In a unified statement, the industry leaders, British American Tobacco Bangladesh (BATB), Philip Morris Bangladesh, and JT International Bangladesh, said:
“While we fully support the Government’s commitment to public health, we believe that the certain measures proposed in the draft ordinance are not evidence-based, and will jeopardize the local livelihoods, further fuel an already growing illicit tobacco market, result in government tax revenue leak, and discourage further foreign investment – ultimately severely impacting an already declining industry.
“Amongst multiple detrimental clauses, the draft includes an ingredient ban, which poses direct threat to the current cigarette operations in the country entirely. The ingredients included in the proposal for ban are essential for processing, manufacturing, and preservation, and are critical to ensure product integrity. In addition, other business-critical clauses, such as mandating retailers license to sell cigarettes, will impact the current 1.5 million retailers and disrupt the legal sales of tobacco products to the retailers and the operations of associated 150,000 tobacco farmers, until the licenses are made available to all the impacted parties and this requires a fair and transparent process with proper consultation.
“Furthermore, the proposed prohibition of smokeless nicotine and tobacco products will take away legitimate choices for adult nicotine consumers, who are looking for reduced risk profile alternatives compared to combustible cigarettes, to transition from combustible tobacco. A de-facto ban on these important product categories will further boost an existing illicit market with compromised quality products, as seen in other countries such as India and Australia. The illicit products will not be controlled by any standards to ensure product quality, further increasing the risk for consumer access to these products.”
“Enacting the proposed Bill without a holistic stakeholder-inclusive consultation poses significant risks to Bangladesh’s economy and public health objectives. We urge the Government to consider the views of manufacturers, impacted farmers, marginalized retailers, hawkers, printers, and others in the value chain, to avoid the negative, unintended consequences caused by these proposed amendments. We are fully committed to collaborating with the Government, alongside other stakeholders, to find a balanced and comprehensive solution.”
