Saturday, September 01, 2007

Smoking in China

It is interesting to hear that 18 months after China ratified the WHO’s framework convention on tobacco control, China has now finally announced it is going to do something to meet its commitments. This is not just a ’smoke-free Beijing’ slogan which in effect means nothing; it is potentially a new law that can be relatively easily enforced. The government can stop companies from advertising and it can stop advertisers from accepting advertising; by enforcing the law from both directions it might actually be enforced -at least in the big cities. It will be interesting to see what happens in the countryside and what what strategy the tobacco companies come up with (maybe just focusing on promoting the brand of the company rather than its products, like Western tobacco companies; or maybe resorting to more underhand tactics and increasing promotion online, ‘on-the street’ or through other less regulated channels).
It is about time that China accepted that the profits the government makes from tobacco (taxes as well as from the State Owned Enterprises in the industry) and the number of people employed in the industry (including many poor urban residents selling cigarettes in tiny shops or from make-shift stands on the sidewalk) is not a reason to continue to support an industry which such devastating impacts on people’s lives, their productivity and their household economy (it is no wonder that most NGOs prefer to support women more than men when so many men spend their pocket money on cigarettes when women spend pocket money on food, education or clothes for the family).

I wonder, though, how the tobacco lobby in China (and though Western companies are a part of this lobby, evidently the major players are all Chinese) let this happen? China is a huge market for the tobacco industry and one of the few countries where (I believe) the number of smokers is growing. I also wonder how high up this decision goes and whether the decision was purely an economical one (i.e. taxes received =lower than cost to health system for dealing with impacts) or also motivated by other reasons.

Smoking itself is one of those industries CSR people love to talk about with the question: Can tobacco companies be responsible? In one way, the answer is no, since the companies’ product kills people that consume the product, and those who do not and particularly harms the vulnerable in a household (i.e. the women and children who suffer from second-hand smoke but do not smoke). In another way, the answer is yes, since the companies’ product is not illegal, employs millions of poor people (especially farmers and those involved in distribution) and contributes high taxes to the governments that need money for health sectors. Does anyone know of any Chinese Tobacco companies that have ever said anything about CSR (not just charity)?

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