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International / Global / Tobacco
Trade unites to call for end to 'ban' proposal
By Doug Newhouse, 12 March 2010
Ahead of the tobacco negotiations being held in Geneva from 14-21 March, the European Travel Retail Council (ETRC), Airports Council International (ACI), the International Association of Airport Duty Free Stores (IAADFS) and the International Air Transport Association (IATA) have jointly called for the complete rejection of the unwarranted proposal for a global ban on duty free tobacco sales being sought by anti-tobacco activists.
At the same time, airports, airlines and duty free operators have also called upon WHO Member States to agree upon a strong Protocol on illicit trade in tobacco products during the negotiations, with illicit trade in tobacco acknowledged to cost governments and legitimate businesses $20bn in lost revenue annually.
Underlining the strong argument in favour of the legitimacy of duty free tobacco, all the aforementioned parties have also stated that duty free is amongst the most secure retail environments in the world, with controls in place that ensure that products are not diverted into illicit trade.
The statement says: "Despite unfounded claims to the contrary by anti-tobacco activists, there is no evidence whatsoever that there is a problem with tobacco products intended for duty free being diverted into illicit trade.
"The reality is that if there are discrepancies between recorded sales and stock levels at airports for example, the duty free retailer is obliged to cover the outstanding taxes due. The same rules apply to airlines, ferries and cruise ships and to land border duty free shops.
"Banning duty free tobacco sales would deprive airports, airlines and the maritime trade of $3bn in annual sales revenue but have no impact whatsoever on the criminal elements that control the illicit trade in tobacco."
The joint statement adds that the purpose of this Protocol is to combat illegal trade in tobacco products, not to punish legitimate businesses and it repeats the case that there is no supporting logic or evidence to back up the demands for a ban on duty free.
It adds that there are a number of common-sense measures in the draft of the protocol that will form the basis for discussions in Geneva on 14-21 March. At the same time it emphasizes that airports, airlines and duty free retailers support a strong Protocol and are willing to implement provisions in the protocol that will help strengthen the duty free supply chain.
The statement concludes: "Airport, airlines and duty free retailers hope that negotiations in Geneva lead to agreement on a Protocol that addresses illicit trade in a coordinated and effective manner, without needlessly targeting legitimate businesses and key sources of revenue for the transport industry."
By Doug Newhouse, 12 March 2010
Ahead of the tobacco negotiations being held in Geneva from 14-21 March, the European Travel Retail Council (ETRC), Airports Council International (ACI), the International Association of Airport Duty Free Stores (IAADFS) and the International Air Transport Association (IATA) have jointly called for the complete rejection of the unwarranted proposal for a global ban on duty free tobacco sales being sought by anti-tobacco activists.
At the same time, airports, airlines and duty free operators have also called upon WHO Member States to agree upon a strong Protocol on illicit trade in tobacco products during the negotiations, with illicit trade in tobacco acknowledged to cost governments and legitimate businesses $20bn in lost revenue annually.
Underlining the strong argument in favour of the legitimacy of duty free tobacco, all the aforementioned parties have also stated that duty free is amongst the most secure retail environments in the world, with controls in place that ensure that products are not diverted into illicit trade.
The statement says: "Despite unfounded claims to the contrary by anti-tobacco activists, there is no evidence whatsoever that there is a problem with tobacco products intended for duty free being diverted into illicit trade.
"The reality is that if there are discrepancies between recorded sales and stock levels at airports for example, the duty free retailer is obliged to cover the outstanding taxes due. The same rules apply to airlines, ferries and cruise ships and to land border duty free shops.
"Banning duty free tobacco sales would deprive airports, airlines and the maritime trade of $3bn in annual sales revenue but have no impact whatsoever on the criminal elements that control the illicit trade in tobacco."
The joint statement adds that the purpose of this Protocol is to combat illegal trade in tobacco products, not to punish legitimate businesses and it repeats the case that there is no supporting logic or evidence to back up the demands for a ban on duty free.
It adds that there are a number of common-sense measures in the draft of the protocol that will form the basis for discussions in Geneva on 14-21 March. At the same time it emphasizes that airports, airlines and duty free retailers support a strong Protocol and are willing to implement provisions in the protocol that will help strengthen the duty free supply chain.
The statement concludes: "Airport, airlines and duty free retailers hope that negotiations in Geneva lead to agreement on a Protocol that addresses illicit trade in a coordinated and effective manner, without needlessly targeting legitimate businesses and key sources of revenue for the transport industry."
News related to "Tobacco; ETRC;ACI;IAADFS;IATA"
• Tobacco allowance to drop
(31 July 2010)
• YSL's major new products (31 July 2010)
• JTI's core brands perform solidly well (29 July 2010)
• A virtual retail tour of Delhi Duty Free at T3 (27 July 2010)
• 'King Of Cognacs' at HKIA (25 July 2010)
• YSL's major new products (31 July 2010)
• JTI's core brands perform solidly well (29 July 2010)
• A virtual retail tour of Delhi Duty Free at T3 (27 July 2010)
• 'King Of Cognacs' at HKIA (25 July 2010)
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• Bobbi Brown's new offerings (10 March 2010)
• Cath Kidston in sale talks (10 March 2010)
• ARI launches new website programme (9 March 2010)
• Maui Jim breaks all sales records (9 March 2010)
• Bally promotes Mimmo Mariottini (9 March 2010)
• International traffic growth of 6% in January (8 March 2010)
• Dior's exclusive TR offers (11 March 2010)
• Clinique's Happy new launch (11 March 2010)
• NewTree updates its range (10 March 2010)
• Bobbi Brown's new offerings (10 March 2010)
• Cath Kidston in sale talks (10 March 2010)
• ARI launches new website programme (9 March 2010)
• Maui Jim breaks all sales records (9 March 2010)
• Bally promotes Mimmo Mariottini (9 March 2010)
• International traffic growth of 6% in January (8 March 2010)
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