The New Nation - Internet Edition

N Islam

Sky high rise of prices of essential items in Bangladesh has now reached a level that is beyond the capacity of the average poor people. Various taxes imposed on essential items are only the major factors for price being high. Increase in the one with population explosion with reduced production is one of the important factors leading to high price of essential items. Tax on essential items is reflected on the increase of price which cost the poor the visible burden giving birth to corruption and various malpractices.

Vast majority of population with static income can hardly manage food in adequate quantities and suffer from various deficiencies and malnutrition leading to reduced production and increased burden of diseases.

Under the circumstances prevailing in the country situation is gradually deteriorating due to price high of essential items, implementation of Tobacco Control Act-2005 though sounds formidable cannot be effectively implemented because of various corrupt practices.

Interestingly enough, high prices do not affect the most hazardous commodity tobacco which causes 5 million deaths per year globally and is likely to double in the next two decades. Smuggling of cigarettes is sold cheaper in the market. Advertisement induces the susceptible people to smoke.

Younger generation falls victim of deadly habit through alluring advertisements: Unfortunately, it is the younger generation who falls victim of this deadly habit through alluring advertisements of the tobacco company spending billions of dollars. Education of the people, specially the young, may keep them off from cigarette for some time but today or tomorrow they succumb and they take the first cigarette in hand either by peer pressure or for curiosity or demonstrative manliness with a cigarette in hand.

Tobacco taxation: effective means of tackling tobacco: Various measures have been adopted from time to time to control tobacco epidemic. But the most effective means of tackling tobacco is now proved to be taxation. When the country is preparing budget it is time to unearth the truth behind the revenue earned from tobacco industry. The revenue received from tobacco industry is regular and substantial. This at first sight is an attractive, apparently significant and a praiseworthy contribution to the government exchequer. But cost of tobacco-related diseases and economic burden is more costly than the revenue contributed by the tobacco companies.

Tobacco taxation increases government revenue and protects the poor from poisonous habit: Extensive research has been carried out in many countries of the world regarding the taxation on tobacco and its impact. Increasing taxation increases the government revenue. What is more important is that it does not decrease tobacco consumption especially among the young people and the poor. It has been found that a 10 percent increase in the price of cigarette produces a decrease in the quantity consumed by about 4.2 percent and large majority of this response represents individual's decision not to smoke. For the teenagers 10 percent increase in the price of cigarettes will cause decrease of consumption by 14 percent.

Situation in the neighbouring countries: The neighbouring countries like Singapore, Thailand, Hong Kong have imposed tobacco taxation increasing 100 to 200 percent. This results in increase in revenue and decrease in tobacco habit among the poor as they cannot afford to bear the cost of tobacco. In March 1991 the Hong Kong government announced a tax increase by 200 percent. Soon after the announcement by the Finance Secretary which was supported by as many as 70 international organisations including ADHUNIK and the government had to yield to the lobbying of the tobacco industry and the proposal of 200 percent increase was reduced to 100 percent. Experience world-wide shows that tobacco taxation compels the poor people to give up smoking as they cannot afford expensive cigarette. The poorer class, are therefore, compelled to give up smoking. They have to choose food for children in place of tobacco for themselves. Love for children and the family is certainly stronger than the love for tobacco. One is eternal and the other one is avoidable. That is why they choose the latter and give up smoking. Happily for children and the family leaving aside personal disabilities and pre-mature death.

No unemployment due to prohibition of tobacco products: One vital question arises if the shrinkage of the industry will lead to unemployment. Bangladesh Agricultural Council asserts that this should never happen as the tobacco growers have nothing to do. Chili, potato, garlic and cotton cultivation appears to be more profitable than tobacco. All these crops could be successfully grown without altering the present major cropping pattern.

Tobacco is currently grown on about 47,192 hectares of land. Bangladesh is not yet able to produce enough food in the land available. It goes without saying that it cannot sacrifice the productivity of food item at the altar of tobacco. The land now available for tobacco production must be utilised for the production of food items and not for poisonous substance like tobacco. Question may arise whether tobacco growing land can be utilised for other essential items in the country. Research by Bangladesh Agricultural Research Council (BARC) has shown that prohibition of tobacco farming shall not produce any problem for unemployment. Because in place of tobacco the alternative farming for many other essential items which are needed for the country. For example items like cotton, water-melon, potato, onion; chilies and garlic can be easily grown as alternative farming.

And all these are needed for the country. It is not a matter of pride that we have to import cotton for national consumption while these can be grown in sufficient amount in Bangladesh. Tobacco production not only meets Bangladesh's domestic requirements but has good export potential. From the analysis of the agro-ecological computerized database at the Bangladesh Agricultural Research Council, a wide variety of crops have been found to be potentially suitable for the land currently under tobacco cultivation.

Alternative farming: removes doubt of unemployment and increase food production:

In fact, these crops are grown to some extent in soils and climate conditions similar to those of the tobacco growing belt. Tobacco growers therefore have nothing to lose. It is now widely known that Bangladesh faces shortage of food because of the increase in population. Curiously enough despite this shortage of agri-land, tobacco is grown in vast majority of land as shown above. There is no justification in replacing food production by a poison like tobacco which is occupying more and more land with the expansion of tobacco field. Rather, alternative farming can removes doubt of unemployment and increase food production.

Tobacco taxation: weapon for increasing revenue: When tobacco taxation has been found to be an effective weapon for increasing the revenue and protecting the innocent victims in many countries of the world both in the East and the West, there is no reason to doubt that the same should not happen in Bangladesh. Alternative farming shall not only remove the doubt of creating unemployment but will also add to the food products which the county needs for home consumption and export. We have no time to waste. This will allow hundreds and thousands of our people die of disease related to tobacco. In addition, in the meantime many will take up the habit and ultimately fall prey to the poison in the prime of their life.

Enough evidences have been cited in this communication which should dispel the misconception about loss of revenue and problem of unemployment with increase of tobacco taxation. Several countries have shown the way. If Hong Kong a neighbouring country can increase tobacco tax to great extent, why not Bangladesh? The government is for the people and the industry's profit is at the expense of human lives. No one can disagree that the tobacco industries sell poison for profit. It is time to think whether we should allow this to go unchallenged. Our aim must be a tobacco-free society. It cannot be achieved in a day or even a decade. The action has begun and it must be speeded up.

Tobacco company's tree plantation is an eye-wash with poison behind. The company can misguide the government because of its love for cash revenue which the company pays to them and at times in advance. This is an immediate gain which cannot be accepted as truth and factual. On other hand, giving up smoking or not to smoke at all is scientifically proved and leaves no scope for tobacco companies to misguide the government through deposit of cash money as revenue.

Alternative farming removes the possibility of unemployment and consequent hesitation. On the other hand, utilisation of the land for essential food items removes food deficiency which is one of the essential needs of the country. Taxation, therefore, should be considered as easy, effective and scientific means of tackling tobacco habit in the country. We urge upon the government to give serious thoughts to this problem with scientific outlook and thus save the poor from tax burden and impose tax on tobacco to earn revenue.

(The writer is a National Professor, Founder VC, USTC & Founder President, ADHUNIK (The National Anti-Tobacco Organisation)