Uproar on proposed tobacco control bill 2018

Businesses and organisations from across Nairobi turn out to highlight the negative consequences of new Bill

Following on from the public submissions process which closed on 25 January 2019, the Nairobi City County Committee on Health Services held a Public Hearing on its proposed Tobacco Control Bill 2018. This hearing took place on Wednesday 27 February 2019 in City Hall and was scheduled to allow members of the public to attend and air their views on all aspects of the proposed Bill.

The public hearing was open to anyone and was attended in unprecedented numbers by many stakeholders from across the business community, including the Retail Trade Association of Kenya, the Kenya Association of Manufacturing, the Pubs and Restaurants Association of Kenya, and the Kenya National Chamber of Commerce and Industry.

Also in attendance were hundreds of retailers and distributors who stated they would be negatively impacted by the implementation of the Bill – many speaking passionately about how it would affect them personally. This was in addition to the thousands of submissions made in response to the initial consultation on the proposed Bill.

Commenting on the public hearing, Wambui Mbarire, CEO of the Retail Trade Association of Kenya (RETRAK) said:

“My members are very concerned about what this Bill would mean for them and their livelihoods. It proposes a number of new and additional tobacco control measures, some of which would have unintended consequences for thousands of small businesses in Nairobi City.

“Worryingly, some of the proposals included in the Bill, such as a retail display ban, will make detecting illegal cigarettes even more difficult at a time when illicit trade is growing. Other measures duplicate or conflict with national legislation already in place – rendering them obsolete at best and overly costly and bureaucratic at worst.

“For example, the Bill introduces another business license for all businesses that sell tobacco, from the manufacturer, distributor and wholesaler to all vendors and kiosk owners. This proposal, at a fee yet to be defined, looks to be more about addressing a shortfall in tax collection than it does addressing public health – in the process unfairly targeting the small business people who work so hard.”

Also commenting on the hearing, George Kiondo, Acting Chief Executive of the Kenya National Chamber of Commerce and Industry said:

“It is vital that elected officials understand the potential impact that their proposals could have on business in Kenya. That is why it was so pleasing to see such a large number of hardworking business people, many of whom work very long hours, turn out in their hundreds to voice their concerns about this particular Bill.

“The display ban, in addition to new licensing requirements, has the potential to increase illicit trade and sale of substandard goods, therefore posing a huge problem for the industry and the country at large. Illicit trade enables the evasion of payment of huge amounts of taxes with each passing financial year while sale of sub-standard products may be more detrimental to the health of the users. It is in this regard that the Chamber would urge the health Services Committee of the Nairobi City County to rethink their proposals on the bill so as to provide an enabling business environment for the economy.”

BAT Kenya Managing Director, Beverley Spencer-Obatoyinbo added:

“While we understand the need for sensible regulation, I’m very pleased that so many stakeholders from across the entire supply chain attended the hearing to highlight their personal concerns and the unintended consequences of this Bill.