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European News Bulletin
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!# GLOBALink Tobacco - Weekly European News Bulletin
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EUROPEAN NEWS BULLETIN - EU9828 20 JULY 1997
CONTENTS:
EUROPE - SPECIFIC COUNTRIES
- FRANCE: The Government has reduced its SEITA holding.
- FRANCE: SEITA and Sciences de l'Homme.
- FRANCE: Shredded tobacco sales in April 1998.
- PORTUGAL: Food and drink production falls.
- SWEDEN: Decline in tobacco consumption.
- SWEDEN - Only one in five smokes daily.
- SWITZERLAND: Development of outdoor advertising.
EASTERN EUROPE - SPECIFIC COUNTRIES
- KAZAKHSTAN: Philip Morris builds new plant.
- RUSSIA: Dovgan violated law on advertising?
- RUSSIA: Tobacco producers short of excise stamps.
INTERNATIONAL - SPECIFIC COUNTRIES
- USA: Judge stubs second-hand smoke's big cancer link.
EUROPE - SPECIFIC COUNTRIES
FRANCE: The Government has reduced its SEITA holding.
The French Government currently holds 5% of the capital (compared
to a previous holding of 10%), and 5.03% of voting rights of
privatised French tobacco company SEITA after selling a number
of stocks outside the market on 14 May 1998. Share prices in the
company have risen 31% between January and July 1998.
Source: La Tribune (XOT) 08 Jul 1998 p.12 Language: FRENCH No.
06653070 Source: Information Access Company 17/7/98
FRANCE: SEITA and Sciences de l'Homme.
SEITA, the French cigarette company, is continuing its sponsoring
of the Sciences de l'Homme et de la Societe which it began in 1992.
It has invited for applications for three FFr 100,000 grants.
This year's theme is 'tourism and its effects'.
Source: Revue des Tabacs (YZW) Jun 1998 p.8 Language:
FRENCH No. 06652101 Source: Information Access Company 17/7/98
FRANCE: Shredded tobacco sales in April 1998.
There were 644 tonnes of shredded tobacco sold in France in
April 1998, up 0.2% from April 1997. In the first four months
of 1998 1,705 tonnes of rolling tobacco were sold, up 0.5%,
and 630 tonnes of pipe tobacco and other rolling tobaccos,
down 5.9%. Overall, sales of shredded tobacco totalled
2,335 tonnes, down 1.3%; Caporal 40 was the leading product
sold in April 1998 with 62 tonnes, down 11.6%, followed by
Drum 50/40 with 40 tonnes, down 13.9%, Gauloises 40 with 35 tonnes,
up 1.3%, Ajja 17 LZger 50 with 32 tonnes, down 3.7%, and Caporal
Coupe Fine 40 with 31 tonnes, down 0.7%.
SEITA is the market leader with a 43.3% market share in April
1998, down 2.8%, for 279 tonnes sold, down 6.1%, followed by
Rothmans with a 14.8% market share, up 1.4%, with 95 tonnes,
up 10.4%, Douwe Egberts with a 12.3% market share, down 1.8%,
for 79 tonnes, down 13.7%, and BAT with a 10.1% market share,
up 0.3% for 65 tonnes, up 3.5%. Source: Revue des Tabacs (YZW)
Jun 1998 p.35 Language: FRENCH No. 06652102
Source: Information Access Company 17/7/98
PORTUGAL: Food and drink production falls.
According to figures from Portugal's INE the production and
gross value added of the country's food, drink and tobacco
sector fell by 1.2% and 0.6% respectively between 1994 and 1995.
This was the only sector to register falls in these values.
The reasons for the fall according to INE was due to the
increasing penetration of foreign products, changes in consumer
habits and the increasing importance of large retailers in the
market.
Source: Diario Economico (DE) 29 Jun 1998 5
Language: PORTUGUESE 06651753 Produtos estrangeiros prejudicam
alimentacao, bebidas e tabaco PORTUGAL: FOOD AND DRINK PRODUCTION
FALLS Source: Information Access Company 17/7/98
SWEDEN: Decline in tobacco consumption.
Statistics provided by the State Agricultural Department in
Sweden shows that the consumption of all types of tobacco is
declining throughout the country. In 1970 the per capita
consumption of cigarettes in Sweden was 1,277, by 1980 this
figure had increased to 1,432, by 1990 it was down to
1,240 again and by 1997 it had further declined to 678.2.
In 1970 the per capita consumption of cigarillos and cigars
was 41, in 1980 it was 19, in 1990 16 and by 1997 it was 8.3.
In 1970 the consumption of smoking and chewing tobacco was
0.2kg per person while the corresponding figure in 1980
was 0.1kg, in 1990 0.2kg and in 1997 0.1kg. In 1970 the
per capita consumption of snuff was 0.3kg, in 1980 0.4kg,
in 1990 0.5kg and in 1997 0.6kg. Converted into Swedish
krona the per capita consumption totalled SEK1,287 (US$162.9);
it totalled SEK21 for cigarillos and cigars totalled,
SEK167 for smoking and chewing tobacco and SEL271 for snuff.
Overall, the value of the tobacco market was approximately
SEK,399mn in 1997, the total value was made up of the cigarette
market at SEK11,387mn, the market for cigarillos and cigars
at SEK188mn, the market for smoking and chewing tobacco
at SEK1,474mn and the market for snuff at SEK2,399mn. The
consumption of cigarettes dropped 28% in the 1996-1997
period whereas the consumption of cigarillos and cigars
dropped 12% and the consumption of smoking and chewing tobacco
declined 15%. Snuff consumption rose in the 1970-1997 period
but by 1996/97 it was down 5% in terms of volume. The
total reduction in tobacco consumption was 27%.
Source: Supermarket (***) 6-7/1998 p.91
Language: SWEDISH No. 06652001 Source: IAC 17/7/98
Comment: This decline in consumption is reflected in the
following evidence showing a decline in smoking prevalence.
It is hoped that the figures will encourage tobacco control
advocates in Sweden to continue with their campaigns.
SWEDEN - Only one in five smokes daily.
New data from Sweden (from the annual survey on living
conditions, carried out by Statistics Sweden among a
representative sample of almost 6,000 persons, age 16-84)
indicate a significant reduction of smoking prevalence
during 1997. Among men, only 17% are now daily smokers
(compared to 21% in 1996). Among women, 22% are daily smokers
(compared to 23% in 1996 - this difference is not statistically
significant). In the younger age group of smokers (16-24), 12%
of the men are daily smokers (compared to 16% in 1996), whereas
19% of the young women smoke daily (compared to 23% in 1996).
(None, however, of these changes is statistically significant,
as the number surveyed in this age group is only slightly more
than 800 persons.) About 20% of the men (smokers and non-smokers)
use "snus" - the traditional oral moist smokeless tobacco
-on a daily basis. The total sales of (taxed) cigarettes also
decreased, from about 8.3 billion in 1996 to 6 billion in
1997. A part of this decrease might be explained by increased
illegal sales of smuggled cigarettes. From 1st January 1997,
a legal ban on tobacco sales to minors (under the age of 18)
came into effect. Also, the cigarette tax was increased twice
(in the end of 1996 and from 1st August 1997), making cigarettes
in Sweden the most expensive in the European Union. In June 1998,
however, the Swedish Parliament decided to lower the tax again,
in an attempt to counteract the increased smuggling. So, in
August this year, the retail price of 20 cigarettes is expected
to decrease from about SEK 44.5 (about US$ 5.5) today to
about SEK 36 (about US$ 4.5).
(Author abstract.)
GLOBALink communication from Paul Nordgren,
Tobacco Control Programme, National Institute of Public Health,
Stockholm Sweden 17/7/98
SWITZERLAND: Development of outdoor advertising.
In 1997 outdoor advertising, which accounts for over 10% of
the total Swiss advertising expenditures, posted a total net
turnover of SFr 446.5mn (-0.4%). The largest segment was
billboards with a turnover of SFr 266.0mn (-3.3%), followed
by neon advertisement with SFr 108.8mn (+12.5%), means of
transport with SFr 32.6mn (-5.4%) and sports/stadiums with
SFr 26.5mn (+/-0). In 1997, the turnover of billboard
advertising reached double the volume of the late 1980s.
The tobacco industry accounted for 12.9% of outdoor
advertising expenditures in Switzerland in 1997, the
automotive industry for 8.4%, banks 7.1%, textiles/fashion
and department stores for 6.0% each, cinemas/theatres/concerts
for 5.9%, print media for 5.7% and watches/jewellery for 5.1%.
Source: Schweizer Handelszeitung (XID) 01 Jul 1998 p.25
Language: GERMAN No. 06652435 Source: IAC 17/7/98
EASTERN EUROPE - SPECIFIC COUNTRIES
KAZAKHSTAN: Philip Morris builds new plant.
The American tobacco company Philip Morris has started
construction of its new plant in the village of Energetichesky,
Alma-Ata Region. The designed capacity of the new tobacco
factory will be 25 bn cigarettes a year.
Source: Delovoi Ekspress (AEO) 1/7 Jul 1998 p.20
Language: RUSSIAN No. 06651916 Source: IAC 17/7/98
RUSSIA: Dovgan violated law on advertising?
The Russian State Anti-Monopoly Committee (GAK) is deliberating
on whether the Russian entrepreneur Vladimir Dovgan, the owner
of the trade mark Dovgan, has violated the law on advertising.
Portraits of Dovgan, who is 30 years-old, have appeared on
packaging for cigarettes, vodka and beer. However, the law
on advertising prohibits the use of images of individuals
under 35 years of age on advertisements for tobacco and
alcohol. If the GAK rules that Dovgan has violated the law,
about 20 items of alcohol and tobacco products could be
prohibited for sale. Source: Kommersant-Daily
(XFL) 07 Jul 1998 p.5 Language: RUSSIAN No. 06652477
Source: IAC 17/7/98
RUSSIA: Tobacco producers short of excise stamps.
Russian tobacco production could be halted in the near future
because of lack of excise stamps. The Russian Association of
Tobacco Producers, Tabakprom, has allied itself with 17 out
of 27 tobacco factories in Russia and made a joint
representation to the Prime Minister Sergei Kirienko,
urging him to solve the problem and stabilise supplies
of excise stamps.
Source: Izvestiya (XFJ) 04 Jul 1998 p.2 Language: RUSSIAN
Source: IAC 17/7/98
INTERNATIONAL - SPECIFIC COUNTRIES
USA: Judge stubs second-hand smoke's big cancer link..
A federal Judge has ruled that the Environmental Protection
Agency (EPA) wrongly declared second-hand tobacco smoke (that is,
passive smoking) a dangerous carcinogen in its landmark 1993
report. That report concluded that tobacco smoke is a Class A
carcinogen responsible for some 3,000 deaths per year.
The tobacco industry sued the EPA in 1993 in the tobacco-growing
state of North Carolina. Perhaps not surprisingly the Judge,
Thomas Osteen has sided with the industry. The decision was
based on a number of factors.
Judge Osteen said the agency's science was lacking and that
they had wrongly used provisions in a previous Act, the Radon
and Indoor Air quality research Act to determine that second
hand smoke is hazardous. Commenting on the decision, Jim Repace
a world-renowned expert on second hand tobacco smoke said:
"Federal judges are usually hand picked by the States Senators
and this judge was well known to have tobacco connections."
He countered the Judge's statement that the EPA report did not
show a statistically significant association between second hand
smoke and lung cancer. Mr Repace said: "This (statement) was most
emphatically false. EPA used a weight of evidence approach, which
relied upon several other lines of evidence besides the
epidemiological studies." Carol Browner, EPA Administrator, said
that the administration would almost certainly appeal against
the judge's decision.
Source: The Guardian 20/7/98; International Herald Tribune 20/7/98;
Financial Times 20/7/98; GLOBALink communication from James Repace,
Repace Associates, USA 20/7/98
USA: Nicotine vaccine could stub out smoking for good.
A vaccine which its manufacturers claim can block the affects
of nicotine on the nervous system is to be tested on volunteers
in the near future. Clive Bates, the Director, of ASH said: "Claims
for products like this should be treated with caution, they may
never work or be years away from realisation.
However, developments like this are useful in informing the debate
on nicotine addiction." The vaccine has been developed by
Immulogic, a company in Massachusetts, USA.
Source: The Express 20/7/98; The Observer 19/7/98
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!# GLOBALink EUROPE - Tobacco-Control News Bulletin - Weekly
!# Editor: Bunmi Akinade - ASH UK - mailto:ashuk@globalink.org
!# Support: Ruben Israel - UICC - mailto:israel@globalink.org
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