June 30, 2008

Cigarette machines may be banned

Cigarette vending machines and packets of 10 could be outlawed under government plans aimed at preventing children and young people smoking.

The plans, which include banning branding and logos, apply to England, Wales and Northern Ireland. Similar plans have been unveiled in Scotland.

Smokers’ lobby group Forest said there was "no evidence" to show the plans would to cut smoking in young people.

Meanwhile, a new TV advert campaign is targeting parents who smoke.

The adverts warn that children of smokers are three times more likely to take up the habit than those of non-smokers.

Under current pricing, a packet of 10 cigarettes cost about £3, compared to nearly £6 for 20.

Last week the Scottish Government announced a range of proposals to restrict tobacco sales in Scotland - including a ban in shops from displaying cigarettes in "pride of place" on their shelves.

On the latest consultation document, Public Health Minister Dawn Primarolo said it was vital to take away temptation from children.

"Protecting children from smoking is a government priority and taking away temptation is one way to do this," she said.

"If banning brightly coloured packets, removing cigarettes from display and removing the cheap option of a pack of 10 helps save lives, then that is what we should do, but we want to hear everyone’s views first."

June 4, 2008

Hey Where Are All The Cigarettes?

Toronto - Thanks to a new law, which came into effect over the weekend, cigarettes are no longer visible to customers at stores across Ontario.

The new law requires stores to keep the packages out of view.

“This marketing tool … is a wall of temptation for smokers who have made the decision to quit,” said Joanne Di Nardo, spokeswoman for the Ontario Tobacco-Free Network. “Well-documented research and evidence shows that these retail display stands increase tobacco sales by 12 percent to 28 percent.”

When asked how it has effected sales so far, one store in Toronto told EON, “oh…people just laugh….hasn’t stopped anyone from buying their smokes.”

Other provinces are expected to implement a similiar program

April 22, 2008

‘Powerwall’ pain for smoke sellers?

In just over six weeks, cigarettes will become invisible in stores across Ontario and Quebec, but city vendors say the new law will only cost them money. On May 31, the final phase of the 2006 Smoke-Free Ontario Act will be to force vendors to dismantle so-called “powerwalls” — the prominent cigarettes displays generally positioned behind retail checkouts — but a representative for retailers predicted yesterday that it would be costly and difficult for stores to comply.
Though retailers have had two years’ notice, Chris Wilcox, chair of the Ontario Convenience Store Association, said details of the law were not distributed until last month, leaving stores scrambling. “It’s going to be a rush. Even for us,” said Wilcox, who is also general manager of 46 Quickie Convenience Stores in Ottawa. “You’re going to see a few places using curtains and bed sheets.”
Wilcox said larger chains such as Quickie will have the resources to make changes on time, but that it will be difficult for smaller businesses.
Walid Norat, the owner of O’Connor Smoke Shop, is concerned about the loss of revenue, but said his store will not lose as much business as others, because he tends to get specific clientele who know his wares, even if they’re not displayed.
“People who come in here tend to know what they’re looking for,” he said. Roland Comerford, who was celebrating his 60th year of operating Comerford’s Cigar Shop on Bank Street yesterday, will be forced to cover his pipe and cigar displays with frosted glass. “We’re going to have a catalogue for people to browse, but they have to ask for it and we have to put it back under the counter when they’re done,” he said.
Comerford expects to see a drop in sales, because of the “out of sight, out of mind” effect. Comerford’s store generates more than 50 per cent of revenue from cigarettes and tobacco.
Wilcox doubts that concealing cigarettes in stores will help reduce youth smoking rates, noting powerwall bans in Saskatchewan and Manitoba have not had any effect. According to Health Canada, in 2004, 22 per cent of people over 15 years old smoked. Last year that was around 25 per cent.

April 18, 2008

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April 11, 2008

Puffing ITC non-filter cigarettes to cost dear

cigarettesMUMBAI/KOLKATA: With the government yet to budge on the tobacco industry’s demands, Kolkata-based ITC is readying for a possible hike in prices of non-filter cigarettes. The company, which is believed to have stopped production of the variety, is contemplating this move, as an extended closure would mean huge losses for the company and for those dependent on it.
Sources say ITC plans to hike prices soon and the product with the new price tag would be made available in the market by the end of this quarter. The company is also likely to resume production by then. ITC officials were not available for comment.
In his last Budget, finance minister P Chidambaram increased excise duty on non-filter cigarettes to bring them on a par with filter cigarettes. For cigarettes between 60 mm and 70 mm length, excise duty was increased from Rs 546 to Rs 1,323 per 1,000 cigarettes while for cigarettes below 60 mm, it went up from Rs 168 to Rs 819 per 1,000 cigarettes.
As per an analyst with a local brokerage firm, the company would only look at a price hike if the conversion rate to filter cigarettes is quite low. “The company is adopting a wait-and-watch policy as far as conversion from non-filter to filter cigarettes is concerned. If the conversion is quite low, then the company would not consider it,” Anand Mour of Prabhudas Lilladher said.

March 21, 2008

Tobacco: Court orders substituted service on Philip Morris

A Federal High Court in Abuja Monday ordered the Federal Government to effect service of court process through substituted means on Philip Morris International, Switzerland.
Justice Binta Murtala-Nyako ordered that the court processes relating to the suit be served on the multi-national company by publishing it in a well circulated newspaper in Switzerland.
The judge gave the order at the resumed hearing of the suit filed by the government, demanding N5.3 trillion compensation from three tobacco companies for alleged havoc done to under-aged smokers, through their operations in Nigeria.
The order was sequel to an application by counsel to the government, Mrs Maryam Uwais, complaining of difficulties in effecting service on Philip Morris.
Other defendants to the suit are International Tobacco Limited, British American Tobacco Plc and two of its affiliates.
In the suit, filed by the Attorney General of the Federation, government contended that tobacco related products manufactured and sold by the defendants were addictive and hazardous to the public health.
Specifically, government is seeking a court injunction compelling them and their agents to cease the marketing, promotion, distribution and sale of the products to minors and under-age persons.
The plaintiff also asked for a court order restraining the defendants from representing or portraying to persons under the age of 18, any alluring and misleading image regarding tobacco related products.
It also asked the court to outlaw the sale and distribution of cigarettes products within 1,000 radius of any school, hospitals, cinemas, playhouses, children shopping area, child care facilities and other public areas.
The respondents, government said, should formulate and implement procedure for the verification of age at all points of sales of cigarettes related products.
The government demanded from the defendants N136.3 billion special damages occasioned by the conduct of the companies.
It also demanded N4.8 trillion as anticipatory damages for the future expenses to be borne by the government in paying for the havoc the defendants allegedly caused to public health.”
In addition, the government requested the court to order the companies to pay N130 billion as punitive damages for the companies’ alleged wrongful conduct.