Imperial Tobacco position on banning merchandise display and introducing a specialized trade of tobacco products

12.10.2016
Imperial Tobacco shares concerns of trade enterprises regarding draft laws recently registered with the Verkhovna Rada of Ukraine on banning merchandise display and introducing a specialized trade of tobacco products.

 

There have been registered with the Verkhovna Rada of Ukraine draft laws of Ukraine "On Amendments to Certain Legislative Acts of Ukraine (regarding the protection of public health from harmful effects of tobacco smoke)". No. 4030а of 19.07.2016 and "On Amendments to Certain Legislative Acts of Ukraine (regarding the regulation of trade of tobacco products and the introduction of special merchandise places for tobacco products)". No. 4030а-1 of 02.08.2016.

The authors of both draft laws propose banning merchandise display of tobacco products in retail outlets. But unlike the previous draft law, draft law No. 4030а-1 provides that the ban on merchandise display of tobacco products does not apply to specialized places of trade located in separate buildings, their secluded parts or premises (part of the premises), which have a separate entrance and access to the street or to the trading hall.

The company has received numerous requests from our trading partners to express our position regarding the above-mentioned draft laws and, referring to own experience of operating in different countries, to assist in drafting appeals to the Verkhovna Rada of Ukraine (the Ukrainian Parliament), President of Ukraine and the Cabinet of Ministers of Ukraine.

We oppose the ban on merchandise display of tobacco products in retail outlets and the provision of competitive advantages to specialized trade enterprises as such legislative novels, effectiveness of which has not been established, will have comprehensive and significant negative consequences for all players of the tobacco market of Ukraine.

At the request of our partners, we have prepared a sample letter to the Verkhovna Rada of Ukraine, President of Ukraine and the Cabinet of Ministers of Ukraine that can be used by retail chains and individual trading enterprises, buyers and sellers of tobacco products and citizens who are indifferent to the issue.

Sample of the letter is attached.