all set to introduce a hike in on tobacco products taxes in its budget proposal so that it wants the tax component to be 70% of product retail price.

on-12-19-2012This is dramatic to taxation under which the country’s tobacco taxes are among the lowest. Less then 10% of retail price, state taxes and 40% of cigarette prices account for VAT.

We have proposed that 70% of the retail price of tobacco products should be taxes including VAT, GST and other levied measures, said senior at the Tobacco Control Department of the ministry. The official attributes correlate between the drop in demand with tobacco product price increase.

Our move is in line with the spirit of the 12th Plan where the concept of a sin tax funds expanses on control of non-communicable diseases.

According to tobacco economics report by the Bloomberg Initiative to reduce tobacco use, 10% increase in tobacco prices of tobacco products is for reducing bidi consumption by 9.1% and cigarettes by 2.6%.

The report made by researches including Dr. Prabhat Jha saying that India increase tax rate on bidi from Rs 14 for 1,000 sticks to Rs 98, from 9% to 40% of retail price, and from Rs 659 to Rs 3,691, from 38% to 78%, it will save 20 millions of lives in India.

A cigarette tax increase to 78% will avert 3.4 million premature tobacco deaths and rise about Rs 246.3 billion in gov each year.

India’s tobacco taxation structure has for long been criticized by the anti-tobacco activists.

Despite being a signatory of the WHO Framework Convention on Tobacco Control (FCTC), India’s steps in that direction are widely viewed as poor. In 2011, the WHO had even imposed a fine on India for insufficient anti-tobacco

Health Coalition seeks $ 1 increase in the cigarette tax

Supporters of health care make $ 1 increase in taxes on the sale of cigarettes their top priority for the 2013 session of the General Assembly.

Health for All Coalition President Vincent DeMarco said at a press conference on 14 November that the new tax hike will be based on the success of the 2008 tax increase and the increase this year on smokeless tobacco and cigars are not enough. Supporters say reduce tobacco use in Maryland may be associated with the last tax increase.

“Over the past ten years, the three tax increase on cigarettes reduced smoking by 35%,” said Marco.

Marco and the other defenders of the cigarette tax said that tax increases are effective in preventing young people from buying cigarettes.

Since 2000, the government increased taxes on cigarettes by $ 1.64.5$ 1 increase in 2007 generated about $ 100 million in revenue, Marco said.

The money went into the general fund and assist in the expansion of Medicaid in 2009, said Matthew Celentano, deputy director of the Maryland Citizens Health Initiative.

Coalition published a list of more than 600 groups that supported the tax increase, including religious communities, trade unions and health advocates.

“It is a measure of the health of the social income,” said Marco. “This is different from other taxes, and they have strong public support.”

2012 study conducted by the Annapolis-based research firm opinion of the citizens of Maryland and funded by the Health Initiative found that 65% of voters in favor of raising taxes on tobacco.

“Some lawmakers say it is a regressive tax, it affects poor people more, but to do so on health,” said the Rev. Fred Weimert, chairman of the Central Maryland Ecumenical Council. “This is a community that needs health care.”

 Delaware Michael D. Smigiel was a critic of tobacco tax increases, because, in his words, taxes just a way for the state to get more revenue from people who are addicted to tobacco.

“There’s a relationship here, and it has nothing to do with tobacco,” Smigiel said. “We are dependent on money. If this is about health, let’s be the first state in the nation to ban all tobacco.”

Another problem, Smigiel said that Marylanders will drive across the border to states with lower taxes on tobacco as Virginia, to buy tobacco products.

“And until they are, they will buy the eggs and milk and bread and lottery tickets and alcohol, and we will lose all that revenue,” Smigiel said.

Comptroller Peter Franchot did not approve the tax increase, he is more focused on getting legislation passed to toughen penalties for the smuggling of tobacco products into or through Maryland from a low tax rate for these products.

“The two issues tax increases and punishment smuggling] to be together,” said Kim Frum, the press service Franchot author. “Raising taxes on cigarettes without tightening of smuggling is going to lead to more problems. This is a very profitable smuggling operations.”

Smoke price hike

Solomon Tobacco smokers hit with a 50% rise in popular Pallmall blue cigarettes effective as of yesterday.

The sharp rise in prices, which smokers caught by surprise, I saw a pack of cigarettes now selling for $ 30 from the previous $ 20 in retail stores.

A single roll of the dollar rose to $ 2.

Corporate and Regulatory Affairs Manager Lilly Lomulo said that the price increase was due to an increase in production costs, the company can no longer absorb.

“Over the past four years the company has been absorbing the increase in raw material costs and tariffs,” Ms. Lomulo said.

“But we can not do it, so I decided to take this measure to meet the goals of the company as a business entity,” she added.

This decision has already had an impact on the customers who have purchased one roll a cigarette for $ 2 on the street.

In the blue box Pallmall increased from $ 5,000 to $ 8,000.

Asked if the continuous breakdown of machines the company had been experiencing contributed to the price hike, Mrs Lomulo said like any other businesses, Solomon Tobacco has its own constraints.

“We have experienced a car accident in the past, but that is no reason for the price increase. This is mainly due to the increase of imported raw materials and tariffs,” she said.

Ms. Lomulo showed the company is currently running low on food to meet the growing demand.

Asked if this is a measures taken by the company for meeting their annual sales, volume and profit targets, Mrs. Lomulo said that this is a business, and “we must meet the expectations of shareholders.”

However, she said that the price increase will not affect its Emu twist product.

This sudden and sharp increase in cigarette prices would mean smokers have to dig deeper into their pockets to meet this fascinating habit.

Recently, customers have come across cases cigarette packs, which have a smaller number of cigarettes they have different tastes, some of the defects found, which raises issues of product quality.

But Mrs. Lomulo said if those reported to them they will not know the cause of the problem.

Abbott town proposes making park tobacco-free

Abbott city officials are considering making the borough’s recreation park and sports fields on High Street tobacco-free facilities.

The issue was brought to a recent Borough Council meeting by Abbott town Mayor Perry Shearer who reported on the statewide “Young Lungs at Play” initiative being supported by the Pennsylvania State Association of Boroughs.

Shearer said that he and his wife, Debbie, who is president of the City Council, learned about the concept of the fall conference of the association.

“This is really a good idea for our park,” Mayor Shearer said. “In the district officials, we have to set a good example. Children learn from what they see and when they see adults smoking or using tobacco, they see that behavior as acceptable.”

“Young Lungs at Play” is directed not only to clean the air in parks and playgrounds, but also reduce the toxic waste. The initiative says cigarette butts are the most littered item in the world, and that they are hazardous to the environment and costly to clean up.

Shearer said small children and animals are at risk of swallowing, choking or burning themselves discarded butts and risk of poisoning with drugs nicotine.

Debbie Shearer said the North Central Coalition for Tobacco Control, free and attractive features of municipalities willing to support the initiative by adopting a tobacco-free resolution of the park.

The sign shows a young child on a swing with a warning in large letters: “Young lungs at Play!

This is a Tobacco-Free Zone “.

The council directed its secretary Lorene Greer to contact the Coalition for a sample resolution, which can then be modified as necessary for use in the area.

According to literature of the coalition, posting the signage and having a resolution on the books allows borough officials to impose fines for the illegal use of tobacco. Council members said they were not immediately sure how high they can set fines.

The borough solicitor Guy Beneventano said he would bring a draft of the proposed ordinance back to a borough meeting for review by the council.

“This is what we want to do,” said Debbie Shearer. “This is something that should be done.”

Health advocates say the higher prices of tobacco

Community activists and health officials say the increase in the cost of tobacco products, as a result of the last increase in the state tax creates an effective deterrent for young people.

“This will lead to a third fewer young people from these deadly products,” Vincent De Marco, president of the Health Initiative citizen of Maryland and a leading lobbyist for the tax hike, said the cost of tobacco products. He spoke at a press conference on Wednesday at Mergenthaler Vocational Technical High School in Baltimore.

After lobbying from the coalition, the General Assembly raised the tax on small cigars from 15% to 70% and smokeless tobacco from 15% to 30%, which is much higher than what neighboring states charge.

The tax increase was designed to target small, often sweet taste and bright packaged cigars are widely available in gas stations and stores.

Before the tax increase, a package of five small cigars in Baltimore cost about $ 5.50, according to a study of the Legal Resource Center at the University Of Maryland School Of Law. Now, the package costs about $ 8, according to the coalition.

“This will lead to a third fewer young people from these deadly products,” Vincent DeMarco, president of the Health Initiative citizen of Maryland and a leading lobbyist for the tax hike, said the cost of tobacco products. He spoke at a press conference on Wednesday at Mergenthaler Vocational Technical High School in Baltimore.

After lobbying from the coalition, the General Assembly raised the tax on small cigars from 15% to 70%, and smokeless tobacco from 15% to 30%, which is much higher than what neighboring states charge.

Tax increase was designed to target small, often sweet taste and bright packaged cigars are widely available in gas stations and stores.

Before the tax increase, a package of five small cigars in Baltimore cost about $ 5.50, according to a study of the Legal Resource Center at the University Of Maryland School Of Law. Now, the package costs about $ 8, according to the coalition.

Adolescents are particularly sensitive to changes in prices, said Matthew Celentano, deputy director of the Maryland Citizens Health Initiative.

“Taxes on tobacco products produce a very predictable outcome, especially among children,” Celentano said. “Kids just get priced out of the market.”

According to the 2010 Maryland Youth Tobacco Survey, smoking among high school-aged young people has declined from 23 percent in 2000 to 14 percent in 2010, due in part, Celentano said in the past to increase taxes on cigarettes. At the same time, the cigar use among the same group increased by 11.2 per cent.

“The higher the perceived difficulties in obtaining product, the less likely you will be to use the products,” said Donald Shell, director of the Maryland Department of Health and Mental Hygiene, Center for the Prevention and Tobacco Control.

Tobacco tax – passed as part of a larger tax bill during a special legislative session in May – is expected to generate about $ 5 million in state revenue from financial 2013. DeMarco Celentano said that these revenues should be devoted to health initiatives.

Recent tobacco tax increase – $ 1 per pack tax on cigarettes – entered into force in 2008.

Delaware Michael Smigiel of Elkton, an outspoken critic of tax increases, said he is skeptical that any of this money will end up in health initiatives.

“We are dependent on the money more than we are interested in getting the children to quit smoking”, Smigiel said. “Taxation is not the answer, education is the answer. If this is really about saving children from smoking, increase the maximum age and educate them.”

Celentano said that income is not directed to a specific program, but that the organization will work with Governor Martin O’Malley’s office during the budget process, as it was after the last tobacco taxes increase.

“The revenue is important, of course, but is still going to prevent tons and tons of kids from using these products. This is the more important thing,” he said.

Tax-hike on chewing tobacco

The Campaign for Tobacco-Free Kids estimates in Maryland’s tax increase on smokeless tobacco and cheap cigars which began in July will reduce the number of young people using these products by one third, according to a University of Maryland Law.

The tax increase passed in May raises the tax on smokeless tobacco and smoking from 15% of wholesale value of up to 30%. Meanwhile, the tax rate for non-premium cigars, such as cigarillos, Swisher Sweets and Black & Milds, increased from 15% to 70%.

“Those kinds of increases that will have dramatic consequences,” said Vincent DeMarco, president of Maryland Citizens Health Initiative.

Cigarette smoking is down

In the past 15 years, smoking among teens has declined by 40% in Maryland. After a series of tax increases in the gap, currently $ 2 dollar tax per pack.

Although DeMarco said increasing the cigarette tax was successfully and deterring teens from cigarette’s buying, they turned to cheaper alternative like little cigarettes or cigarillos.

AS the tax rate for cigars has remained at 15%, was 11% increase in cigar smoking among young people. Non-premium cigars can be bought for 69 cents to $ 1.50 in the stores and gas stations.

They are sold in different flavors like chocolate, vanilla, grape and strawberry.

On average, the tax increase has increased the price without premium cigars by about 40 cents and five packages for about $ 2.00.

“When you have to pay, say, $ 8 for a pack of cigarettes, and you’re a 15-year-old, do not know to become a pack a day smoker, because you just do not have enough money,” said Peter Hamm, former tobacco users and the national director communications campaign for Tobacco-Free Kids. “But, then there are these convenience stores and other outlets where you can buy a single little flavored cigar for a dollar, and every 15- or 16-year-old has a dollar.”

“You start small with no price shock, and then you care a little less about the price, because my brain is telling me I need more of this material,” Hamm said.

Smigiel: growth in an attempt to raise incoming taxes

Del Mike Smigiel, R-Cecil, opposes the tax and said it was a disguise for the state to collect more revenue.

The other tobacco product tax revenue is expected to grow by 25% in 2013 and to increase the total of $ 24 million over five years, despite the projected decline in sales, the study of the law school said.

Smigiel said that Marylanders will leave the state to buy tobacco products, and other goods in neighboring countries, to save money. He added that the state will reach children more effectively through education rather than taxes.

“Government doesn’t belong to that choice for you,” said Smigiel. “A tax is not going to deter youth from using the product. Some peer pressure and getting ads out there to show the consequences of this, which is much more effective than force someone to escape from the state to buy tobacco for a week.”

Pro-baseball great influence on the use of smokeless tobacco

DeMarco said that raising taxes only solves part of the problem. Children are more likely to use tobacco when they see role models, such as baseball planyers using them.

The link between chewing tobacco and baseball goes back as far as the sport itself. The image of the All-Star and Hall of Famers with a big wad of tobacco in their mouths banks in their back pockets gives teens involved in sports is a dangerous idea.

Many players have seen tobacco take a toll on their health. Hall of Fame outfielder Tony Gwynn had a cancerous tumor removed from his cheeks in February, which he accuses of using smokeless tobacco.

Major League Baseball took a historic step this year when his five-year collective bargaining agreement is limited to the use of smokeless tobacco. Players and coaches can not carry tobacco cans or bags on their body or form at any time of the fans in the stadium. They are prohibited from using smokeless tobacco during televised interviews, autograph sessions or team-sponsored appearances. The restrictions do not prevent players from chewing while they are in the club or not in the field.

Fines for using tobacco chew

For the second offense, the other written notice is given together with the “recommendations” for counseling. It is not until the third offense, the offender must pay a $ 1,000 fine.

“We believe that there are a number of players who continue to chew tobacco in ballparks, where children can see them on television while they play, and sometimes even when they are interviewed,” Hamm said. “We believe that it is not living up to the spirit of the agreement. We understand that there are cultural ties, and we’re going to be as patient as we can.”

“The ball players have to accept the change, if it is ever to be successful.”

Missouri Higher Education Council approves the tax on tobacco

The Missouri Coordinating Council for Higher Education passed a resolution in support of Proposition B, the initiative to raise taxes on cigarettes and other tobacco products that appear on the November election.

The Coordinating Board for Higher Education supports a proposal from B, November ballot initiative to raise taxes on cigarettes and other tobacco related products. This initiative will lead to an increase in funding for higher education by about $ 85 million annually. The CBHE approves measure to devote 25% of revenue for higher education for the training of future health professionals – including doctors, dentists, pharmacists, nurses and others – for high-paying jobs and to address the health needs of the state. The CBHE believes that this additional funding for higher education will make quality higher education more accessible to students, Missouri, enhance economic development and will improve the quality of life for many Missourians.

Board member Lowell Kruse, the former CEO of Heartland Health in St. Joseph, said: “Raising taxes on cigarettes – which is the lowest in the country – serves two important purposes: It will increase funding for education, which is in critical short supply, and it will improve the health for Missourians “.

The November ballot would raise the tax on cigarettes Missouri 90 cents per pack, the report says Associated Press. Currently, 17 percent of the tax is the lowest nationally. This initiative will also raise taxes on other tobacco products.

The proposal is projected to generate between $ 283 million and $ 423 million per year, 55% of the money will go to public schools, 25% of higher education and 20% to efforts intended to prevent people from using tobacco or to help them quit smoking.

Mexican industrial group accuses cigarette smuggling in the tax

Mexican industrial group said Tuesday, increasing the cigarette tax, which came into force in 2011 led to the proliferation and smuggling of illegal cigarettes, which now accounts for about 17% of cigarettes sold in the country.

Confederation of Industrial Chambers or Concamin, said tobacco use has not declined in the year-and-a-half since the higher tobacco tax took effect, although sales of illegal cigarettes has reached record levels.

Congress approved the higher tax on cigarettes at the end of 2010, despite protests from the country’s cigarette makers – local unit of Philip Morris International, Inc (PM) and British American Tobacco PLC (BTI, BATS.LN) – and from the tobacco manufacturers.

Finance Ministry data show that the government collected MXN16.5 billion ($ 1.25 billion) from the tax on tobacco products in the first six months of this year, about 9% more than in the first half of 2011 and a little more than it has collected on alcoholic beverages, including beer.

Excise taxes on cigarettes, alcohol, telecommunications, and other goods and services, helped partially offset the financial subsidies for gasoline in the first six months of the year in the state oil monopoly Petroleos Mexicanos fuel sold for less than it cost to import it.

Concamin said his research showed most of the contraband cigarette sales are on the open market and informal institutions, and buyers are mostly men with low-income populations. The highest rates of consumption of contraband cigarettes were in the north-west and south.

The group says that the majority of the more than 5,000 respondents across the country believe that the price of legal cigarettes, which averages 35.50 pesos per pack of 20, was high, and the price of smuggled brands MXN20.50 packaging was fair.

Concamin said the tax would distort the internal market of tobacco, and called for measures to limit the sale of illegal cigarettes. Finance Ministry officials were not immediately available for comment.

Should we set a date for a Tobacco-Free in Australia?

It has been 100 years since the first medical textbook to define the relationship between smoking and lung cancer. How strange that in 2012 we can go to Coles and Woolworths and buy cigarettes? Do we live in a twilight zone in which the strangeness of the world’s detectors was turned off?

Retail sale of tobacco in Australia is 15,000 preventable deaths annually. Ban on retail sale of tobacco to almost every other public health in Australia, a trivial sideshow. It’s time to set a date for a Tobacco-free Australia. It is strange that Coles could trumpet its ethical authority in the sale of animals at 2300000000 cigarettes a year – enough to kill more than 1,600 Australians. This corresponds to about $ 30,000 profit on each life lost for cigarettes. Meanwhile, sales Coles “Cigarette promote tobacco-related health care costs more than $ 300 million a year.

The country remains the decision of the Council of Cancer Australia to connect with Coles to promote its annual fundraiser cancer, daffodil day. Coles slings Cancer Council paltry $ 2 million a year to compensate for the trace of cancer. The government does not seem to think that it is wrong, that retail sales of cigarettes. But it would be wrong to sell confectionary cigarettes and chewing tobacco, which are prohibited: chewing tobacco, because it can cause cancer, confectionary cigarettes, because they encourage children to smoke.

It is strange that a real cigarette with added nicotine is chemically engineered to do a lot better as encouraging smoking causes cancer, but they are not allow. I called to ask the Australian Competition and Consumer Commission (ACCC) “Product Safety in Australia’s why cigarettes are not banned. They do not know. Under the new law, the Australian consumer in 2010, however, they are happy to receive reports of any consumer product that causes harm. Doctors – Are you listening? Retail tobacco act committed by people with high socio-economic power. But many smokers do not have any political or financial power, and not to respond to government regulations lawsuits. This makes it easier for state regulation to focus on the act of smoking rather than sales. There are bans on smoking in many public places, in cars with kids in some private homes and in hospitals.

Television advertising paid for by the Government to focus on de-normalizes smoking. But collateral damage is de-normalization of smoking itself, which leads to stigmatization. Again and again, they remind the government, which taxes them heavily, but does not prohibit the source of their addiction, they can die an early death, disfiguring, and never see their children grow up. That’s some tough love. When we finally reach a logical conclusion that a ban on tobacco is much more compassionate than the contraction of smokers is more and more painful stigma?

It has been 100 years since the first medical textbook to define the relationship between smoking and lung cancer. How strange that in 2012 we can go to Coles and Woolworths and buy cigarettes? Do we live in a twilight zone in which the strangeness of the world’s detectors were converted…

Disclosure Statement

Craig Dalton does not work, refer to, its own shares or receive funding from any company or organization that would benefit from this article and is not relevant subsidiaries. The conversation provides independent analysis and comments of the scholars and researchers. New Zealand wants to be largely the Tobacco Free in 2025, Finland has set 2040 as the target date. Jago R It has been 100 years since the first medical textbook to define the relationship between smoking and lung cancer. How strange that in 2012 we can go to Coles and Woolworths and buy cigarettes? Do we live in a twilight zone in which the strangeness of the world’s detectors were turned off?

Retail sale of tobacco in Australia is 15,000 preventable deaths annually. Ban on retail sale of tobacco to almost every other public health in Australia, a trivial sideshow. It’s time to set a date for a Tobacco-free Australia. It is strange that Coles could trumpet its ethical authority in the sale of animals at 2300000000 cigarettes a year – enough to kill more than 1,600 Australians. This corresponds to about $ 30,000 profit on each life lost for cigarettes. Meanwhile, sales Coles “Cigarette promote tobacco-related health care costs more than $ 300 million a year.

The country remains the decision of the Council of Cancer Australia to connect with Coles to promote its annual fundraiser cancer, daffodil day. Coles slings Cancer Council paltry $ 2 million a year to compensate for the trace of cancer. The government does not seem to think that it is wrong, that retail sales of cigarettes. But it would be wrong to sell confectionary cigarettes and chewing tobacco, which are prohibited: chewing tobacco, because it can cause cancer, confectionary cigarettes, because they encourage children to smoke.

It is strange that a real cigarette with added nicotine is chemically engineered to do a lot better as encouraging smoking causes cancer, but they are not allow. I called to ask the Australian Competition and Consumer Commission (ACCC) “Product Safety in Australia’s why cigarettes are not banned. They do not know. Under the new law, the Australian consumer in 2010, however, they are happy to receive reports of any consumer product that causes harm. Doctors – Are you listening? Retail tobacco act committed by people with high socio-economic power. But many smokers do not have any political or financial power, and not to respond to government regulations lawsuits. This makes it easier for state regulation to focus on the act of smoking rather than sales. There are bans on smoking in many public places, in cars with kids in some private homes and in hospitals.

Television advertising paid for by the Government to focus on de-normalizes smoking. But collateral damage is de-normalization of smoking itself, which leads to stigmatization. Again and again, they remind the government, which taxes them heavily, but does not prohibit the source of their addiction, they can die an early death, disfiguring, and never see their children grow up. That’s some tough love. When we finally reach a logical conclusion that a ban on tobacco is much more compassionate than the contraction of smokers are more and more painful stigma?

The ban on the sale of cigarettes is not the same as a ban on nicotine, which is still available. Skywalker We can not assume that a black market will thrive with a retail ban. This assumption is stopped dead discussion, we must begin. Even at current high levels of taxes on tobacco, tobacco-funded research only able to identify a significant black market. Independent studies show that less than 5% of smokers ever used illegal or “Chop Chop” tobacco regularly.

Compared to the time of the prohibition of alcohol are not entirely appropriate, since this is not a banned substance at the desired smokers – nicotine, which will still be available – but the ban on its most deadly form of delivery: retail sale of tobacco products. It is important to remember that the current nicotine replacement therapy can greatly facilitate the process of withdrawal.

Some health experts a future in which tax increases on tobacco products will fight against smoking rate to nothing without the ban. But this may not be realistic. Imagine only 5% of smokers Australians in 2025 – is more than one million people who are at risk of tobacco-related diseases. And it will be one million desperate people, if they pay $ 30 or $ 50 for a pack of cigarettes.

Times change, and the public is ready for the total ban on tobacco retail. 2005 New South Wales study found that 56% support the transition to a complete ban on the sale of tobacco products within ten years – nearly twice the support of the smoking ban in hotels (28.3%) and licensed clubs (30%) 2000. Bhutan banned the sale of tobacco in 2004, New Zealand set a target to 2025 for the tobacco end of the game (defined as less than 5% of the population still smoking tobacco and the extreme complexity of the purchase), and a coalition of health and related NGOs began to smoke-free Finland in 2040.

Target Date for retail tobacco ban would change the game in the negotiations with the Commonwealth Government’s tobacco companies. It would say – you are on borrowed time, and all of your flood threats our market with cheap tobacco and spending money on court cases only strengthens our resolve to make your product illegal.

Bananas raise farmers’ incomes, after falling of tobacco

Mukwa place in Bumula area is known for the cultivation of tobacco, but the dependence on cash crops has forced poor farmers to grow some bananas. And with support from the government through the national agricultural and livestock extension program (NALEP), farmers in the area now grow bananas to use on the market. First Lady Wanda, a beneficiary, says her family’s income has increased since they began to grow bananas. She bought two acres of land and raising a child from banana sales.

“We now have a steady source of income, and given another chance to choose, I’d still go for bananas,” says Ms. Wanda. She adds that low income is a major problem of farmers in the wrong place, facing due to the low yields and limited land base. “Only cash crop was tobacco Mukwa site, which has a negative impact on human health and environmental degradation by reducing the trees for the treatment of tobacco,” she notes. Bumula district agricultural officer, Simon Abwao said that the production of tobacco There were three disadvantages – high cost of production, low yields, poor prices and forests, as a result of cutting trees for the treatment of tobacco not to mention the deterioration of human health due to inhalation of vapors during processing.

“Revenue from tobacco products has declined at the time of delivery of the peasants in a difficult position. School dropout rate has increased due to the lack of payments and food insecurity in the set,” he said. District Agricultural Officer said that not only the cultivation of tobacco cost the farmer money, it also creates the potential environmental and health among farmers. “The whole situation is that farmers have a low income, developed respiratory tract, the school dropout rate has increased due to the lack of payments, and farmers have become sluggish.

Women and children were most affected by livestock and treatment process of their responsibility, “said Mr. Abwao. Thus, farmers have adopted the banana farming to increase their income, save the environment and improve their health. Bumula District Mukwa selected location, 2008 / 09 subject area and contributed to commercial production of banana as a viable alternative to tobacco. Mr. Abwao said earlier, farmers used to create indigenous varieties of banana crops in small quantities for sale at between SH150 and Sh200 at the farm gate. Agriculture official says that it was not sustainable due to low and subsistence nature of production, operation, intermediaries and inadequate local market.

In response to NALEP in partnership with the western Kenyan development projects and avoid the draft Flood-initiated attacks in 2009. “More than 69 farmers got together and created a common interest group called Mukwa CDDC as a CBO. Thirty-two members of the group were interested in the industrial production of bananas,” said Mr. Abwao.

The official added that the motion seeks to improve the performance of banana through improved agricultural practices, the best grades, the mobilization of local resources and loans, to increase farmers’ incomes. “Every member benefits from increasing the beams with the lowest sales at Sh300. On average, prices range from Sh500 to Sh700, and each produces at least 50 pencils a year,” Mr. Abwao said. He said that the extension officers and other experts train farmers participating in the program. “To coordinate the activities of the group, Liaison Committee, which is responsible for a network with interested parties on the ground,” said the chairman Wakola Wakoli. “To track the progress of the group holds monthly meetings with well-kept records.”

The group is also associated with the marketing committee of the business alliance against chronic hunger, which helps them sell their products. They expect to collect more than 6,000 bunches of bananas worth Sh3 million by the end of this month. He said that as a result of the project, more than 60 farmers have joined the group and members of the production of at least 50 beams of 0.25 hectares per year earn a minimum of SH25, 000. Mr Wakoli, said that women and children benefited most from this initiative, with a stable source of income, improving health, reducing child labor allows more children to walk to school and their parents to pay various fees. “Harmony at the household level has also improved, leading to a happy family.

Alcoholism in the group fell, as both men and women participate in group activities, “said Secretary of Basiliano Wasike. However, farmers are faced with several problems, including diseases such as banana mosaic virus and the high cost of labor for the initial investment. Marketing is still a problem due to some farmers fall prey to middlemen and sell their products outside the group. Marketing Committee, some members say, not very bright, and the absence of a collection center. Along with the disease, other obstacles are considered in the study.

Tobacco products to install to get more expensive

Cigarettes, cigars and pipe tobacco may be more expensive in the city of Pune Municipal Corporation (PMC) to initiate measures to hike octroi duties on these products up to 15% from the current 8%.

“PMC may charge more octroi on cigarettes, but the state must seek permission for the same. In Maharashtra, Nagpur civic body takes 15% octroi on tobacco products and the government gave them special permission. If the PMC wants to increase octroi, weshould follow the same procedure and seek a special permit from the state. corporators demand hike octroi is workable, “said the head of octroi Hemant Nikam, answering a discussion of the tax structure of the body at the General Meeting on Wednesday.

PMC earned a whopping Rs 19.52 crore in the octroi from the sale of cigarettes this year, compared to 17.84 lakh rupees a year earlier. This is when the city through the chest Research Foundation is concerned that raising the level of pollution pose a risk of falling into smokers with chronic obstructive pulmonary disease (COPD). If you enter 15% of PMC octroi from cigarettes, cigars and pipe tobacco, octroi revenue will grow by about 15 lakh rupees per year.

At the meeting, GB, all party corporators demanded that civil government is to increase octroi on cigarettes, cigars and pipe tobacco are subject to increase the number of smokers in the city.

MNS corporator Rajendra Babu alias Wagaskar said that the PMC should seek information from the Nagpur Municipal Corporation, as a heavy levy octroi charges on tobacco and forward a similar proposal to the government. “This will help to curb the growth in the number of smokers, and to help the civilian body to make more money. Instead of increasing the octroi on essential commodities like food grain, PMC should octroi hike on tobacco products,” said Wagaskar. Newly-elected women representatives supported Wagaskar and said that the civil administration should immediately hike octroi.

Leader of the House and NCP corporator Subhash Jagtap supported the demand, and said: “We unanimously approve campaign. But we must follow in order to seek state and nod. We will also increase octroi on imported liquor in the city.”

Sandeep Salvi, director of the city, based on chest Research Foundation, referring to that said that sales of cigarettes in the city is cause for concern, and all possible measures should be taken by the Government and local authority to restrict smoking. He added that smoking is major environmental risk factors for the development of COPD.Other factors, such as occupational exposures, air pollution and exposure to secondhand tobacco smoke contribute to conditions.

Air pollution, both indoors and outdoors, has been recognized over the past few decades, as a serious threat to the health and pulmonary significant contribution to COPD. Various studies over the past few years have put in the list of Pune’s most polluted cities in the country. However, PMC failed to develop a comprehensive policy for assessment of pollution and its impact on citizens.

Pankaj Chaturvedi, associate professor, head and neck of Tata Memorial Hospital, Mumbai, said that the structure of taxation on tobacco products that are directly related to the health of citizens. “India is committed to the United Nations to reduce tobacco use and has signed an agreement with the World Health Organization, which guarantees up to 70% of taxes on tobacco products. Union Government has taken a slight increase in tobacco taxes in the budget,” he said, adding that efforts local authorities will undoubtedly help to curb smoking.

Monitor Cigarette Sales to Protect Tobacco Payments

A state panel today supported a request from the Department of Taxation for $260,000 to hire a team of auditors to track cigarette sales of cigarettes to protect $ 40 million per year payment to Nevada from the country’s largest company’s tobacco.

As would be $ 360 million paid to the state since 2003 is under threat from Nevada comes in arbitration for annual payments made by the largest companies in the country of tobacco as of 1998 Master Settlement Agreement (MSA), said William Chisel, director of the Tax Department.
“The stakes are high for arbitration,” he said. “The risk of losing a significant amount of money increases over the years if we do not institute this team.”

The tobacco payments help fund the Gov. Kenny Guinn Millennium Scholarship for eligible Nevada high school graduates, among other programs.
The Board of Examiners, made up of Gov. Brian Sandoval, Attorney General Catherine Cortez Masto and Secretary of State Ross Miller, approved the request for the funding from the Legislative Reserve Fund on the establishment of three law enforcement. Masto was not present at the meeting.
Legislators who work in the committees of the Senate and Assembly will meet in money as the Interim Finance Committee February 9 to consider the request.

Sandoval asked Chisel if the request should have been presented to the 2011 Legislature so tobacco funding could have been used to fund the unit. The attorney general’s office said the funding from the master settlement agreement has historically funded its oversight of the tobacco agreement, but that the Tax Department has not been funded in this way.

Sandoval said that the cost of the unit must be built into the next budget with tobacco funds identified as a source of funding.
Chisel said it is important for the state to control the sale of cigarettes at tobacco companies, which are not part of the master settlement agreement.

As part of the MSA, there is a requirement that these smaller companies set aside a portion of their tobacco sales in an escrow account in an amount proportionate to the payments made to the state by the major tobacco companies. The MSA provides for a reduction of the required annual payments by the major tobacco companies to any state which fails to adequately enforce these laws in a particular calendar year.

Chisel said the team will work to protect the payments that have already been made to the state.
“Well, we are in arbitration right now with big companies and tobacco our concern is that we want to keep track of these non-participating manufacturers, those that do not communicate with the MSA,” he said. “We have a responsibility to make sure that they pay into the escrow account of two cents per cigarette. At stake is $ 40 million we get every year for the payment of mission subsistence allowance.”
Nevada does not keep track of these sales and payments before, and it would reduce the risk of losing part of the MSA payments in the arbitration process, the drilling said.

Cigarettes price hike to increase duty collection: FBR told

A leading cigarette manufacturing company has informed the Federal Board of Revenue (FBR) that substantial increase in prices of different brands of cigarettes would be instrumental in increase of federal excise duty collection, as specified in the relevant notification.

A senior government official told Business Recorder here on Saturday that FBR Member Inland Revenue Shahid Hussain Asad and other tax officials recently convened a meeting with a top cigarette manufacturing company at the FBR House. During the meeting, the company informed the tax authorities that the price increase is one of the effective ways of collecting more excise duty on cigarettes. The prices of cigarettes are comparatively low as compared of the same brands in developed countries. This requires a major increase in the prices of various brands of cigarettes. With substantial increase in the prices of cigarettes the excise duty collection from different brands of cigarettes will go up immensely. The rate of the excise duty would increase in proportion with the increase in prices of the cigarettes.

The official said that the cigarette manufacturer also informed the FBR about the volume of smuggled and counterfeit cigarettes in the country. According to the estimates of one cigarette manufacturer, approximately 18.5 to 20 percent of the market share has been captured by smuggled and counterfeit cigarettes. This means that the annual share of the counterfeit market of cigarettes in Pakistan is between 18.5 and 20 percent. The share of smuggled and counterfeit cigarettes could be reduced by the FBR by taking anti-smuggling measures and plugging the loopholes. At the same time, the FBR has to conduct raids on the units involved in manufacturing of counterfeit products. In this way, the FBR can close such factories engaged in the manufacturing of fake cigarettes in different parts of the country.

The official said that the unit has submitted the profiles of the company with information about the manufacturing processes of the unit and its contribution in the national exchequer.

When contacted, a tax expert said that the increase in the prices of cigarettes would only increase profitability of the company. The increase in the price of cigarettes has no direct linkage with the increase ln the rate of the federal excise duty of the cigarettes. The FBR has to increase the incidence of the excise duty on the cigarettes as per relevant excise duty notification. The only way to increase revenue collection from this item is to raise the incidence of the excise duty of various brands of cigarettes. How a cigarette manufacturing company can talk about the price increase with the FBR which is not the competent forum to increase prices of the cigarettes?

The tax expert further said that if the cigarette manufacturer would increase price of any brand of cigarette, there is no guarantee that the incidence of the excise duty would also be on the same brand. However, the profitability of the cigarette manufacturer would definitely increase due to increase in the price of the cigarettes. To meet expenditures, the manufacturers increase prices which have nothing to do with the excise duty regime. Under the treaty signed by leading cigarette manufacturing companies under Tobacco Control Cell, it is necessary for the cigarette manufacturers to increase the rate of the excise duty.

Experts added that it is the right of the cigarette manufacturers to increase the price of the commodities, but there is no relevance to take up this issue with the tax authorities. If there is one percent increase in the rate of the excise duty on cigarettes, the incidence of one percent would directly go to the national exchequer. However, raise in prices of various brands of cigarettes would not automatically increase excise duty on this item till the FED has been directly raised on the cigarettes as per slabs defined in the relevant Excise SRO of the FBR. Under the relevant notification, the FBR has to increase the excise duty of the retail price on all brands of cigarettes.

The argument of the cigarette manufacturers that the smuggled cigarettes of their brands have captured huge market in Pakistan also does not seem to be justified. The smuggled brands of the cigarettes are of the same companies which are operating in Pakistan. The smuggled brands of foreign companies available in the country are the same brands which are manufactured by the same local companies. These leading cigarette manufacturing companies can advise their principal companies aboard to restrict exports to Pakistan. The local manufacturers can further advise their principals to keep a check on the production of brands which are frequently smuggled into the country. As foreign smuggled brands belong to the same company, it is strange how such a huge quantity (20 percent of the total market) of same brands is coming into the country without any check, restriction or system, the experts added.

brecorder.com

Illegal booze and tobacco seized from Herefordshire shops

MORE than 6,000 “under the counter” cigarettes and 930 litres of black market beer were seized when a customs and revenue team raided a single Hereford shop that was already banned from selling alcohol.

The seizure was just one of several made in a series of raids across the county over two days.

One target was a house in Moor Farm, Hereford, from which tobacco was being sold to children. A further three kilos of hand rolling tobacco were found at a house in Leominster.

All told, five shops in the city centre were raided by customs officers backed up by trading standards officials and police.

A dog was used to sniff out where cigarettes may have been hidden Tobacco and alcohol products that would have drained around £13,500 from public finances in unpaid duty were uncovered.

HM Revenue and Customs has had Hereford in its sights since earlier raids exposed the extent of the county’s thriving black market in cigarettes and alcohol – a market described as “highly organised crime.”

One shop had around 6,500 cigarettes and 930 litres of beer seized having already been banned from selling alcohol after a previous bust by customs.

The duty evaded on the cigarettes is around £1,235.

and brands included Jin Ling, L&M Superkings Blue and Minsh.

The duty evaded on the beer is around £1,215.

Brands included Tyskie, Lech and Debowe.

A house search at Moor Farm uncovered 62kg of hand rolling tobacco, 37.5 litres of wine and a quantity of cigarettes. Another 48 litres of beer and 45 litres of wine were found in the garage, with the duty evaded totalling around £11,000.

Illegal cigarette and alcohol sales can be reported to HMRC on 0800 595000.

herefordtimes.com

Bulgaria’s Top Tobacco Maker Posts Profit Ahead of Sale

Bulgartabak Holding (57B), the Bulgarian state tobacco company being offered for sale, reported a net income of 34.1 million lev ($25.3 million) in the first six months because of increased sales and cost cutting.

The profit compares with a 577,000 lev loss a year ago, the Sofia-based company said in a stock exchange filing today. Revenue rose 78 percent to 46 million lev in the first half of the year from the same period a year ago. Exports rose 29.5 percent to 7.36 million cigarettes. The company didn’t report second-quarter results.

Bulgaria’s asset-selling agency admitted three candidates to buy an 80 percent Bulgartabak stake in the country’s fourth attempt in a decade to sell it. British American Tobacco Plc (BATS) and Austrian-registered BT Invest GmbH, are the only two companies that bought tender documents to submit binding bids by Aug. 29, the Sofia-based agency said in an e-mailed statement today.

Bulgaria, the European Union’s poorest country, is recovering from its worst recession in more than a decade and needs to raise cash to narrow its budget deficit and meet increasing social benefits payments ahead of October presidential and local elections.

Moody’s Investors Service raised the nation’s debt rating on July 22 to Baa2, the second-lowest investment grade, from Baa3, citing the government’s tight spending policy and “relative resilience” to debt crisis contagion from neighboring Greece. Bulgaria will need to raise some 500 million euros ($718 million) to refinance global bonds maturing in 2014, Bulgarian Finance Minister Simeon Djankov said in July 22 interview.

Bulgartabak aims to keep its 30 percent share of the domestic market, it said. It started exports to Poland, Croatia, Israel and Turkmenistan earlier this year. The tobacco-maker is in talks to expand exports to African and Middle Eastern countries. It has six units, including four cigarette makers and a trading division.

By Elizabeth Konstantinova
ekonstantino@bloomberg.net

British American Tobacco’s Dividend Is Safe

As a dividend investor, it pays to follow how much of a company’s money goes toward funding its dividend. A nice yield now won’t matter much if the company can’t keep making those payments going forward.

Here, we’ll highlight a given company and its closest competitors to see just how safe their dividends are, with a little help from three crucial tools:

  • The interest coverage ratio, or earnings before interest and taxes, divided by interest expense. The interest coverage ratio measures a company’s ability to pay the interest on its debt. An interest coverage ratio less than 1.5 is questionable; a number less than one means that the company is not bringing in enough money to cover its interest expenses.
  • The EPS payout ratio, or dividends per share divided by earnings per share. The EPS payout ratio measures the percentage of earnings that go toward paying the dividend. A ratio greater than 80% is worrisome.
  • The FCF payout ratio, or dividends per share divided by free cash flow per share. Earnings alone don’t always paint a complete picture of a business’s health. The FCF payout ratio measures the percent of free cash flow devoted toward paying the dividend. Again, a ratio greater 80% could be a red flag.

Each of these ratios reflect dividends paid in the trailing twelve months while yields are the expected forward yield. Let’s examine British American Tobacco and three of its peers.

bigtobcacco

With an interest coverage of 8.5, British American Tobacco covers every $1 in interest expenses with more than $8 in operating earnings. Given that its EPS payout ratio is below 80%, and its FCF payout ratio is below 70%, you shouldn’t have to worry that Valero will need to cut its dividend anytime soon.

Another tool for better investing
Most investors don’t keep tabs on their companies. That’s a mistake. If you take the time to read past the headlines and crack a filing now and then, you’re in a much better position to spot potential trouble early. We can help you keep tabs on your companies with My Watchlist, our free, personalized stock-tracking service.

Retailers oppose EU tobacco laws

European retailers have joined forces to fight tougher tobacco laws which they say threaten half a million small businesses.cigarettes prise

Retail associations from 11 countries, including the UK’s National Federation of Retail Newsagents, met in Brussels to sign a declaration opposing European Commission (EC) proposals for “plain” cigarette packaging, a ban on the display of any tobacco products in shops and restrictions on addictive ingredients in cigarettes.

The planned moves would tighten EU-wide controls which already stipulate maximum limits for nicotine and tar content of cigarettes, written health warnings on packets and a ban on terms such as “light”, “mild” or “low tar”.

The proposed revision of the 10-year old Tobacco Products Directive would remove all logos, graphics and designs from cigarette packaging across Europe, with just the brand name written in small letters.

Other ideas include adding large medical photos of the health effects of smoking, and a series of new health warnings to increase the shock impact, particularly for young smokers and those trying to quit.

The changes follow an EC “consultation” late last year about what further steps should be taken to reduce the attraction of tobacco, the single largest cause of avoidable death in the European Union, accounting for around 650,000 premature deaths every year.

But now tobacco retailers are pooling their efforts to hit back, insisting harsher measures will only hit small firms and will not have a major impact on cutting smoking.

“These measures will mean huge costs for retailers along with an explosion of the black market, presenting a threat to more than half a million small retail businesses in the EU,” said Giovanni Risso, chairman of the European Confederation of Tobacco Retailers which hosted the Brussels meeting.

The retailers say existing legislation has already forced business closures, thanks to the rise in the smuggling of cheaper illegal cigarettes. Now they say standardised packaging would make products even easier to counterfeit – and banning the more addictive ingredients in tobacco would trigger an illicit market in stronger cigarettes.

“We fully support and want to contribute to the EU’s objectives of reducing smoking and eliminating youth smoking, but it’s hard to see how these measures could do that,” insisted Mr Risso. “All they will do is put us out of work and hand our businesses over to criminals who obey no laws.”

How tobacco taxation can enhance revenue, save lives

EXTENSIVE use of tobacco has become a public menace globally, as it is causing 5.4 million premature deaths each year and current trends predict that one billion people will die from tobacco use in the 21st century.

In Pakistan, cigarette smoking and other forms of tobacco use have increased in recent years. According to Pakistan Health Education Survey (1999) tobacco kills almost 274 people per day and is causing at least 25% of deaths in the country. Tobacco use is largely concentrated among males in Pakistan; however the ratio between young urban male and female smokers is now 2:1 (Global Youth Tobacco Survey 2003). Smoking among youth has also become a serious concern lately as studies show that 1200 Pakistani children (ages 6 – 15) begin smoking every day.

According to the deliberations of a recently held workshop in Islamabad arranged by International Union against Tuberculosis and Lung Disease (IUTLD) in collaboration with Society for Alternative Media and Research (SAMAR), “tax increase on tobacco products is one of the most effective tobacco control measure that can save thousands of lives as well as increase the national revenue.”

Although Pakistan government enacted the Prohibition of Smoking and Protection of Non-Smokers Health Ordinance in 2002, which includes limits on tobacco advertising, restrictions on smoking in public places, and adopted the Framework Convention on Tobacco Control (FCTC) in 2004, but the implementation has been slow as there continues to be a violation of the law in almost 36 major cities, noted Coalition for Tobacco Control – Pakistan (CTC-Pak) survey. “Had the Ordinance 2002 been implemented effectively, we would have been able to save our young generation from falling victims to the menace,” said Khurram Hashmi, national coordinator of CTC.

Apart from the non-implementation of law, another major factor leading to greater use of tobacco is Pakistan’s moderately low tobacco product prices. A World Bank report (Feb. 2011) noted that the price (of the most sold and cheapest brand of cigarettes) per pack was US$2.83 in Sri Lanka, 1.65 in India, 0.84 in Nepal, 0.51 in Afghanistan while it costs US$ 0.23 in Pakistan – the lowest in the region.

“Cigarettes have a record of seldom price increase in Pakistan. This has led to increased consumption of cigarettes from 292 cigarettes per capita in 1994 to 406 cigarettes per capita in 2007” informed Dr. Ehsan Latif, Director Tobacco Control of IUTLD.

In a presentation given on “Tobacco Taxation – A need for effective tobacco control”, by Dr. Ehsan it was suggested that “increasing tax rates is the single most effective tobacco control measure, especially for young people.”

Yusuf Khan, DG Tobacco Control Cell of Pakistan advocated two main reasons why government should raise tax tobacco. “Firstly it would generate revenues which would help government meet annual revenue targets and secondly, enhanced taxes will promote public health.”

A recent report ‘Economics of Tobacco and Tobacco Taxation in Egypt’ indicated that “raising the average cigarette tax to E£ 4.08 per pack (70% of retail price) would prevent over 600,000 premature deaths in current and future smokers and raise cigarette tax revenues by almost E£ 5.2 billion.”

The question arises: what should be the right level of taxation? A WHO report (2008) ‘Cigarette Excise Taxes in Pakistan – A Way Forward’ after assessing Pakistan’s excises on cigarettes concluded that cigarette excise revenue has fallen from 0.5 percent of GDP in 1994 to 0.3 percent of GDP in 2007. The Federal Excise Act gives the Federal Board of Revenue adequate powers to assess and collect taxes; however political will to allow inspectors to access and/or find suspected sites of illicit manufacturing – appears to be lacking. Pakistan’s current three-tier regime for excising cigarettes is complex and pernicious as its annual adjustment to the rates and brackets increases the excise payable on the low-priced brands but reduces on mid-priced brands while leaving it altogether on high-priced brands unchanged, the report claimed.

According to the same report: “Pakistan should return to a two-tier regime similar to what was abandoned in 2001, when the specific excise would be increased to PKR 15.00 per pack of 20 cigarettes and the price bracket between the first and second tiers would be increased to PKR 28.00.”

If Pakistan adopts the proposal it can lead to a 50 percent increase in the price of the most popular brands while consumption of cigarettes may decline by 18 percent, providing significant health benefits and the government’s revenue from cigarette excise tax may increase by 47 percent.

WHO report (1999) “Curbing the Epidemic Governments and the Economics of Tobacco Control” claimed that by suggested a multi-pronged strategy to curb tobacco by rising taxes, disseminating research results on the health effects of tobacco, and access to cessation therapies.

Changes in Cigarette Prices Affect Alcohol Consumption

DENVER – Raising cigarette taxes has the unwanted effect of increasing alcohol consumption, including binge and heavy drinking.alcohol consumption

This relationship is an example of what economists call a cross-price or substitution effect. And it’s something policy makers need to be cognizant of, Deborah L. McLellan said at the annual meeting of the American Public Health Association.

She analyzed 6 years of cross-sectional data from the Centers for Disease Control and Prevention’s annual Behavioral Risk Factor Surveillance System surveys carried out in 2001-2006. Interviews were conducted with 1,323,758 adults living in nearly every state in the country.

Her multivariate logistic regression analysis concluded that for every one dollar increase in the cigarette-store.biz/cigarettes-news/new-prices-new-brands-in-our-online-cigarette-store, the ranks of current smokers drop by a highly significant 5%. That’s consistent with the classic economic theory of consumer demand, which holds that raising the price of a commodity decreases consumption.

But the analysis also showed that a one dollar per pack price increase was associated with a 29% increase in the odds of having consumed alcohol during the last month, a 12% increase in binge drinking, and a 10% increase in heavy drinking, defined in the study as more than one drink per day in women and more than two in men.

“I want to be clear that the message here is not ‘Let’s stop increasing cigarette taxes.’ That’s not my message at all. But this study is contributing to other literature out there that’s finding there are substitution effects, so advocates and policy makers and indeed researchers need to prepare for some of these unintended consequences of tobacco taxation policy,” said Ms. McLellan of the Heller School for Social Policy and Management at Brandeis University, Waltham, Mass.

“There needs to be more collaboration between tobacco control advocates and those who work in alcohol prevention. We all know we tend to work in our silos, but people certainly do drink and smoke, and we need to catch up with them,” she added.

The researcher noted that alcohol and tobacco use carry “staggering” human and economic costs. It’s estimated that 438,000 deaths occur annually from tobacco in the United States, and 98,000 because of alcohol. Twenty percent of Americans were smokers in 2006 and 51% were drinkers, including 23% who were binge drinkers and 7% who were heavy drinkers. Twenty-two percent of Americans were co-users.

She declared having no financial conflicts regarding the study, which she is conducting for her dissertation.

By: BRUCE JANCIN, Internal Medicine News Digital Network

Tobacco profits up despite fewer smokers

TOBACCO giant Philip Morris’s Australian branch boasted a jump of more than $47 million in profit last year, despite ongoing anti-smoking campaigns by governments and health advocates.

While the prevalence of smoking has declined steadily in the past 20 years, documents lodged with the Australian Securities and Investments Commission last month reveal that the company’s Moorabbin-based subsidiary had a bumper 2009, swelling profits by 20 per cent to more than $284 million – its strongest growth in two years.

Smaller rival Imperial Tobacco, which sells the Horizon, Escort and cigarette-store.biz/online/camel, also had a good year, with profits growing by 20 per cent to $22.7 million and sales revenue jumping more than 4 per cent to $385 million.

The companies’ enviable financial performance comes in a year when many businesses struggled in the wake of the global financial crisis.

The results translate to each of Australia’s 3 million smokers handing the companies, on average, about $100 in pure profit – a sum that does not take into account the market leader, British American Tobacco, whose 2009 financial report is yet to become available.

Simon Chapman, professor of public health at Sydney University, said more cost-effective cigarette production techniques and higher prices for premium brands meant the fall in the number of smokers had not dented the companies’ profitability.

Government figures show that in 1988, 30.5 per cent of the population were daily smokers. By 2007 that number had almost halved to 16.6 per cent.

VicHealth chief executive Todd Harper said profits had continued to rise because ”tobacco buys customer loyalty in a way that no other product can … once they are addicted the industry has a lifetime of loyalty as a result”.

The profit revelations come as the tobacco companies threaten legal action against the Australian government over plans for cigarettes to be sold in plain packages from 2012.

Professor Chapman said this would effectively destroy one of the industry’s key profit-boosting strategies – premium brand marketing.

”They have been able to position the idea of premium brands – which are more expensive – through packaging,” he said.

”The whole idea that somehow the tobacco in these products costs them a whole lot more, so they have to charge more for it is a complete fiction … entirely driven by perception.”

The companies are also protesting against a decision to raise excise on cigarettes by 25 per cent, adding about $2.16 to the price of a packet of 30 cigarettes.

And there are calls for further reforms, with last week’s Henry tax review urging the scrapping of duty-free discounts on tobacco for overseas travellers, and for the twice-a-year excise rises on cigarettes to be linked to wages growth rather than the consumer price index. Wages usually rise faster than the CPI – meaning that cigarettes gradually become more affordable.

Australian profits at Philip Morris, which holds 37.9 per cent market share with brands including Longbeach, Alpine and Peter Jackson, surged by more than $100 million, or almost 65 per cent, in the past four years, according to data from D&B Company360. Philip Morris’s revenue – not including the billions of dollars in excise tax paid by smokers – rose 21 per cent to more than $750 million over the same period.

But Chris Argent, director of corporate affairs at Philip Morris, said the company and its retailer customers believed the excise rise was excessive, warning that – like the move to plain packaging – it could increase the market for illegal tobacco.

He said the ”important factor” for Philip Morris’s business was ”the ability to increase market share”. The company’s annual report attributes growth of the Marlboro brand to ”new launches and packaging upgrades”.

Imperial Tobacco did not respond to The Sunday Age.

British American Tobacco argues the industry makes a ”significant” contribution to the economy in government revenue, retail sales and employment.

But the federal government says the industry costs society far more than it contributes, with smoking killing 15,000 Australians each year. The total social and health costs of smoking top $31 billion a year.

Washington cigarette tax hike results in decreased revenues as smokers buy outside city limits

The District of Columbia’s Chief Financial Officer Natwar Gandhi learned a hard lesson this week after assessing the fiscal forecast for 2010: D.C. smokers weren’t happy with the city council after it upped the cost of cigarettes, and responded by depriving the District of millions in tax revenue.

Any nicotine fiend who’s dodged puddles of upchuck in Adams Morgan on a Friday night or maintained a distance of 30 feet from downtown office buildings on a weekday could have predicted that smokers would flee to Maryland and Virginia. And according to a report released Wednesday by Gandhi, that’s exactly what happened after the D.C. Council raised taxes on cigarettes from $2.00 to $2.50 a pack in mid 2009.

In a report addressed to D.C. Council Chairman Vincent Gray and Mayor Adrian Fenty, Gandhi wrote, “The 50-cent increase in the cigarette tax rate was projected to increase revenue but also decrease volume. Collections year-to-date point to a more severe drop in volume than projected.”

How severe?

“The estimate for cigarette tax revenue is revised downwards by $15.4 million in [fiscal year] 2010 and $15.2 million in [fiscal year] 2011.”

Annie Chen, the owner of North Sea China Restaurant on 18th St. NW, noticed the drop almost immediately: Since the tax increase was put into effect, Chen has sold smokes to her customers in Adams Morgan at a pre-increase price. “Some places sell for $8,” she slyly reminded me Wednesday night. “But we sell for $7.30. Otherwise you all go to Virginia and Maryland.”

North Sea doesn’t rely on cigarette sales — that’s what the food is for — but the extra revenue is significant enough that Chen would rather reduce her profit margin than lose customers. “I just want to make customers happy,” she said.

Smoking commuters have always fallen into two distinct camps: those who are willing to buy their cigarettes in D.C. despite the high costs, and those who religiously wait until they’re back home in Maryland or Virginia to stock up. Washington City Paper reporter Mike DeBonis suspects that Gandhi and the council failed to take this possibility seriously during a closed-door meeting in July 2009.

“The cigarette tax was literally a no-brainer. I don’t remember much debate at all,” DeBonis, who also covered the tax, wrote in an e-mail. “Part of the blame, if not most of the blame, is on the CFO people who made the cig-tax revenue estimate. Somehow they forgot to consider that Maryland smokers would defect.”

In Wednesday’s report, the CFO’s office expressed frustration that the tax hike hadn’t gone as planned, and suggested that all it had in the way of an explanation was “anecdotal evidence” that Maryland residents, who paid more for cigarettes in their home state prior to the hike in D.C., “have shifted purchases back to Maryland now that District taxes are higher.”

A staffer at the CFO’s office spoke to the Daily Caller on background about the agency’s attempt to find a sweet spot between taxing too little and driving people to other purchase in other states. “The anticipation was that we’d lose some smokers and we’ll collect more money from the people who keep buying,” the staffer said, citing Virginia as an example of a state that has dealt well with increasing excise taxes. “When the federal excise tax went up, Virginia assumed a 12 percent decline. They’ve seen about 7 percent decline.” The staffer also said that the CFO’s office is aware that “Buyers will go where the price is cheapest.”

In the conclusion to his section on the cigarette tax hike, Gandhi seemed to acknowledge this economic reality as well, writing, “Future increases in the tax rate will likely generate less revenue rather than more.”
By Mike Riggs, The Daily Caller

Japan Stocks Fall After U.S. Raises Rate

Japanese stocks fell the most in two weeks after the Federal Reserve raised the rate it charges banks for direct loans for the first time in more than three years, raising concern economic stimulus programs are being phased out.

Mitsui & Co., which counts commodities as its biggest source of profit, slid 3.2 percent as commodity prices declined. Real-estate companies collectively retreated after K.K. daVinci Holdings said its liabilities probably exceeded assets. Japan Tobacco Inc. sank 2 percent on a newspaper report the health ministry will urge all local governments to ban smoking in public places.

The Nikkei 225 Stock Average fell 2.1 percent to close at 10,123.58 in Tokyo. The broader Topix index slid 1.7 percent to 889.08, with all of its 33 industry groups retreating. Both gauges had their biggest drops since Feb. 5.

“The U.S. economy isn’t in such good shape that the central bank had to raise the discount rate,” said Yuuki Sakurai, chief executive officer of Fukoku Capital Management Inc. in Tokyo, which manages the equivalent of $7.5 billion. “If people think the Fed assumes the U.S. economy is resilient enough for a rate hike, they will start to expect stimulus measures to be withdrawn. That will be bad for markets.”

The Nikkei 225 has advanced 0.3 percent for the past five days, a second weekly advance, as a Fed report showed manufacturing in the New York region posted a bigger-than- estimated increase this month. The average daily value of stocks traded in Tokyo fell 24 percent this week as investors awaited the reopening of China’s market after the Lunar New Year holiday.

‘Further Normalization’

Before this week’s holiday, China ordered banks to set aside more deposits as reserves in an attempt to reduce lending and slow economic growth.

The Federal Reserve Board lifted the discount rate charged to banks for direct loans by a quarter point to 0.75 percent, saying the change is intended as a “further normalization” of the Fed’s lending facilities. Futures on the Standard & Poor’s 500 Index slid 1.1 percent. The dollar jumped to 92.09 per yen today from 90.91 at the 3 p.m. close of Tokyo stock trading yesterday.

Stocks across Asia tumbled after YTN television reported North Korea declared a firing zone off its west coast near the maritime border with South Korea.

“Concern about geopolitical risk stoked pessimism,” said Norikazu Kitta, a strategist at Nikko Cordial Securities Inc.

Mitsui, Japan’s No. 2 trading company by market value, fell 3.2 percent to 1,352 yen, while bigger rival Mitsubishi Corp. sank 1.7 percent to 2,212 yen. Crude oil for March delivery dropped 1.4 percent today, while copper slumped 1.6 percent.

Real Estate Shares

Mitsui Fudosan Co., the nation’s biggest property developer, and closest competitor Mitsubishi Estate Co. retreated 4.3 percent. Real-estate companies as a group posted the steepest drop among the Topix’s 33 industry groups.

K.K. daVinci, which manages investments mainly in real estate, said a slump in the property market prompted the company to write down inventory, which probably reduced its assets to less than liabilities. The stock plummeted by its daily limit of 1,000 yen or 19 percent.

“Real-estate companies have to sell their properties as the end of this fiscal year on March 31 is drawing near,” said Fukoku’s Sakurai. “I’m cautious about property stocks.”

Japan Tobacco, the world’s No. 3 listed cigarette maker, slid 2 percent to 322,000 yen. Health Minister Akira Nagatsuma told reporters today that the government will issue a recommendation on passive smoking this month. He didn’t provide details.

By Masaki Kondo, Businessweek
February 19, 2010

Grant funds research for alternative tobacco crops

Virginia State University’s Agricultural Research Station has been awarded two grants totaling approximately half a million dollars by the Virginia Tobacco Indemnification and Community Revitalization Commission to research potentially profitable alternative crops for former tobacco and other small farmers in Southside.

“First and foremost, our goal is to rally to the aid of former Virginia tobacco farmers who are seeking to replace substantial income lost since termination of the federal tobacco price support program,” said Dr. Wondi Mersie, associate dean for research in VSU’s School of Agriculture.

“By increasing their incomes, we will simultaneously enhance Virginia’s agricultural economy,” he added.

The Agricultural Research Station received $238,750 to study the capability of oilseed crops-mustard, and canola-to produce biodiesel for use in diesel engines, and ethanol for use in gasoline engines.

As the project’s principal investigator, Dr. Harbans Bhardwaj, a VSU professor and research scientist, will also lead research on legume crops-mungbean and chickpea -for use as food and feed in domestic and import markets, and as feedstocks for ethanol production.

Field experiments will be conducted on VSU’s 416-acre Randolph Farm and at demonstration sites in Carroll, Franklin, Grayson and Patrick counties.

Dr. Tadesse Mebrahtu, a VSU research professor and agronomist, eceived $226,281 to research and promote Edamame, an edible soybean, as a feasible, practical alternative to tobacco.

“This vegetable is considered to have healthful benefits and has become a popular food item in grocery stores and in some fast-food restaurant salads,” Mebrahtu said.

Objectives of the project are to increase awareness of Edamame’s potential as a cash crop, and to foster development of related small business enterprises (processing, seed sales and a marketing cooperative) in Southside Virginia.

Imperial Hits Back at U.K. Cigarette Packaging Proposal

LONDON—Imperial Tobacco Group PLC said Tuesday it has made a good start to the year despite a weak economic environment and hit out at the U.K. government’s latest proposals to strip cigarette packaging of logos and branding.

The world’s fourth-largest global tobacco group by sales said in its first-quarter trading update that its performance and financial position in the financial year to date is in line with expectations.

The maker of Davidoff, Gauloises Blondes, Gitanes Blondes and JPS cigarettes said it had increased prices across its portfolio in the U.K., Spain and France since the start of the year. Price increases are essential in mature markets, where volumes are either in long-term decline or, at best, flat.

Imperial could face a tough time in its home U.K. market if government plans to cut smoking by half over the next 10 years succeed. As well as measures to end vending machine sales and tighten up restrictions in underage selling, the government said Monday it was also looking at banning logos and color from cigarette packaging.

Chief Executive Gareth Davis said Tuesday the company was “strongly opposed” to the plain-packaging proposal. “There is no credible evidence that young people start smoking or adult smokers continue to smoke because of tobacco packaging,” he said. “Making all tobacco products available in the same generic plain packaging will further fuel the growth in illicit trade and undermine the government’s plans to increase investment in tackling smuggling and counterfeiting.”

Imperial has been under pressure in the past year from Japan Tobacco Inc.’s U.K. business, which said late last year it had begun closing the gap on Imperial and gaining market share.

Imperial said Tuesday its average U.K. market share for the year to December was 45.2%, slightly down from 45.3% three months earlier. It increased the U.K. price of 20 cigarettes in December by 27 pence, following a similar increase by Japan Tobacco.

In its second-largest market, Germany, its market share dropped to 27.1% from 27.3%. In Spain, cigarette volumes dropped 10%, while fine-cut tobacco market volumes grew 30%. In January, Imperial increased the price of the majority of its brands there by 15 cents per pack.

In the U.S., a sharp rise in federal taxes in April resulted in a 9% drop in cigarette market volumes for the year to December. Cigarette volumes were strong in the group’s rest of European Union region and in its rest of the World region, with further cigarette share gains in Africa, the Middle East and Asia Pacific.

Imperial added that its focus on cash generation was helping to further reduce debt.

Mr. Davis is due to retire in May and will be replaced by Chief Operating Officer Alison Cooper. Ms. Cooper was named chief operating officer in March last year, immediately becoming the favorite to succeed Mr. Davis, who has led Imperial for all of its 13 years as an independent company. Ms. Cooper has pledged to enhance the group’s focus on sales growth under her stewardship.

By Michael Carolan

Florida’s Cigarette Tax Revenue Holds Steady

TALLAHASSEE, Fla. – On July 1, Florida’s cigarette tax increased to $1.34 and during the four months since then, cigarette sales have dropped 27 percent, the Miami Herald reports. However, collection of tobacco taxes in the state is on target, thanks to an accurate forecast of sales declines by state economists.

The higher tax provides Medicaid with needed funds. Economists predicted last week that the $1 a pack increase would bring in $881 million in 2009 and $907 million in 2010. The new tax has raised money in excess of the amount predicted to be lost because of declining cigarette sales.

“This is working exactly the way we had hoped,” said state Sen. Nan Rich, who was in favor of the tax. “We wanted to cut down on smoking and keep healthcare programs from being cut.”

However, not everyone is rejoicing at this news. The Florida Petroleum Marketers & Convenience Store Association pointed out that fewer cigarette sales is harmful to small stores because tobacco products bring in customers, who then also buy 34 percent of other in-store items, such as beverages and snacks, in addition to cigarettes.

“Any time you reduce sales by big percentages, you eliminate a significant portion of profit that retailers use for things like payroll and rent,” said Jim Smith, president and CEO of the association. “If you’re a customer and you’re not going in for cigarettes, you’re not going to go in at all. And a lot of sales at convenience stores are impulse buys. That cuts into the bottom line.”

Smith also pointed out that the state faces heavy losses in payments from the tobacco Master Settlement Agreement. “Tobacco companies pay the state 40 cents a pack for every pack sold, and those revenues are significantly lower and will continue to fall,” he told NACS Daily.

North Florida smokers are likely slipping over the state line into Georgia, where the tax is around 97 cents lower. Smith said he’s heard that Georgia convenience stores along the border have seen a five-fold jump in overall sales.

“The reduced sales are not an indicator that people have quit,” said Smith. “I’m certain that some have, but I’m just as certain that many consumers are purchasing online, at Indian smoke shops, crossing state lines and no doubt some smuggling cigarettes.”


Court Dismisses Tobacco Firms’ Applications

Lagos — A Lagos High Court has dismissed three applications seeking to strike out the names of International Tobacco Company Limited, British American Tobacco Plc and British American Tobacco (investment) Limited from the $21 billion suit instituted by the Lagos State Government and Environmental Rights Action/Friends of the Earth, Nigeria (ERA/FoEN).

Ruling on the Notice of Preliminary Objection brought by the three defendants pursuant to Order 3 Rule 9 and Order 6 Rule 10 of the Lagos State [Civil Procedure] Rules 2004 and Section 98 and 99 of the Sheriffs and Civil Process Act. Cap 56, 2004, the trial judge, Justice Bukola Raliatu Adebiyi, held that the three tobacco companies are necessary parties to the suit and that their presence would be necessary to enable the court effectively and completely adjudicate on the suit.

The Judge said, “The court finds upon careful perusal of the Statement of Claim that the 3rd and 4th defendants are necessary parties to the suit as the presence will be necessary to enable the court effectively and completely adjudicate upon and settle all the questions in controversy.

” Following from the above reasoning, the court finds that the suit against the 2nd, 3rd and 4th defendants are not liable to be struck out. In accordance with the above findings the applications of the 2nd, 3rd, and 4th defendants fail in their entirety and are accordingly dismissed.”

The defendants had in their applications sought an order of court setting aside the purported issuance of the Writ of Summons filed it relates to the 2nd, 3rd, and 4th defendants 2nd defendants respectively.

In addition they also sought for an order setting aside the service of the Writ of Summons and other processes filed in this Suit on them and for and for such further order(s) as the court may deem fit to make in the circumstances.

The suit was filed by the Attorney General of Lagos State, on behalf of the State Government and the Environmental Rights Action/Friends of the Earth, Nigeria.

The defendants in the suit are: British American Tobacco (Nigeria) Limited, International Tobacco Limited, British American Tobacco Plc, British American Tobacco (Investment) Limited, Philip Morris International, and the Tobacco Institute.

The suit is seeking extensive reliefs that intend to regulate tobacco smoking especially as it affects youth and under-aged smokers.

In their suit, the claimants are making the following allegations:

.That the defendants have recently admitted that tobacco smoking has severe health implications including but not limited to cancer, cardiovascular and pulmonary complications and that in spite of the obvious knowledge of the adverse effect of their product, the defendants have surreptitiously and fraudulently targeted young and under-aged persons in their advertising and marketing”

.”That through the use of market surveys and sophisticated advertising, the defendants have utilized such means as music, cinema and fashion, to attract and addict young and underage persons into smoking.”

.”The mandatory health warnings inscribed on the pack is ineffective as the defendants promote a retail strategy of sale by the stick (the individual sticks that most consumers purchase have no such warning). This retail strategy is also a significant causal factor of youth smoking as it encourages easy access to the products.”

.”That on account of legal action, liability, and stricter control measures in the developed world such as the United States( where big tobacco companies and their lobby arms were mandated to pay compensatory damages of $260 billion to State Governments for public health costs).

.”That the Defendants have turned their focus to the developing world with Nigeria being a top priority. While there is a significant decline in the smoking rates in the developed world with diminishing health concerns, in the developing world such as Nigeria, smoking increases at least by 20% annually. In Lagos, two (2) persons die daily in the government-run health facilities, from tobacco related diseases.”

.An order of mandatory injunction compelling the defendants, their successors-in-title, privies and or agents to cease the marketing, promotion, distribution and sale of tobacco-related products to minors or under aged persons.

. An order of mandatory injunction restraining the Defendants from representing or portraying to minors or persons under the age of eighteen (18), any alluring and/ or misleading image regarding tobacco related products whether by direct depictions, pictorials, advertorials, images, words, messages, sponsorships, branding and/or through overt or covert and/or subliminal means; and

An order of Mandatory Injunction compelling the Defendants to publicly disclose, disseminate, and publish all research previously conducted directly or indirectly by themselves and their respective agents, parent or subsidiary companies, affiliates, servants, officers, directors, employees, and all persons acting in concert with or for them, that relates to the issue of smoking and health.



7 November 2009, Allafrica

Southwest Virginia projects receive more than $30 million in tobacco money

WYTHEVILLE, Va.—About 20 Southwest Virginia projects received more than $30 million in awards today from the Virginia Tobacco Indemnification and Community Revitalization Commission.

The lion’s share—$25 million – was awarded to the proposed King College medical school.

“We see this as a game changer,” commission Executive Director Neal Noyes said when presenting the plan to the Southwest Virginia Economic Development Committee.

After it was unanimously approved there, it received similar support from the full commission.

The grant covers half the estimated cost of constructing a medicine and health sciences center and carries a number of stipulations.
In addition, Bristol Virginia Utilities received $3.5 million to create a redundant broadband connection in Southwest Virginia and to link with Mid-Atlantic Broadband, which serves Southside Virginia.

The Bristol-based Birthplace of Country Music Alliance received $250,000 to be used for capital improvements for its cultural heritage center project.


By David McGee
October 29, 2009 2.tricities

French parliament committee approves cigarette hike

PARIS (Reuters) – A French parliamentary committee approved on Wednesday a measure that would add 6 percent to the price of a packet of cigarettes from next year.

The social affairs committee of the National Assembly, or lower house, adopted an amendment to the 2010 social security budget specifying a 0.6 percent hike in cigarette taxes that would lift the overall price of cigarettes by 6 percent.

The amendment was adopted ahead of a full debate on the social security budget in parliament next week.

The government has declared its intention of pushing for higher cigarette prices to discourage smokers, despite objections from bars and cafes licensed to sell tobacco, which say they have already been hard hit by indoor smoking bans.


Oct 22, 2009 Reuters