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Friday, November 12, 2021

BWorld 512, Letter from SEATCA tobacco control and my Rejoinder

Reposting two papers published in BusinessWorld same day, same page. The image below is not part of my rejoinder, I just added it here. Image source, https://www.bloomberg.org/public-health/reducing-tobacco-use/
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Letter to the Editor (10/31/21)
October 31, 2021 
https://www.bworldonline.com/letter-to-the-editor-10-31-21/

(This letter refers to Bienvenido Oplas, Jr.’s column “High deaths, low births, reduced smoking and the WHO,” which came out on Oct.  25;  https://www.bworldonline.com/high-deaths-low-births-reduced-smoking-and-the-who/. — Ed.)

Dear Editor,

I write to commend you for adding an editorial note about the safety of COVID-19 vaccines despite Mr. Oplas’s claims that the increase in recorded deaths may have been due to the COVID vaccinations. There are other inaccuracies in his statements regarding non-communicable diseases (NCD).

Oplas says deaths from NCD have flatlined “even as people are getting wealthier and consume more processed and sugary food and drinks, and consume more alcohol and tobacco.” Yet, he contradicts himself by noting that smoking prevalence is declining, citing the example of the Philippines. Clearly, there are less people smoking, and not more, and this has contributed to the flattening of NCD mortality figures. In the Philippines, the decline in smoking is largely due to the sin tax reform that significantly raised cigarette taxes and prices in 2013 with further tax increases since then. Still, millions of Filipinos remain addicted to nicotine and suffer disease, poverty, and early death from smoking, so it is only right that governments and the World Health Organization continue to fight the tobacco pandemic.

Another false claim of Oplas is that tobacco control measures such as taxation created the illicit cigarette market. He cites World Bank data but failed to cite the World Bank publication on tobacco taxation and illicit trade: “Confronting Tobacco Illicit Trade: A Global Review of Country Experiences” (https://www.worldbank.org/en/topic/tobacco/publication/confronting-illicit-tobacco-trade-a-global-review-of-country-experiences), which includes the case of the Philippines and clearly states that tobacco taxes play only a minor role in illicit trade. In fact, many countries with low tobacco taxes have high rates of illicit trade, while many countries with high tobacco taxes and prices have low rates of illicit trade. Global evidence shows corruption as a primary driver of the illicit market and the complicity of tobacco companies in the black market.

This misinformation by Oplas reminds me of the time I heard him misinform our congressmen by claiming that plain (standardized) packaging of tobacco products in Singapore had led to increased illicit trade, when in fact Singapore had legislated but not yet implemented its plain packaging law. (Underscoring by the letter writer. — Ed.)

Oplas concludes by griping that tobacco industry front groups are being excluded from the Conference of Parties to the WHO Framework Convention on Tobacco Control (FCTC), despite the P78 billion of excise tax revenues collected from tobacco products. Of course, he disregards the fact that the economic costs of smoking for just four diseases are at least P210 billion per year. Also, the FCTC is a tobacco control treaty, so it is logical to exclude the tobacco industry and those promoting its interests. Shouldn’t drug pushers be excluded from a drug control treaty?

Oplas and his organization (Minimal Government Thinkers), as well as the Property Rights Alliance that published his paper, are mouthpieces of the tobacco industry to misinform about tobacco taxation, plain packaging, and other evidence-based tobacco control measures.

Sincerely,

Ulysses Dorotheo, MD, FPAO
Executive Director,
Southeast Asia Tobacco Control Alliance
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Rejoinder to the letter by Dr. Ulysses Dorotheo
October 31, 2021
By Bienvenido S. Oplas, Jr.
https://www.bworldonline.com/rejoinder-to-the-letter-by-dr-ulysses-dorotheo/

1. “Clearly, there are less people smoking… contributed to the flattening of NCD mortality figures”

Yes, less smoking of legal tobacco as many smokers shift to illegal tobacco. Cong. Joey Salceda has the number — P30 billion per year of tobacco tax revenues gone due to illicit tobacco in the Philippines. See “PH losing P30B annually due to cigarette smuggling — Salceda” (Philippine Daily Inquirer, March 1, 2021).

Since taxes comprise about half of retail prices, that means some P60 billion in street value of illicit tobacco goes to the smugglers, criminals, terrorists and their protectors in governments. Are the more tobacco taxes groups (MTTGs) happy with this?

2. “failed to cite the World Bank publication on tobacco taxation and illicit trade… states that tobacco taxes play only a minor role in illicit trade.”

Tobacco taxes kept rising and government estimates of revenue losses from tobacco smuggling by the NCIPR-IPO (National Committee on Intellectual Property Rights-Intellectual Property Office): P19.9 billion in 2014, P17.9 billion in 2015, P20.25 billion in 2018. See “Special Report: Government cracks down on cigarette smuggling, counterfeiting” by Mary Grace Padin, Philippine Star, March 4, 2019.

3. “Singapore had legislated but not yet implemented its plain packaging law.”

Illicit trade in Singapore started even before plain packaging was implemented. Both legal and illegal tobacco would look the same, so the illegal can sell at very low prices, attract more smokers, not less.

4. “the economic costs of smoking for just four diseases are at least P210 billion per year.”

If MTTGs succeed in zero smoking of legal tobacco, meaning these tobacco excise tax revenues of P77 billion in 2019, P77.9 billion in 2020, P82.2 billion projected in 2021, and P94.8 billion projected in 2022 — become zero, zero contribution to UHC (universal healthcare), will they be happy? I doubt it.

5. “mouthpieces of the tobacco industry to misinform about tobacco taxation, plain packaging.”

Wrong. We are mouthpieces of limited government, low taxes, free trade, rule of law, and personal responsibility.

Is it possible that the Southeast Asia Tobacco Control Alliance and MTTGs are the mouthpieces of the Bloomberg Philantrophies lobby? Mouthpieces of more government, more taxes, health is not personal responsibility, only state responsibility.
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See also:
BWorld 509, Lockdown, declining births, growth contraction, and vax discrimination, October 18, 2021
BWorld 510, Energy prices, climate spending and NGCP, November 01, 2021
BWorld 511, High deaths, low births, reduced smoking and the WHO, November 11, 2021.

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