The Congress of South African Trade Unions (COSATU) presented its submission on the Tobacco and Electronic Delivery Systems Control Bill to Parliament’s Portfolio Committee: Health. The Federation welcomes this long overdue Bill as a critical tool in the campaign to reduce smoking and the exposure of non-smokers and young people to smoking. COSATU has engaged extensively on this progressive Bill at Nedlac and is pleased it is finally before Parliament.
Smoking is the leading cause of lung cancer and a major contributor to the spread of tuberculosis in South Africa with an estimated 30 000 deaths and resultant costs to healthcare and the economy of more than R1 billion annually.
The Bill provides many progressive provisions including strengthening restrictions on smoking at work, in public places and private property to protect non-smokers, workers and children from secondhand smoke. Clauses restricting advertising and the display of tobacco products and their illegal sale to minors will be important boosts to discouraging youth and other persons from smoking. As will the introduction of plain packaging and graphic health warnings on tobacco and related products.
South Africa has made major strides since 1994 under government led by the African National Congress, in reducing the number of smokers, in particular young people. The tightening of legislation has been key to this progress. This is now under severe threat due to the explosion of the illicit trade in cigarettes, which retail on average at 25% of the price of legally sold products and is estimated to now occupy 70% of the market. This will not only collapse the legal industry and its jobs but also the sin tax regime that has played a key role in discouraging young people from smoking. Over R30 billion in tax revenue is believed to be lost annually.
Government efforts to tackle illicit trade in tobacco are painfully inadequate at best. It is beyond disappointing that the Department of Health has failed to exploit this Bill to further empower the state, in particular the South African Revenue Service and law enforcement to tackle this criminal pandemic by requiring the tracking and tracing of tobacco and related products. COSATU urges Parliament to insert bold provisions to ensure that the state is not only empowered but compelled to tackle these highly sophisticated and dangerous criminal syndicates.
Strengthening the Bill is critical, as is ensuring that officials of SARS, the South African Police Service, Hawks and State Security are trained and equipped to win this war. Parliament’s Finance, Health, Police and Intelligence Committees are urged to hold regular oversight hearings with these key state organs on their efforts to crack down on this illicit trade. This is an industry with deep pockets and one that has not been shy to purchase dodgy politicians. This is not a war for the faint-hearted or one that can be won through feelings. It requires a well-resourced and determined state.
Issued by COSATU
Matthew Parks (COSATU Parliamentary Coordinator)
Mobile: 082 785 0687
Email: matthew@cosatu.org.za
