Patricio Marquez: “Tobacco is the only legal product that kills, and the most profitable business in the last 100 years has been cigarette trade”

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18 decembrie, 2016, 19:55

Vizualizări: 1928

Patricio Marquez, Lead Health Specialist, coordinator of the Global Tobacco Control Initiative, World Bank Group

Tobacco use kills, and I believe that the information collected over the last four decades shows a cause and effect relationship in this regard. In 1964, a report published by the US Government clearly explained the connection between tobacco use and lung cancer. More recent statistics, also published in the USA, show that over 170 billion dollars a year are spent to treat diseases associated with smoking. It is an extraordinarily high amount. In Moldova, recent estimates show that expenditure associated with the treatment of people with tobacco-related diseases account for 5-10% of total health expenditures. It is very much. Thus, government resources that could be used in more productive ways or to improve people’s welfare are being emptied.

First, tobacco taxation means taxes that are easy to manage and implement. Tobacco taxation is a good measure and it provides gains for health. Consumers are “caught” by a product that made them totally dependent and it is clear that they cannot quit smoking overnight. Increasing excise duties on tobacco was not a goal in itself, but increase of price on cigarettes. It has been noted worldwide. Cigarette prices play an important role in reducing the number of smokers. It is true for everyone, in different regions, with different incomes. Reduction of tobacco consumption has significant major benefits for public health. Thus, the risk of premature death decreases. It is very important for society, especially if we capitalize on human life and understand that economic competitiveness in the 21^st century, especially in a structured economy, depends on workforce or well-educated and healthy population.

As I said earlier, tobacco use is extremely harmful for health, but at the same time it generates big profits for companies. Tobacco is the only legal product that kills. And this is a fact. A survey conducted in early 2016 shows that tobacco industry has been the most profitable trade in the last 100 years. Some people say that if taxes are very high, they will lose income, therefore the economy will suffer, too. It is false. We know that profits are very high.

The fiscal impact of tax on tobacco has been proved worldwide. EU countries such as Bulgaria, Romania and recently Croatia have proved that increase of excise duties and prices on cigarettes, and also reduction of consumption, are indicative of the fact that everything is moving in the right direction.

China, which is the biggest tobacco manufacturer worldwide, and the biggest consumer, since over 300 million Chinese smoke, also decided to increase excise duties on cigarettes. All the measures taken by the Government in Beijing are part of the program to improve the health of the Chinese population. And what was the impact? Prices have grown and consumption has decreased. The Government also managed to increase revenue collection to the maximum. Therefore, China might serve as an example for a country that has state monopoly on tobacco products and where it is impossible to undertake beneficial measures for public health.

It is good that Moldova is advancing in this direction and has established commitments with the World Bank and the European Union. Accordingly, the World Bank is willing to support Moldova as one of the countries designed as part of the Global Program, which we support in various regions.