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BAT's Africa Footprint

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BAT's Africa Footprint FOREWORD Deborah Arnott Director BAT’S AFRICAN FOOTPRINT Since British American Tobacco first set foot in Africa in 1908 it has been the continent’s dominant force in tobacco production and consumption. To mark this 100th anniversary, Action on Smoking & Health examines BAT’s heavy footprint on Africa. has a virtual monopoly in parts of Africa, both in terms of amongst the world’s biggest tobacco producers. In 2005 the BAT BAT tobacco manufacturing and sales of cigarettes. In ten sponsored Tobacco Grower of the Year award went to a newcomer to the African countries BAT has more than a 90% share of the cigarette industry, Monica Chinamasa, the wife of Zimbabwe’s Justice Minister, market. This report examines some of the health, social and economic Patrick Chinamasa, who, with her husband, had been accused of seizing impacts of BAT’s activities in Africa over the past century. Although the the farm two years’ earlier.5 full effects of rising tobacco consumption - namely a steep rise in Most tobacco growers do less well out of their involvement in the industry. smoking-induced illness and premature death - will not be felt until well In Kenya today BAT provides loans for seeds, pesticides and fertilisers into the 21st century, Africa is already in the grip of a major tobacco and buys back the product at a price of their choosing. To quote one epidemic. There can be no doubt that, if left unchecked, BAT’s heavy farmer, “The loan the tobacco firm provides is really weighing down footprint on the African continent will continue to wreak havoc on the on us. Actually, after the deduction you get nothing”.6 There are health and welfare of its people. echoes of post-slavery America, where former slaves BAT’s presence in Africa is also undermining the “The loan the found themselves bonded by debt as “share croppers”, achievement of the Millennium Development Goals borrowing money from the land owners for seed and (MDGs) that are designed to help the world’s poorest tobacco firm provides materials and in return forced to sell the product to their former masters. people. The production and consumption of tobacco in is really weighing Africa directly runs counter to at least three of the eight BAT’S FOOTPRINT ON AFRICAN YOUTH. goals, namely to eradicate extreme poverty and hunger, down on us. Actually, BAT Chairman Jan Du Plessis claims: “We work with to combat diseases such as AIDS, malaria and after the deduction tuberculosis, and to ensure environmental sustainability.1 farmers through our leaf growing programme to try to In fact, effective tobacco control is key to helping achieve you get nothing” eliminate child labour.” It’s true that BAT and other all of the Millennium Development Goals.2 Currently sub- tobacco corporations fund the Swiss based “Eliminating 7 Saharan Africa is not on track to meet any of the MDGs3 Child Labour in Tobacco Growing Foundation”. However and, as this reports illustrates, BAT’s heavy footprint on Africa is hindering neither BAT nor the Swiss based charity would disclose how much BAT the continent’s ability to make progress in these important policy areas. contributes. The foundation’s entire income for 2006 was only 2.8 million Swiss Francs per year (US$2.7 million), around half the salary paid to BAT’S FOOTPRINT ON AFRICA’S HEALTH. BAT Chief Executive Paul Adams and one fifteenth of the amount the It is impossible to be certain how many deaths are caused by tobacco in industry earns from unpaid child labour in Malawi alone. Africa because many countries do not collect the information. However, A similar sleight of hand can be seen in BAT’s duplicitous approach to based on an analysis of BAT sales in its Africa & Middle East region, it is tackling youth smoking. BAT’s corporate strategy recommends estimated that current rates of consumption will lead to at least 100,000 investment in high profile youth smoking prevention strategies that stress deaths each year. a minimum age for smoking. Given that so called “youth prevention strategies” which stress the adult nature of smoking have been found to BAT has also exerted indirect health consequences on the people of increase youth smoking, the industry can claim corporate responsibility Africa. In Uganda, for example, there are 12 million cases of malaria and stimulate under age sales at the same time. The other side to the every year, killing 110,000 people. Despite claims that it does not use strategy is an aggressive marketing campaign which purports to target political and economic leverage, BAT joined forces with other big young adults over 18, precisely the group which provides aspirational businesses to block a government malaria prevention programme to treat role models for underage smokers. farm workers’ homes with pesticides because of fears that the chemicals used might contaminate their crops . The businessmen claimed exports Despite the heavy toll that tobacco has wreaked on African society, at worth more than £200m (US$400m) and 600,000 Ugandan jobs could the close of BAT’s first century in Africa, the continent is rich in hope, be lost if crops were threatened.4 because Africa is now standing up to BAT. Across the continent communities are organising against the tobacco giants and the WHO BAT’S SOCIAL AND ECONOMIC FOOTPRINT. Framework Convention on Tobacco Control is being implemented. Africa, Zimbabwe is gripped by famine and corruption that leaves it scarcely able it seems, may be deciding precisely where on BAT she intends to leave to feed itself yet intervention by BAT means that the country remains her own foot print. 2 “We should not be depressed simply because the total free world market appears to be declining. Within the total market, there are areas of strong growth; particularly in Asia and Africa ... It is an exciting prospect ...” ~ BAT 3 Adinbode Oluwafemi Environmental Rights Action Friends of the Earth Nigeria Board member for the African region of the Framework Convention Alliance Photograph: Andrew Kerr AFRICA FIGHTS BACK To the tobacco industry, Africa is the continent of today and the future. We are the only trophy left in the tobacco industry’s reckless globalization of deaths, diseases and poverty associated with its products. OR the past two decades, the tobacco companies have intensified incorporates all the provisions of the treaty. Besides, several other Fmarket expansion strategies in several African countries. They have countries such as Nigeria and Ghana have completed draft national used music to target youths and children. They organised fashion legislation. These draft bills provide for a comprehensive ban on shows to lure women into smoking. They offered kids free cigarettes on tobacco advertising, sponsorship and promotion, periodic increases in the streets and for a very long time undermined efforts by governments taxes to reduce consumption, warning messages to include pictures, a to put in place effective tobacco legislation. They actively participated ban on smoking in public places, and mass education to discourage in the smuggling of tobacco products into the youth smoking initiation. continent. Worse still, tobacco companies persuaded However, one of the milestones in the burgeoning some African governments to promote tobacco The tobacco industry resistance to the tobacco industry across the continent cultivation as a major source of foreign earnings. And promised jobs but is the litigation in Nigeria. In April 2007, the Lagos in recent years, the tobacco industry has resorted to State government in South West Nigeria, in using Corporate Social Responsibility (CSR) to brought deaths; they conjunction with Environmental Rights Action/ Friends massage its image and cover its tracks. promised wealth but of the Earth, Nigeria (ERA/FoEN) filed a suit against a The result of the tobacco industry onslaught is evident number of tobacco companies. In the lawsuit, the in rising smoking rates, particularly among young escalated poverty. plaintiffs are seeking special, punitive damages to the people and women, and increasing tobacco related Africa is outraged. sum of $26 billion from the defendants including British deaths and diseases. Tobacco leaf dependent American Tobacco, Philip Morris International and the economies like that of Malawi and Zimbabwe rank Tobacco Institute. among the world’s poorest. The tobacco industry promised jobs but Since the filing of the suit by the Lagos State government, Nigeria’s brought deaths; they promised wealth but escalated poverty. Africa Federal Government and four other states have filed similar suits is outraged. against tobacco companies. The Nigerian suit (a replica of similar The World Health Organisation’s (WHO) initiated - Framework cases in the United States) and increased pressure by tobacco control Convention on Tobacco Control (FCTC) provides a unique platform for groups provide strong evidence that Africa has decided to fight back. the mobilization of African governments and civil society groups for There is no doubt that the tobacco industry’s heavy footprint on Africa organised resistance against the tobacco industry. will take a long time to erase but Africans are now standing up to the National legislation is undergoing review in countries like South Africa. industry and are full of hope that the tobacco scourge will be wiped Kenya has introduced a comprehensive tobacco control law which from this continent over the course of this century. 4 CONTENTS Executive summary ............................................................................. 6 BAT’s
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