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Sri Lanka: Political commitment needed to curb illicit trade in tobacco - Minister of Health

Permanent Mission of Sri Lanka - Geneva - Switzerland

13th February 2008

The first Session of Intergovernmental Negotiating Body on a Protocol on Illicit Trade in Tobacco Products is being held at the International Conference Centre in Geneva, from 11th to 16th February 2008. Delegations representing 168 signatories to the Convention on Tobacco Control participated at the high level segment which concluded on Tuesday the 12th February.

The head of the Sri Lankan delegation, Hon. Nimal Siripala de Silva, Minister of Healthcare and Nutrition delivered a strongly worded statement at the high level segment urging the signatories to the convention to demonstrate a political commitment to mitigate the illicit trade in tobacco products.

Sri Lankan delegation also included Mrs. Indika de Silva, Deputy Solicitor General and Mrs. Manorie Mallikaratchy, Second Secretary, Permanent Mission of Sri Lanka in Geneva.

The full text of the statement by Hon. Minister is as follows:

Mr. President, Your Excellencies, Distinguished Delegates, Ladies and Gentlemen,

It is a great pleasure for Sri Lanka to participate in the First Session of the Intergovernmental Negotiating Body on a Protocol on Illicit Trade in Tobacco Products.

Sri Lanka has a very proud record in its association with the WHO Framework Convention on Tobacco Control from its inception. Sri Lanka was the first country in the SEARO Region to ratify the Convention and the fourth in the World.

With that proud history, Sri Lanka has moved forward despite many obstacles to give effect to the comprehensive implementation of the Convention through the highest political commitment.

The President of the Democratic Socialist Republic of Sri Lanka, H.E. Mahinda Rajapaksa in his election manifesto known as the 'Mahinda Chintanaya (Mahinda's vision) emphasized his political vision and commitment towards the reduction in the consumption of tobacco and alcohol products and its control in Sri Lanka. He has further pledged that the necessary legislative frame work and a vibrant awareness campaign would be implemented especially targeting the youth population.

After his election to the office of President, he has continued to give leadership to this cause by personally monitoring many of the activities embarked upon by the Government towards the implementation of the Convention.

His aim of 'Mathata Thitha' (fight against tobacco and alcohol consumption) gathered momentum with the support of governmental and non- governmental organizations, religious groups and other voluntary groups working towards a tobacco and alcohol free society.

The Cabinet of Ministers approved the establishment of the National Authority on Tobacco and Alcohol and I had the pleasant privilege as the Minister of Healthcare and Nutrition to present the legislation in this regard to the National Legislative Assembly.

I am happy to state that this legislation was unanimously passed in Parliament without a single member opposing it. This law envisages not only the establishment of the National Authority on Tobacco and Alcohol but also the elimination of tobacco and alcohol related harm through the assessment and monitoring of the production, marketing and consumption of tobacco and alcohol products and discouraging persons specially children from smoking or consuming alcohol products by curtailing their access to tobacco and alcohol products.

The other salient features of this law are -

a. the total prohibition on advertising of tobacco and alcohol products in any form of media or in any public places,

b. the prohibition of sale of tobacco or alcohol products to any person under 21 years of age,
c. prohibition of smoking in enclosed public areas, and
d. the sale of tobacco and alcohol products through vending machines.

The violation of these provisions is deemed to be offences punishable with a fine or imprisonment.

I am also happy to state that having passed this law the Sri Lankan government has taken a keen interest in its implementation. During the first year of implementation ie. in 2007, approximately 10,821 prosecutions have been instituted and a sum of Rs.17.5 million has been recovered by way of fines.

According to an unofficial survey, the sale of tobacco products have come down by 40% at the inception and then stabilized at 20% since the implementation of the law.

With the experience Sri Lanka gained in implementing this Law we are in the process of taking steps to strengthen its provisions in order to make the implementation more effective. For this purpose, the Government is proposing some vital amendments to this law. These amendments include some of the recommendations of the Committee A to the Conference of the Parties ie. guidelines on protection from exposure to tobacco smoke.

Sri Lanka recognizes the need to combat the Illicit Trade in Tobacco Products and high priority has been given to this cause through legislation -

For instance in terms of Section 17 of the National Authority on Tobacco and Alcohol Act, Authorized Officers are empowered inter-alia -

" to examine and take samples of any tobacco products by entering any place dealing with tobacco products whether legal or illicit
" to stop and detain any vehicle which is believed to be conveying such products,
" open and examine any packages
" seize and detain any tobacco or alcohol products

Under the Customs Ordinance tobacco products are deemed to be restricted items. The Law permits the importation of only two cartons of cigarettes on duty free basis. Anything in excess is deemed to be 'commercial quantity' and heavy duty and tax apply.

Section 107A of the Customs Ordinance empowers Customs Officers to search passengers arriving in Sri Lanka and if restricted items are found to forfeit it.

Tobacco Tax Act, No. 8 of 1999 seeks to impose a tax on cigarettes, cigars, beedi and pipe tobacco manufactured in Sri Lanka. Further, the manufacture of such products is prohibited unless the institution is registered with the Commissioner General of Excise and a license has been obtained. Special powers to enter and search premises and stop vehicles are also given to Police, Excise and Customs Officers in order to ensure the proper implementation of the law.

Further the importation of tobacco leaf and tobacco products are only permitted under a bill of lading and the importer is required to keep the document in his possession.

In terms of Section 11 of the Tobacco Tax Act, it is also an offence to deal with improperly imported cigarettes. Dealing in illicitly manufactured or imported tobacco products is an offence which carries a fine not exceeding Rs. 500,000 or to imprisonment not exceeding 5 years. Forfeiture of products, articles used in the manufacture and vehicles are also provided for. If the offender is registered, he will lose the registration.

An Amendment to the Tobacco Tax Act in 2004 introduced a licensing system for the importation of beedi tobacco and created a new offence of possession of contraband.

Sri Lanka welcomes the WHO initiative to establish an intergovernmental negotiating body on a protocol on illicit trade of tobacco products. The illicit trade of tobacco products embraces national as well as cross border activities which can only be combated through an inter-sectoral approach. Enacting legislation or the mere signing of Conventions and Protocols will not bring the envisaged results unless genuine political commitment by all the signatories to the Convention is demonstrated by the proper implementation of the Rules and Regulation.

Sri Lanka is confident that this round of negotiations will be fruitful and will form a strong basis for future negotiations to support the emergence of a comprehensive protocol to combat the Illicit Trade in Tobacco Products.

Sri Lanka pledges its unstinted supported towards all future deliberations.

Thank you for your attention!

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