THE DAILY TELEGRAPH: One of Australia's major tobacco companies has warned that the price of cigarettes could halve if a plan to bring in plain packets is carried out.
At the launch of a multi-million dollar campaign against the government's proposals, British and American Tobacco Australia (BATA) said more people would end up smoking if plain packaging was introduced.
BATA warned that uniform packets would make illegal imported cigarettes made in China and Indonesia and known as "chop chop" easier to disguise and would eventually force prices down sharply as tobacco companies tried to compete.
Last month, Australia unveiled the world's toughest laws on tobacco promotion that would see cigarettes sold in ugly olive-green packets plastered with graphic health warnings. Under the plan, due to take effect next year, all logos would be removed and replaced with the brand name in a small, specific font.
But BATA has vowed to fight the move, warning that it will backfire and spark a boom in black market tobacco.
"When all cigarette packs look the same and lose their trademarks and distinguishing features, counterfeiters will have a field day mass producing packets to smuggle into Australia," David Crow, BATA's chief executive said. Continue reading and comment » | Bonnie Malkin, In Sydney | Tuesday, May 17, 2011
