Tobacco in Australia Facts & Issues A comprehensive online resource tobaccoinaustralia.org.au Book excerpt List of chapters available at tobaccoinaustralia.org.au Introduction Chapter 1 Trends in the prevalence of smoking Chapter 2 Trends in tobacco consumption Chapter 3 The health effects of active smoking Chapter 4 The health effects of secondhand smoke Chapter 5 Factors influencing the uptake and prevention of smoking Chapter 6 Addiction Chapter 7 Smoking cessation Chapter 8 Tobacco use among Aboriginal peoples and Torres Strait Islanders Chapter 9 Smoking and social disadvantage Chapter 10 The tobacco industry in Australian society Chapter 11 Tobacco advertising and promotion Chapter 12 The construction and labelling of Australian cigarettes Chapter 13 The pricing and taxation of tobacco products in Australia Chapter 14 Social marketing and public education campaigns Chapter 15 Smokefree environments Chapter 16 Tobacco litigation in Australia Chapter 17 The economics of tobacco control Chapter 18 The WHO Framework Convention on Tobacco Control Appendix 1 Useful weblinks to tobacco resources Tobacco in Australia: Facts and Issues. Third Edition A comprehensive review of the major issues in smoking and health in Australia, compiled by Cancer Council Victoria. First edition published by ASH (Australia) Limited, Surry Hills, NSW, 1989 Second edition published by the Victorian Smoking and Health Program, Carlton South, Victoria (Quit Victoria), 1995 Third edition published by Cancer Council Victoria 2008 in electronic format only. ISBN number: 978-0-947283-76-6 Suggested citation: Scollo, MM, Winstanley, MH [editors]. Tobacco in Australia: Facts and Issues. Third Edition. Melbourne: Cancer Council Victoria; 2008. Available from: www.TobaccoInAustralia.org.au Tobacco in Australia: Facts and Issues; 3rd Edition updates earlier editions of the book published in 1995 and 1989. This edition is greatly expanded, comprising chapters written and reviewed by authors with expertise in each subject area. Tobacco in Australia: Facts and Issues is available online, free of charge. A hard copy version of this publication has not been produced. This work has been produced with the objective of bringing about a reduction in death and disease caused by tobacco use. Much of it has been derived from other published sources and these should be quoted where appropriate. The text may be freely reproduced and figures and graphs (except where reproduced from other sources) may be used, giving appropriate acknowledgement to Cancer Council Victoria. Editors and authors of this work have tried to ensure that the text is free from errors or inconsistencies. However in a resource of this size it is probable that some irregularities remain. Please notify Cancer Council Victoria if you become aware of matters in the text that require correction. Editorial views expressed in Tobacco in Australia: Facts and Issues. Third Edition are those of the authors. The update of this publication was funded by the Australian Government Department of Health and Ageing. Cancer Council Victoria 1 Rathdowne Street Carlton VIC 3053 Project manager: Kylie Lindorff, Policy Manager, Quit Victoria and VicHealth Centre for Tobacco Control Website design: Creative Services, Cancer Council Victoria Design and production: Jean Anselmi Communications Tobacco in Australia Facts & Issues A comprehensive online resource tobaccoinaustralia.org.au Chapter 10 The tobacco industry in Australian society Chapter 10: The tobacco industry in Australian society 1 Chapter 10 The tobacco industry in Australian society Margaret Winstanley Table of contents 10.1 The global tobacco manufacturing industry ............................................... 7 10.2 The manufacturing industry in Australia ................................................... 8 10.3 Retail value and volume of the market ....................................................... 9 10.3.1 Comparison of tobacco sales with sales of other product categories from Australian supermarkets, grocers and convenience outlets .................................................................. 10 10.4 The tobacco companies operating in Australia ...........................................11 10.4.1 British American Tobacco Australia Ltd ...................................... 12 10.4.2 Philip Morris (Australia) Ltd ..................................................... 13 10.4.3 Imperial Tobacco Australia Ltd .................................................. 14 10.5 Major importers operating in the Australian market ..................................15 10.5.1 Stuart Alexander Pty Ltd........................................................... 15 10.5.2 Swedish Match Australia Pty Ltd ................................................ 15 10.5.3 Other importers of tobacco products into Australia ...................... 15 10.6 Market share and brand share .................................................................16 10.6.1 Market share by brand—cigarettes ............................................. 16 10.6.1.1 Brand preference among Australian secondary school students ......................................................... 16 10.6.2 Market share by brand—roll-your-own tobacco ........................... 17 10.6.3 Market share by brand—cigars .................................................. 17 10.6.4 Price bracket and pack size ........................................................ 18 10.7 Trends in products and packaging ...........................................................18 10.7.1 Flavoured cigarettes ................................................................. 19 10.7.2 Shorter or wider cigarettes ........................................................ 19 10.7.3 Smokeless tobacco and ‘snus’ ..................................................... 20 Tobacco in Australia: 2 Facts and Issues 10.7.4 Countering second-hand smoke ................................................ 20 10.7.5 Potentially reduced exposure products ........................................ 21 10.7.6 ‘Roll-your-own’ and ‘make-your-own’ cigarettes ........................... 22 10.7.7 Organic, ‘green,’ and additive free cigarettes ................................. 23 10.7.8 Packaging trends ..................................................................... 23 10.7.9 Reduced fire risk cigarettes ........................................................ 24 10.7.10 Specialty products ................................................................... 25 10.7.11 Accessories ............................................................................. 25 10.8 The tobacco growing industry .................................................................26 10.8.1 Global .................................................................................... 26 10.8.2 Australia ................................................................................ 26 10.8.2.1 Brief history.............................................................. 26 10.8.2.2 Government regulation .............................................. 27 10.8.2.3 The decline of tobacco farming in Australia ................... 27 10.9 The tobacco industry and the illegal tobacco market ..................................28 10.9.1 Chop-chop ............................................................................. 28 10.9.2 Imported counterfeit cigarettes and loose tobacco leaf ................... 30 10.9.3 Is smuggling advantageous to the international tobacco industry? ................................................................................ 30 10.10 The tobacco industry exposed: tobacco industry document repositories ...........................................................................................31 10.11 Corporate responsibility and the birth of good corporate citizenship .............................................................................................32 10.11.1 Corporate makeover—Philip Morris and Altria—a case study in brief ........................................................................... 34 10.12 The tobacco industry’s revised stance on health issues ................................35 10.12.1 Smoking, health and addiction .................................................. 35 10.12.2 Second-hand smoke ................................................................. 36 10.13 Encouraging young people not to smoke ..................................................36 10.13.1 Youth access programs ............................................................. 37 10.13.2 ‘Life skills’ programs ................................................................ 38 10.13.3 Anti-smoking advertising ......................................................... 39 10.14 The environmental impact of tobacco production ......................................39 10.14.1 Land clearing and deforestation ................................................. 40 10.14.2 Pesticide use ........................................................................... 41 10.14.3 Tobacco production and climate change...................................... 42 10.14.4 Genetically-modified tobacco leaf .............................................. 42 Chapter 10: The tobacco industry in Australian society 3 10.15 Ethical farming issues .............................................................................43 10.15.1 Tobacco farming and child labour .............................................. 43 10.15.2 Tobacco farming and ‘fair trade’ ................................................