[Intl-tobacco] India: Harsher laws for tobacco, but domestic lobby rejoices

[Robert Weissman]

Important to note that this kind of political arrangement -- stronger
tobacco control regs, but higher tariffs to appease the domestic
industry -- runs directly contrary to WTO and other trade rules.

Harsher laws for tobacco, but domestic lobby rejoices

by Sharif D Rangnekar
Source: Tehelka.com, 2002-01-09 Illustration:  Manoj Kureel 

Harsher laws for tobacco, but domestic lobby rejoices

The domestic tobacco lobby is pleased with two recommendations of
the Parliamentary Standing Committee: all tobacco  products,
including gutka and beedis, should have a common restrictions on
advertising and marketing; the proposed higher tariffs on imports
would save domestic products from competition, reports Sharif D
Rangnekar

New Delhi,  January 9

A Parliamentary Standing Committee on Human Resources Development 
(HRD) has recommended raising the import duty on cigarettes to 150 
per cent from the current level of 35 per cent. The committee,
examining  a series of issues related to tobacco and the consequent
health  hazards resultant from its consumption, has recommended a
common  law against tobacco products, including gutka, beedis  and
the like.

This means that while cigarette packages have to declare nicotine 
and tar contents, other tobacco products would have to do the same. 
The committee says this is necessary to educate consumers that there
 are other tobacco products that are harmful to health. It observes 
that the lack of such conditions "could result in consumption
shifting  away from cigarettes to other tobacco products".

The recommendations are significant in that tobacco consumption  in
India primarily consists of beedis and chewing tobacco,  including
gutka. According to government data, 84 per cent  of tobacco
consumption is of this produce, with cigarettes accounting  for the
balance.

The recommendations are clearly a mixed bag for the tobacco
industry,  with the domestic cigarette companies getting a bit of a
thrill.  The domestic cigarette lobby, led by ITC (India Tobacco
Company),  has been asking for higher tariffs on imports to save its
own products  from competition. The lobby has also been asking the
government  to impose common restrictions on advertising and
marketing of tobacco  products. Cigarette manufacturers are not
allowed to advertise its  products on television and public
places.

Given that the cigarette lobby had already taken a hit, due to curbs
 on advertising and a 35 per cent import duty, the recommendations, 
if implemented, would assist the industry, although in a limited 
way.

The committee has covered issues related to broadcasting norms and 
specified warnings on tobacco products. For one, the committee feels
 that with the low rate of literacy, it is essential to have symbols
 like skulls, cross bones or "any suitable pictorial depiction" so 
as to convey the risk involved in consuming such products.

In so far as the electronic media is concerned, the committee felt 
that a common law covering tobacco products was essential. However, 
it expressed the view that domestic laws and systems were very weak,
 and unable to govern foreign channels. Given that most private
channels  beaming into the country operate from outside India,
little or no  control can be exercised over them, the Parliamentary
Committee  said.

(Courtesy: indiabiznews.com)