New Zealand: Black Market Warning over Tobacco Plain Packaging

Source from:  nzoom.com (TVNZ)  04/17/2014

There will be a booming black market tobacco trade if plain packaging is introduced, according to an organisation representing retailers.

The Health Select Committee today held a briefing on the more than 17,000 submissions on the Smoke-Free Environments (Tobacco Plain Packaging) Amendment Bill.

The organisation representing grocers warned of dire consequences if the bill passes.

"In Australia since the introduction of plain packaging there that there has been quite large busts for illicit cigarettes and there are some retailers in Australia that are saying store sales have gone down incredibly but there's no sign of the slowing down of smoking," said National Assocation of Retail Grocers executive director Trina Snow.

Tobacco companies insist plain packaging has done nothing to reduce smoke rates across the Tasman.

If passed, the bill would strip all advertising from cigarette packaging aside from a plain type name of the particular variety.

The bill is highly likely to pass, with only Act MP John Banks voting against it at first reading.

However, plain packaging could be years away, with Prime Minister John Key indicating that the Government will await the outcome of a World Trade Organisation challenge to plain packaging in Australia before sending the legislation to the governor-general for Royal Assent. Enditem