# ‘We are going to court,’ says Tobacco Association over cigarette ban during lockdown

- Link: https://dearsouthafrica.co.za/2020/04/18/we-are-going-to-court-says-tobacco-association-over-cigarette-ban-during-lockdown/
- Published: 2020-04-18T14:34:44+02:00
- Author: dearSA

![](https://cdn.dearsouthafrica.co.za/wp-content/uploads/2020/04/20191109/Screenshot-
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Johannesburg – South Africans will be without alcohol and cigarettes for as long
as the lockdown continues.

President Cyril Ramaphosa rejected calls for the lifting of the alcohol ban. He 
has instead directed liquor sellers to seek economic relief through programmes offered
by the government.

This after the Gauteng Liquor Forum demanded that the total ban on alcohol sales
be lifted. The forum had previously threatened court action if the ban was not lifted.

It said the ban was unreasonable and unconstitutional. South Africa’s largest brewery,
SAB, said while it supported the government’s stance on the ban, it was hoping the
government would consider loosening regulations.

“As beer is a product of moderation, we are in full agreement that the responsible
consumption of beer should be allowed under strict conditions and we are sensitive
to the requirements of the government’s strategy to effectively contain the Covid-
19 pandemic,” said spokesperson Refilwe Masemola.

Meanwhile, the Fair-Trade Independent Tobacco Association (Fita), which represents
80% of legitimate and licensed cigarette manufacturers in southern Africa, said 
it was prepared to go to court should the government persist with the ban on the
sale of cigarettes

“We thought that if a positive outcome was achieved with the alcohol ban then the
cigarette industry would receive the same treatment. We are going to court,” said
chairperson Sinenhlanhla Mnguni.

Fita said it was puzzled by the government’s decision since it would have a devastating
impact on South Africa’s economy.

“Government is losing, according to estimates, in the region R1.5 billion a month
on excise alone with the ban. When you factor in VAT, corporate income tax and other
tax types the figure becomes even greater,” he said.

”This at a time when we are already dealing with huge deficits as far as our tax
collections are concerned, with the recent announcement that the SA Revenue Service
collected R 66.2billion less than estimated for the last financial year.”

According to the World Health Organization, smokers are likely to be more vulnerable
to the virus as they touch their lips while smoking, which increases the possibility
of hand-to-mouth transmission.

Mnguni said the ban had not stopped smokers from continuing to buy cigarettes.

“People are sourcing them from underground markets, to the detriment of, inter alia,
the fiscus. And this is illegal. “We just want government to authorise, at a minimum,
the distribution and sale of cigarettes at retail stores, spaza shops and filling
stations.

“This would give the economy a much-needed boost and avoid a situation where our
citizens, out of desperation, contravene the regulations.

“The current restrictions cannot be endured for much longer without severe consequences,
including for farm workers, factory workers, informal traders, and the many other
ordinary South Africans who rely on the tobacco industry for a living.

“This will in all likelihood lead to job losses and/or loss of income for many along
the tobacco industry value chain.”

SAB said more than 200000 jobs had been affected.

“Our expansive value chain incorporates a total of almost 4000 suppliers of which
1345 are mostly SMMEs (small, medium and micro enterprises) supporting in excess
of 140000 jobs,” said Masemola.

“In addition, our business sources agricultural inputs from more than 1300 farmers
of which 750 are emerging farmers.

“Our products are purchased by 34000 wholesale and retail companies, of which the
vast majority are SMMEs. We estimate that these wholesalers and retailers support
at least 250 000 jobs on their own.”

**Saturday Star**