ASH Australia media release                                       July 4, 2009

Tobacco companies in discount and promotion push

Twin-pack assault and retailer prizes to "lock in" young and vulnerable smokers

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Tobacco companies are making new discount offers and “pushing the pushers” to promote them - to “lock in” young and vulnerable smokers before new display bans and a likely tax rise.

New twin packs are being sold at prices discounted by as much as $5 per twin pack – and retailers are being offered big prizes for displaying and promoting brands such as Players and Marlboro, ahead of new laws putting cigarettes out of sight.

Says Anne Jones of Action on Smoking and Health (ASH) Australia : “These new discounts and promotional inducements are part of a push by tobacco companies in Australia and New Zealand to exploit smokers hit by the economic downturn - by making these deadly and addictive products more affordable.

“The industry has a long history of ploys to lure ‘new smokers’ – mostly teenagers.

“The industry is trying to weaken the resolve of people trying to quit by new discounts and repackaging their products in ways that might catch the attention of the most vulnerable.

“Tobacco companies are trying to ‘lock in’ smokers before new laws require tobacco products to go out of sight in shops – due to take effect in most states in the next 18 months.

“These are desperate tactics by companies fearful of a possible tobacco tax increase soon, since there hasn’t been a real tax rise in Australia in almost a decade.

“A tax increase would drive smoking rates down and prevent chronic diseases.

“Rather than disadvantaging people on low incomes, it would benefit them most because their pockets are hit hardest by buying tobacco and by the health costs that result from smoking it.

“The tobacco companies want to hook as many people as they can before any such increase.

“Health groups are united in their call to the Rudd Government to increase tobacco tax after a ten-year hiatus, and to close the numerous loopholes allowing tobacco to be widely promoted on the internet, in shops, and through sports and fashion.”

Comment:    Anne Jones, CEO, ASH Australia    ph. (02) 9334-1876;  m. 0417-227-879

Media info:   Stafford Sanders, ASH Australia     ph. (02) 9334-1823;  m. 0412-070-194

Page last updated 4/7/09