Links (1 2 3)
The bill seeks to ban smoking in public places and forbids persons under the age of 18 to sell and buy tobacco products.
The proposed law, which would amend the 1990 Tobacco Control Laws of Nigeria, also forbids communication between the manufacturers and consumers.
The bill, if passed into law, "will force legal tobacco companies out of business because they will be forced to shut down their operations", a representative of British American Tobacco Nigeria (BATN), Tony Okwoju, told a public hearing, organised by the senate committee on health.
He said that certain provisions in the bill were "either extreme and would have unintended consequences or will only make it difficult or impossible for the legal industry to operate without necessarily achieving the desired objective of reducing the impact of tobacco on public health".
"The effect of passing a law that is not adequately considered is that it will undermine its own intentions by placing tobacco outside of the control of the regulator, thereby leaving those who continue to smoke at the mercy of smugglers," said Okwoju.
BATN, a subsidiary of the British American Tobacco group, locally produces international brands such as Benson and Hedges, Rothmans, St. Moritz, Dunhill, London Kingsize and Consulate.
A representative of Manufacturers Association of Nigeria (MAN), Segun Kadri, said that manufacturers were opposed to the bill because it allegedly ignored the positive contribution of tobacco firms to the society.
"MAN is of the strong view that the senate should handle this bill with the necessary caution it deserves in order not to send a wrong signal to potential Foreign Direct Investment (FDI) in other sectors of the economy," Kadri said.
A member of the senate committee, Kamorudeen Adedibu, said that the National Tobacco Control Bill (2009) will run down the tobacco companies and result in unemployment in the country.
But some local civil society groups expressed support for the bill and called for is speedy passage because of the health hazards tobacco-smoking poses.
A suit filed by the Nigerian government against tobacco companies operating in the country to seek damages for health hazards is pending in court.
BATN Area Head of Regional Affairs, Tony Okwoju, made the pledge before the Senate Committee on Health headed by Iyabo Obasanjo-Bello.
The committee concluded its two-day public hearing on a bill to enact National Tobacco Control at Tuesday's sitting.
Okwoju said in addition to paying N80 billion tax, the company in 2002 established the BATN Foundation which to date has completed 77 community projects in 34 of the 36 states in Nigeria.
On the proposed bill, Okwoju explained that much as it supported the enactment of the bill, there were areas that create real concerns.
"There are provisions in the bill, which we believe are either extreme and would have unintended consequences or will only make it difficult or impossible for the legal industry to operate, without necessarily achieving the desired objective of reducing the impact of tobacco on public health.
"We have seen cases where extreme regulation has resulted in an increase in the levels of illicit trade", he said, adding: "we believe every law should be crafted in a manner that will ensure that the desired results are achieved.
"We believe that the purpose of a tobacco control law should be the reduction of the impact of tobacco on public health. It should not be to force legal tax-paying tobacco companies out of business".
He told the committee that the company is not a criminal organization, adding that a thorough amendment of the bill would ensure it avoids negative consequences.
The pro-tobacco lobby has come out strong against a proposed anti-tobacco bill to be discussed in the Nigerian parliament. The lobbyists include British American Tobacco Nigeria and the Manufacturers Association of Nigeria.
The bill seeks to ban smoking in public places and forbids persons under the age of 18 to sell and buy tobacco products. The proposed law, which would amend the 1990 Tobacco Control Laws of Nigeria, also forbids communication between the manufacturers and consumers.
A member of the senate committee, Kamorudeen Adedibu, said that the National Tobacco Control Bill (2009) will run down the tobacco companies and result in unemployment in the country. But some local civil society groups expressed support for the bill and called for is speedy passage because of the health hazards tobacco-smoking poses. A suit filed by the Nigerian government against tobacco companies operating in the country to seek damages for health hazards is pending in court.
Leading tobacco manufacturers in the country, the British American Tobacco (BAT) has declared that the Federal Government stands to lose about N10 billion annually as revenue accruable to it should it succumb to pressures that a ban be placed on cigarettes production in Nigeria.
Presenting BAT’s position on the National Tobacco Control Bill at a public hearing organised by the Senate Committee on Health, the Area Head of Regulatory Affairs, Tony Okwoju, said the company remits tax of about N10 billion every year to government.
According to him, "Since 2001, British American Tobacco Nigeria has paid over N80 billion in taxes to government."
Mr. Okwoju said about 400,000 people stand to lose their sources of livelihood saying, "The company currently employs over 850 people directly and another 1700 indirectly. It also contributes to the livelihood of over 350 thousand people, including farmers, distributors and their employees, suppliers and retailers amongst others."
While expressing support for regulation of tobacco usage in the country due to health hazards, BAT said it does not support a section of the proposed tobacco bill which seeks to make process of litigation against tobacco companies easier.
"Altering and undermining established rules of evidence to make it easier for anybody to win lawsuits against the tobacco industry will not reduce the health impact of tobacco. It will force legal tobacco companies out of business," Okwoju said.
The company said such would lead to job losses and would not stop circulation of tobacco products in the country saying, "The vacuum created by the exit of legal companies will promptly be filled by smugglers."
In their presentation Association of Tobacco Farmers from Oke-Ogun in Oyo State called on the Senate Committee to halt plans to ban cigarettes smoking in the country because "We don't have any other means of livelihood than tobacco farming."
But in its presentation, Environmental Rights Action/Friends of the Earth said refusal to ban tobacco usage in the country would lead to death of about 5.4 million people annually.
"Tobacco currently kills over 5.4 million people yearly, about 70 percent of that casualty occurs in developing countries like Nigeria," the Friends of Earth said.
The National Tobacco Control Bill before the Senate seeks to among several other issues prohibit smoking of cigarettes in public places, ban sales to minors as well as create a frame work for legal action against tobacco industries in case of health hazards.
The non governmental organisation said tobacco manufacturers such as BAT were forced out of developed countries by stringent tobacco control laws forcing them to relocate to developing countries.