More Tongans will die prematurely from diseases associated with tobacco smoking as a result of the government's recent changes to tobacco policy, warns the Tonga Medical Association this week, charging that government has allowed itself to be influenced by the tobacco industry to quietly lower taxation on tobacco.

In a press statement the association expressed its concern over the recent lowering of excise duty on cigarettes landing in Tonga, arguing that the reduced cost of cigarettes will lead to a measurable increase in nicotine addition by teenagers, and undermine the health of Tongans for many years.

The lowering of the duty was done on the sly without proper consultation.

According to the medical association, "the [government's] decision to reduce tobacco taxation was made without consulting the National Non Communicable Disease Committee (NNCDC) or the Tobacco sub-Committee, or any other bodies working on tobacco control.

"The Tonga Medical Association sees the recent policy changes on tobacco sales and taxation as an act by the government to extract any remaining teeth from Tonga...’s anti-Tobacco Legislation passed in recent years," the doctors said.

"It is extremely worrying that the tobacco industry, one of the most profitable industries in the world, has been allowed to influence a government decision to reduce tobacco taxation," they stated.

On 30 June this year the government reduced the excise duty on cigarettes by 22% from Tongan $192 per 1000 sticks to $150 per 1000 sticks. The amendment to the Customs and Excise Act, which was assented by the King on 18 July 2005, resulted in a reduction in the recommended retail price of a typical package of imported cigarettes from $8.50 to $6.70.

"It does not make sense, either from a Public Health point of view or from an economic point of view," the Tonga Medical Association stated.

More deaths

"It has repeatedly been shown that a price reduction of cigarettes results in increased consumption," the statement said.

"The decision to reduce the excise on tobacco will have a strong and long lasting negative impact on people...’s health as it will unavoidably lead to more cigarettes being smoked in Tonga and, in the end, to more people dying prematurely from diseases associated with smoking."

The Medical Association pointed out that tobacco taxation has in recent years become an important tool for minimizing the damage to people...’s health caused by smoking.

"Repeated studies have shown that a 10% increase in the price of cigarettes causes a 3-6% decline in consumption. The impact is biggest on the teenage group where reductions in consumption can be as large as 14-23%. As almost all smokers become addicted early in life this is the most important group to protect from tobacco."

Loss in revenue

They pointed out that in 2003, tobacco excise contributed $7.3 million pa...’anga to government...’s revenue, but now, "the 22% reduction in excise duty will lead to the loss in income of $1.6 million pa'anga calculated on 2003 import volumes."

" Reducing the price of cigarettes will unavoidably lead to more people becoming addicted to smoking, which, in the long run, will increase government...’s cost for health care. Lower taxation will at the same time decrease government...’s revenue at a critical time when the country...’s economy is under pressure."

Tobacco companies

"There is only one winner from a reduction in tobacco taxation and that winner is the tobacco industry. It will result in more of our young people becoming addicted to tobacco and increase the profit of companies such as British American Tobacco.

"It has also robbed the health sector of important financial resources for health care and primary prevention as total government revenue goes down," they stated.

Loophole closed

However, the Tonga Medical Association recognised that the government had also closed a loophole and that local manufacturers must from now on must pay an excise duty of $192 per 1000 sticks produced in the country.

"This closed a loophole (if enforced) in the legislation, which had allowed the manufacturers of a foreign owned tobacco manufacturing company to import raw tobacco and produce cigarettes free of duty for the local market making it possible for the company to sell its cigarettes at a much lower price than imported brands."

Funds for health promotion

The Tonga Medical Association recommended that government should as soon as possible increase the excise duty on tobacco to the previous level of T$192 per 1000 sticks for imported tobacco.

It wants the government to take steps to ensure that funds from tobacco taxation can be directly channeled to health promotion activities and tobacco control measures.

"If as little as 5-7% of the annual revenue from tobacco taxation was channeled to a Health Promotion Foundation it would make an enormous difference for health promotion in Tonga, which is chronically under-funded in comparison to curative care and heavily dependent on external support for activities," the statement said.