Anti-smoking groups say €2 price hike will reverse trend

ANTI-SMOKING campaigners last night called for €2 extra to be put on a packet of 20 cigarettes to stub out the rising numbers of smokers.

The tobacco industry is hailing a turnaround in its fortunes after the 2004 smoking ban in Ireland initially wiped out 11.3% of the cigarette market.

According to grocery trade magazine, Retail News, the number of adults smoking packets of cigarettes has risen 5.3% to 950,000 since 2003, making up for the loss caused by the smoking ban.

Now anti-smoking campaign group ASH Ireland wants Finance Minister Brian Cowen to put an extra €2 on a packet of 20 to drive up the cost to €8.30 on average.

“Cigarettes are cheaper than they were three years ago because the Government has not increased the excise duty over the last two budgets,” said ASH chairman Professor Luke Clancy.

“That’s reflected in the (rising) numbers of young people starting to smoke.

“We want to encourage children not to start — and smokers to smoke less or stop entirely — and we know price is a big determinant in that.”

He said getting smokers to start the habit early in life was vital for cigarette-manufacturers, which had to recruit an extra 6,000 to 7,000 smokers a year in Ireland to keep up sales.

Retail News reported how the introduction in 2004 of the ban on smoking in the workplace caused an immediate 11.3% drop in cigarette sales.

In pubs and establishments with vending machines, sales fell by as much as 30% as people were banned from smoking indoors.

Trade has now shifted to convenience shops instead, leading to an overall rise in cigarette sales by 1.8% last year and by further amounts this year.

“As well as the amount of cigarettes sold, market recovery is also notable in terms of numbers of smokers,” according to Paul Williams of maker Gallaher, which produces brands like Benson & Hedges.

“The change in Ireland’s population make-up, specifically the influx of non-nationals, has led to an increase in the number of smokers in Ireland.”

Retail News said fewer Irish people were smoking but the loss has been made good by newcomers from European Union countries like Poland.

“They are smoking more and are smoking heavier,” Mr Williams said.

The reversal of the decline in cigarette sales now means Ireland’s tobacco market is worth €1.8 billion.

Sales at convenience shops account for €621.2m of the industry’s sales annually — rivalling the €616.6m generated by sales of snacks, soft drinks and sweets.

But Retail News said sales could be hit in the future because of smuggled cigarettes, which cost €2.50 a packet, and fake tobacco products.