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Tobacco Bill bans sale of loose cigarettes – informal traders fear bankruptcy
Tobacco Bill bans sale of loose cigarettes – informal traders fear bankruptcy

The Citizen

timea day ago

  • Business
  • The Citizen

Tobacco Bill bans sale of loose cigarettes – informal traders fear bankruptcy

A clause in the Bill bans the sale of single cigarettes, and if a person is found selling a 'loose' cigarette, they can be fined and/or imprisoned. The Tobacco Products and Electronic Delivery Systems Control Bill in South Africa prohibits the sale of single cigarettes (or loose cigarettes), which informal traders say could bankrupt their businesses. It also regulates other aspects of tobacco control, including public smoking, advertising, and packaging requirements. The Portfolio Committee on Health discussed the impact of the Bill on businesses earlier this week. Members have completed public hearings in all provinces and are now taking oral submissions in parliament. ALSO READ: Why is parliament dragging its feet with the Tobacco Bill? Tobacco Bill Mampapatla Madikoto, Limpopo Small, Medium Enterprises and Hawkers Association general secretary, told members of the portfolio committee that the ban on single cigarettes would cripple their operations, as many of their customers not only buy cigarettes but also other items. A clause in the Bill bans the sale of single cigarettes. If a person is found selling a 'loose' cigarette, they can be fined and/or imprisoned. He added that there are many reasons why people decide to buy single cigarettes, including a box being too expensive, or they are trying to control their smoking habit. Display of tobacco products Madikoto added that the clause will affect approximately two million informal traders, hawkers, spaza shop owners and home-based operators across the country. The proposed Control of Tobacco Products and Electronic Delivery Systems Bill aims to strengthen these measures further by introducing even stricter regulations. This includes banning the display of tobacco products at the point of sale, regulating electronic nicotine delivery systems, and potentially moving towards plain packaging. He told the members that the Bill's ban on displaying cigarettes on countertops or tables is impractical. ALSO READ: Tobacco bill won't curb smoking in the least Smoking outdoors The proposed Bill also seeks to hold traders liable if their customers are found smoking near their stalls in outdoor public places that are designated nonsmoking areas. Currently, tobacco legislation prohibits smoking in indoor public places, except for designated smoking areas that can be up to 25% of the indoor area. However, the government is considering a complete ban on smoking in indoor public places and certain outdoor public areas. The owner of the restaurant/pub, or employer, will be responsible for ensuring that the public space designated as a nonsmoking area is smoke-free. Selling online Madoda Khuzwayo, CEO and founder of SIP, told the committee that the Bill discriminates against online shopping. The Bill seeks to ban the sale and offer for sale of tobacco products online. Khuzwayo, who sells alcohol and tobacco products online, said this clause is unfair, as selling such products contributes significantly to his business. He highlighted that online retailers will not be able to list any tobacco products, while larger physical retailers are permitted to do so. ALSO READ: Pressure mounts for government to pass Tobacco Bill Underage smoking One of the reasons for the strict measures is to control underage smoking, which Khuzwayo has addressed in his business. 'When someone buys alcohol or cigarettes through our business, they will need to produce a physical identification document upon delivery, which will be captured into the system. 'But it is close to impossible for underage smoking to be prevented if children need to go into the store to make a purchase, because some look older and there will be no need to ask for proof of identity,' he added. He said the government can check online retailers' data to prove that alcohol and tobacco are not being sold to minors. Additionally, most of the websites that sell these items block minors. Khuzwayo has requested that the government consider removing the clause banning online tobacco sales. He highlighted that without the necessary amendments, the Bill risks discriminating against small and medium enterprises (SMEs), as e-commerce is many SMEs' main source of revenue. 'Without amendments, the Bill entrenches inequality, especially in townships, and excludes emerging small business players,' he said. NOW READ: Budget 3.0: Alcohol and cigarette prices will increase — here's by how much

AgriSA and community leaders warn of economic fallout from tobacco legislation
AgriSA and community leaders warn of economic fallout from tobacco legislation

TimesLIVE

time02-06-2025

  • Politics
  • TimesLIVE

AgriSA and community leaders warn of economic fallout from tobacco legislation

Thousands of rural households could lose their livelihoods if the Control of Tobacco Products and Electronic Delivery Systems Bill is passed, AgriSA has warned. In its parliamentary submission, AgriSA said the bill, in its current form, neglects to consider the broader implications on agricultural livelihoods. It said tobacco farming remained a vital income source for thousands of rural households, especially in provinces where alternative crops were not economically viable. 'We feel that good legislation is necessary to avoid harmful consequences that might not be foreseen in terms of the present bill. Our emphasis is on fixing what is wrong before we progress to further statutory requirements, the consequences of which have not been fully explored. 'We don't have a vested interest in smoking. We have a vested interest in a constructively regulated, purposeful, evidence-based bill that doesn't create the unforeseen consequence whereby we're supporting illegality through regulation, which is not appropriate to achieve the objective we all want to see achieved,' said AgriSA's Janse Rabie. Rabie said tobacco production dropped by about 50% in five years. 'Why? Because illicit trade has eaten their market away. That's the bottom line and farmers ask the honest question to government: why has government allowed our market to be eaten away by illicit trade? 'If you want to really address the harm, you need to properly legislate the ability to enforce. We absolutely need to make sure that what is in place is properly enforced and that we don't carry on a system that is not working and is allowing for additional illegality to take place.' Nedlac Community Trust CEO Nhlanhla Ndlovu said the issue of the Tobacco Bill was 'misguided from the point of view of not quantifying the impact to producers like farmers, with potential significant implications for the farmers, workers and communities they support'. 'It looks like there's an economic impact that will result in an inability, among affected farmers and communities, to make an income, but there's no viable replacement programme. You are taking away livelihoods in a context where crime stats are showing an increase across the board.' ActionSA MP and harm reduction advocate Dr Kgosi Letlape added his voice, saying the bill seemed to condemn adult smokers to death while 'concentrating solely on issues of youth uptake, which are important, but the deaths don't come from the youth'. He was also concerned about the impact on agriculture in SA. 'Should our agricultural sector be looking beyond our borders to progressive markets where their products could be used for less harmful sources of nicotine? 'My fear is not that the industry will die, it'll just be driven into the wrong hands.'

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