Categories: South Africa

Smokers’ hopes for relief of misery go up in smoke

Smokers’ hopes were stubbed out yesterday in a double whammy as first British American Tobacco South Africa’s (Batsa) case due to appear in court next week was moved to the end of August, and the Fair Trade Independent Tobacco Association’s (Fita) attempt at overturning the tobacco ban was dismissed.

Both organisations have indicated they are preparing to tackle the decisions.

Botswana’s decision yesterday to lift its ban on tobacco products left SA the only country in the world with a government-enforced tobacco ban costing billions of rands in the middle of its economic meltdown.

In 2019, the excise tax during the year gathered by the SA Revenue Service on tobacco products was about R40 million a day.

Batsa noted in a statement yesterday an e-mail was received stating its case had been delayed by almost six weeks into the next legal term.

“Having received the extremely strong replying papers from the applicants, the president and the department of cooperative governance and traditional affairs have done a total volte face and now want the matter to be heard on 5 and 6 August. This despite their acknowledgement that it is urgent,” said Batsa spokesperson Johnny Moloto.

“This delaying of justice and a resolution of this issue is inexplicable. By the time the case is heard, the ban will have been in place for four-and-a-half months, and billions of illegal cigarettes will have been sold.”

ALSO READ: Govt refutes BAT’s implication it delayed tobacco ban hearing

Minister Nkosazana DlaminiZuma’s spokesperson, Lungi Mtshali, said in a statement Batsa’s comments that government was the cause of the delay were incorrect.

“The Judge President took that decision yesterday morning before the State Attorney had raised the issue of the new matter,” Mtshali said.

Moloto noted the fiscus would lose “more than R1.4 billion in excise tax alone” as the illegal cigarette trade tightened its grip.

“We will be liaising directly with government, as we had both agreed that the matter was urgent and needed to be heard next Tuesday,” Moloto said.

Shortly afterwards, Gauteng High Court Judge President Justice Dunstan Mlambo, Judge Sekao Molefe and Judge Annali Basson dropped the hammer on Fita’s hopes of having tobacco products declared essential goods.

ALSO READ: Bad news for smokers: High court says cigarette ban was rational

Fita chair Sinenhlanhla Mnguni told The Citizen yesterday he was still studying the judgment.

The bench noted cigarettes and related tobacco products “do not, by their nature, fall into the same category as goods which are life-sustaining or necessary for basic functionality”.

“Fita’s argument that cigarettes ought to have been considered essential because they are additive has no merit. The fact that a substance is addictive does not render it essential.”

Fita’s application was dismissed with costs.

Tax Justice SA founder Yusuf Abramjee yesterday accused government of “running away from justice” and “destroying lives even when retreating” by delaying Batsa’s urgent application.

“This is further proof ministers know they cannot legally justify their irrational prohibition of cigarettes,” Abramjee said.

“The government side has read irrefutable arguments against the ban. But instead of arguing their own case in court, they have chosen to run away from justice.

“This delay extends the misery for smokers, robs the fiscus of an extra R1.4 billion in taxes and threatens thousands of jobs,” said Abramjee.

amandaw@citizen.co.za

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