[Intl-tobacco] EC to speed tobacco rules (fwd)

[Robert Weissman]

EC to speed tobacco rules
by Michael Smith in Brussels and Haig Simonian in Berlin
Source: Financial Times, Monday, 10/9/00
Published: October 5 2000 18:47GMT            *    Last Updated: October 9 2000 

The European Commission is expected to bring forward new legislation
prohibiting tobacco advertising after the European Union's court of
justice on Thursday annulled a 1998 directive for a blanket ban.

David Byrne, health commissioner, said that in spite of the adverse
ruling, the court had expressly recognised the EU's power to legislate
restrictions on tobacco promotion. Promising new measures to tackle
smoking he said: "We need to ensure that the legislation concerned and the
legal base are compatible."

Tobacco companies, which successfully mounted the advertisements challenge
with the German government, gave notice that they would be viewing the
ruling for its implications on another EU measure to cut smoking.

John Carlisle, a director of the UK's Tobacco Manufacturing Association,
said at least some parts of a directive on tobacco contents and labelling
appeared to be illegal and, following Thursday's advertisements ruling,
the industry would consider its legal options.

The contents and labelling directive is likely to be adopted by the EU
soon. Mr Byrne said he did not expect the advertising ruling to affect it.

Germany and the tobacco companies challenged the advertising directive on
the grounds that it was essentially a health measure rather than one to
facilitate the single market, the grounds on which the EU justified it.

The court ruled that the general prohibition of numerous types of tobacco
advertising "in no way" helped to facilitate trade in the products
concerned.

Imposition of a wide-ranging ban was "tantamount to limiting the means
available for economic operators to enter or remain in the market". But
partial bans on certain forms of advertising and sponsorship could be
justified on single market grounds.

The directive, adopted in July 1998, would have phased out tobacco
advertising and sponsorship, such as Formula One racing, in stages until
2006. The FIA world governing body of the motor sport agreed earlier this
week to ban tobacco sponsorship in 2006 in spite of Thursday's ruling,
which had been expected.

Several countries, including France, Finland and Denmark, have already
banned various forms of advertising. The UK, whose proposed laws were
successfully challenged directly by Thursday's ruling, confirmed yesterday
it would bring forward primary legislation to ensure an advertising
prohibition.

Werner Muller, German economics minister, said the decision marked an
important precedent, "otherwise, one could ban everything possible . . .
and we want to avoid that". By contrast, German health lobbies called the
decision a setback.

Philip Morris, cigarette manufacturer, said the court ruling did not
resolve the fundamental issue of whether and how advertising should be
regulated. It pledged to work with the EU to ensure sensible regulation.