Canada freezes big anti-tobacco push, critics fume

* Ottawa, provinces had spent six years on campaign

* Tobacco industry wants focus on contraband products

By David Ljunggren

OTTAWA, Sept 28 (BestGrowthStock) – Canada has frozen long-held
plans to slap graphic new warning labels on packs of
cigarettes, prompting critics to attack what they see as the
tobacco industry’s excessive influence on the minority
Conservative government.

The federal health ministry spent six years devising the
new campaign and agreeing on the details with the country’s 10
provinces, which administer the public healthcare system.
Earlier this month, Ottawa told the provinces the plan was on
hold.

“Health Canada continues to examine the renewal of health
warning messages on tobacco packaging but is not ready to move
forward at this time,” a spokeswoman told Reuters on Tuesday.

She also referred to recent law and order measures designed
to cut the production and sale of contraband tobacco — a key
demand of the industry.

Since 2001, all cigarette packs — which cannot be
displayed openly in stores — have carried graphic warning
labels covering half the surface of the package, aimed at
telling people of the health risks of smoking and getting them
to quit.

Anti-smoking campaigners say the labels are tired and need
to be upgraded and increased in size.

The official opposition Liberal Party said statistics
showed that since the Conservatives took office in 2006, the
rate at which Canadians have quit smoking has declined.

“This government is listening to the business lobby, the
tobacco lobby,” said legislator Ujjal Dosanjh, who was federal
minister of health when the consultations were launched.

“The illegal tobacco traffic … is important. But you
can’t take your eyes off this particular problem,” he told
Reuters, saying the government could easily fight tobacco
smuggling while ensuring the warning labels were more graphic.

Meghan Leslie of the left-leaning New Democrats said the
the decision to freeze the anti-smoking campaign and the focus
on contraband cigarettes “say to me that this is not about
health … this is about industry, at the expense of people’s
health, perhaps at the expense of people’s lives”.

“I would have expected that large warnings would be
announced by now … the government hasn’t really given a clear
reason why and I can’t conceive of a good reason why,” said Rob
Cunningham of the Canadian Cancer Society.

Major producers of tobacco sold in Canada include R.J.
Reynolds Tobacco Co (RAI.N: ), Japan Tobacco’s (2914.T: )
JTI-Macdonald unit, Rothmans Benson & Hedges Inc, which is
partly owned by Philip Morris (PM.N: ) and Imperial Tobacco
Canada Ltd, a unit of British American Tobacco (BATS.L: ).

Imperial Tobacco spokesman Eric Gagnon said contraband
tobacco costs the industry between C$900 million ($875 million)
and C$1 billion a year and undermined a host of regulations, as
well as cutting into tax revenues.

“The biggest tobacco problem in Canada today is contraband.
So increasing a health warning on a product that already has a
50 percent health warning — and is also hidden from public
view — is not a public health initiative,” Gagnon said.

The office of federal Health Minister Leona Aglukkaq did
not respond to requests for comment.

($1=$1.03 Canadian)
(Reporting by David Ljunggren; editing by Rob Wilson)

Canada freezes big anti-tobacco push, critics fume