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Tobacco stakeholders scrutinise control bill

By BusinessNews Staff on August 10, 2014

The issue of whether or not the National Tobacco Control Bill would enjoy the support of all stakeholders was laid to rest at the one day public hearing organised by House of Representatives joint committee on Health and Justice at the National Assembly, Abuja.
Interestingly, the stakeholders at the occasion overwhelmingly agreed on the need to regulate tobacco production and consumption in order to reduce adverse health implications arising from its consumption and to improve the health and general well being of Nigerians.

The chairman House Committee on Health, Hon. Ndudi Elumelu, had earlier assured that the tobacco bill was not intended to kill tobacco business but rather to ensure that the business of tobacco was conducted in a regulated manner that would guarantee a healthy environment for all concerned. He explained that the public hearing was aimed at ensuring that all the parties to the bill were given opportunity to air their views as the bill when enacted, would reflect the collective wishes of Nigerians.
But the point of departure however was the face the bill would wear. While some groups canvassed for the inclusion or retention of certain aspects of the draft bill, others insist that some aspects be either expunged or amended to ensure a balanced, evidence based, workable and enforceable legislation that would take into accounts the collective interests of both smokers and none smokers. This group argue that the bill, if adopted in its present state will send the legal tobacco companies out of business and thereby spur underground economy.

In its memorandum to the committee, Initiative for Public Policy Analysis (IPPA) punched holes in a number of provisions in the draft bill. Its representative, Mr. Olusegun Sotola submitted that the regulatory approach should not only be sensitive to health approach but must be balanced in a manner that would cater for the interests of all the sectors within the industry to enable optimal results in terms of health and economic implications. He noted that some provisions of the bill were at variance with “contextual realities of the industry.” Specifically, he submitted that with 2013 GATs which put Nigerian tobacco consuming public at 5.6% with over 94% adults and 99% women as non smoking, Nigeria can’t be said to be at high risk for tobacco related health issues. He observed that the bill rests so much power on the ministry and minister of health, a provision that may likely be abused.
He maintained that the draft bill was excessively restrictive on smokers which pose unintended repercussions that would spur underground economy, terrorism, influx of unregulated substandard alternatives and its attendant health consequences, thereby defeating its original intentions.

He also drew attention to the adverse implications of multiplicity cum over regulation of the industry and legal responsibilities on manufacturers, adding that an ideal tobacco law should incentivise innovations into healthier products.
Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) pushed for a producer-user friendly legislation fashioned in a manner that would reduce the negative effects and maximise positive effects of the bill. It raised some concerns which include the establishment of National Tobacco Control Committee which it views as a duplication of functions being carried out by relevant government ministries and agencies. It harped on the need for a clause that takes due cognisance of any threat that may arise from constitutional, policy and legal issues of the bill by harmonising and ensuring that issues such as rights to fair hearing, influencing the outcome of law suits, changing the rules of evidence, etc were frontally addressed.

Throwing its weight behind tobacco regulation, British American Tobacco Nigeria (BATN), the leading tobacco manufacturer, insisted that only a balanced, workable, evidence based regulation could suffice. While drawing attention to dire consequences that befell countries with strict regulations, BATN said among other things that it fully supported the objective of ensuring effective implementation of reasonable and practical tobacco control measures provided such measures adequately combat smoking activity in a manner which is proportionate, not duplicating or contradicting existing laws and does not unjustifiably limit any rights or objectives. It pointed out that an effective regulation must be very clear in terms of its objectives and should not be such that would force law abiding businesses out of operation thereby leaving the market to the mercy of criminals. While supporting some provisions of the bill like provision of age restrictions and provision that tobacco products should not appeal to under 18, the company however raised some concerns on clauses that are either extreme or have unintended consequences that would hinder its legal operation.
Some of these areas of concern include printing of health warning on the sticks which it says makes tobacco more dangerous to consume, industry liability clauses and its attendant negative consequences, no promotion or sponsoring at all levels which kills the industry’s commercial rights to communicate with its audience among other issues.

In its memorandum, Manufacturers Association of Nigeria (MAN) requested that certain factors be put into consideration in the pursuit of the bill. These factors include putting into consideration the manufacturing capacity of the industry which if eroded will affect its contribution to the economy; thousands of rural farmers actively engaged in tobacco cultivation through support by tobacco companies leading to wealth creation, financial empowerment and better standard of living and over N100 billion contribution to government revenue through excise duty, taxes and levies, corporate social investments among others. It warned that the current bill not only contravened trade agreements with other countries, but also will lead to loss of jobs, loss in government revenue, end to economic and social benefits enjoyed by rural farmers through CSR activities and promotion of smuggling among others.

The most unpopular provision of the draft bill, Clause 3, drew their of pro-tobacco stakeholders. The clause provides that tobacco products will not be sold at open markets, shops and kiosks. National Tobacco Retailers Association, Onuwankpu- Igbsagu Community in Izzi Local Government Area of Ebonyi State, BATN and a host of others argued that doing so implies killing their businesses through the back door.
Other pro-tobacco submissions were made by local communities who have benefitted through BATN Foundation in the areas of support to agricultural production, provision of infrastructures; support services suppliers among others.
Besides, the pro-tobacco advocates, memoranda were submitted by anti tobacco advocates too. They include Campaign for Tobacco Free Youths Nigeria, Hajia Mariam Uwais and others who made submissions on the need for a healthy environment for children and youths to live a life free of tobacco.

Speaking after the public hearing, Mr. Freddy Messanvi, Director, Corporate and Regulatory Affairs, BAT West Africa, said the session reflected the level of openness and democracy of the National Assembly. He expressed hope that the session would be very productive, very efficient and something that would be beneficial to the Nigerian people.
Also speaking, Rasheed Bakare, Chairman of Tobacco Growers Association of Nigeria expressed the need for a bill that would promote and encourage sponsorship of tobacco farming as well as provide incentives to farmers. Anything short of that, he said, would not only destroy their main source of income which is tobacco farming but will throw their children out of school.

[This Day]

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