A Brief Colonial History Of Ceylon(SriLanka)
Sri Lanka: One Island Two Nations
A Brief Colonial History Of Ceylon(SriLanka)
Sri Lanka: One Island Two Nations
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Thiranjala Weerasinghe sj.- One Island Two Nations
?????????????????????????????????????????????????Wednesday, August 2, 2017
Veiled marketing: Anti-smoking groups slam Indonesia's Big Tobacco
A woman holds packs of Sampoerna cigarettes produced by PT HM Sampoerna at a cigarette shop in Jakarta, August 1, 2017.
JAKARTA (Reuters) - Anti-smoking groups in Indonesia have slammed Big
Tobacco for promoting sales by giving retailers cash rewards, shopping
vouchers and even money to renovate, urging authorities to enforce
advertising curbs to safeguard public health.
The country with one of the highest smoking rates in the world does have
a national regulation in place to restrict cigarette advertisements,
including a ban on tobacco firms promoting their products while acting
as a sponsor. But it is inconsistently enforced by regional authorities.
Cigarette makers are making the most of this, tying up with small
retailers and rewarding them for in-store promotion of products, the
anti-smoking groups said.
By mid-2016, Philip Morris-controlled PT Hanjaya Mandala Sampoerna Tbk (HMSP.JK), PT Gudang Garam Tbk (GGRM.JK)
and Djarum Group had partnered 513 shop-owners in four cities
surrounding Jakarta, a study by the Indonesian Public Health Association
(IAKMI) shows.
Cigarette companies have stepped up "veiled promotions" following a move
by the Jakarta governor two years ago to ban all cigarette advertising
on outdoor media, IAKMI said.
"Their grip will take root even more, and the consumption of cigarettes
will spread," said Widyastuti Soerojo, head of IAMKI's tobacco control
unit.
A shop-owner in Tangerang, west of Jakarta, said as a Sampoerna partner
he has to follow the company's display requirements for its products and
is not allowed to sell other cigarette brands.
In return, Sampoerna has given him free cigarette packs, shopping
vouchers, banners and even a million rupiah ($75) to paint his shop, he
said, declining to be named as he was not authorised to speak to media.
Cigarette advertisements are often found at small shops near schools,
making children extremely vulnerable, said Lisda Sundari, head of the
Lanterns for Children Foundation.
A shocking video of a toddler reportedly puffing up to 40 cigarettes a
day on the island of Sumatra went viral around seven years ago, firing
up anti-tobacco activists who said it underscored the problem of
underage smoking in Indonesia.
A
street vendor counts money as he buys a box of A Mild cigarettes
produced by PT HM Sampoerna at a cigarette shop in Jakarta, August 1,
2017.
Despite rising anti-smoking sentiment in the country of 250 million
people, Indonesia's cigarette market was the second-biggest in the world
after China with 316.1 billion sticks sold last year, data from
Euromonitor International shows.
Gudang Garam and Djarum did not respond to requests for comment. Sampoerna did not immediately provide a comment.
Industry Needs Room to Breathe
Philip Morris, Sampoerna's parent company, said the overall cigarette
market in Indonesia dropped 11.6 percent in the second quarter from a
year earlier, while its market share fell to 32.8 percent from 33.4
percent.
The U.S. cigarette giant said tax-driven price increases were partly responsible for the drop.
"We are being pressured from all sides: rising excise taxes, a
not-so-good economy, anti-tobacco movement," said Muhaimin Moeftie,
chairman of the association of Indonesian white cigarette producers.
Regulations should give the industry "room to breathe", he added.
The decision to raise cigarette excise taxes by an average of 10.5
percent this year, following an 11 percent hike in 2016, was aimed at
controlling consumption and distribution, a senior official at the
finance ministry said.
"The government is concerned about production, we hope production of
cigarettes will gradually drop," said Heru Pambudi, director-general of
customs and excise.
But Indonesia's parliament has initiated a bill which if passed into law
would cut back health warnings on packs and effectively increase
production.
Proponents of the bill say it would safeguard a vital economic sector
that employs millions and contributes nearly 10 percent of state
revenues.
Reporting by Jakarta Newsroom and Eveline Danubrata, additional
reporting by Stefanno Reinard, Hidayat Setiaji and Cindy Silviana;
Editing by Ed Davies and Himani Sarkar