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The Independent Fair Trade Tobacco Association (Fita) is happy with the government’s concession to allow its members to manufacture and export tobacco products after it went to court over the ban on tobacco sales in South Africa during the closure to prevent the spread of Coronavirus Covid-19.
Fita President Sinenhlanhla Mnguni said tobacco companies would now be allowed to manufacture and export products under the revised level 4 blockade regulations announced by the Minister of Cooperative Governance and Traditional Affairs, Nkosazana Dlamini-Zuma, on 29 April.
However, the sale of tobacco products in South Africa is still prohibited, despite President Cyril Ramaphosa’s initial announcement that cigarettes could be sold under Tier 4 regulations.
Mnguni told City Press this week that the decision to allow exports was the result of ongoing negotiations with the government.
“We are encouraged that we have already received a government grant regarding some of the relief we are seeking, allowing companies that belong to us to manufacture and export [tobacco products],” he said.
The award was made after Fita went to court on Monday to challenge the ban.
The association also wanted the government to test a link between the dangers of smoking and the Covid-19 coronavirus, as well as why it was necessary to ban the sale of tobacco products in the country.
We are encouraged that we have already received a government grant for some of the relief we are seeking, allowing companies that belong to us to manufacture and export [tobacco products]
Sinenhlanhla Mnguni, President of Fita
Mnguni said they had also received a response from the state attorney’s office, on behalf of the president, stating that the government would object.
“We made our court request on Monday morning, and on Thursday we received a notice of intent to object. There has also been correspondence with the parties, but for now I am not at liberty to disclose anything. The matter is at a very crucial point. “
Mnguni said the ban on tobacco sales not only financially affected companies, but also posed a threat to the well-being of smokers.
“There are 11 million smokers who can pay the wages of Fita members and its staff. Those are the people we fight for; we have to see it through them. There are symptoms related to nicotine withdrawal, “he said.
Exporters include Afroberg Tobacco Manufacturing, Best Tobacco Company, Carnilinx Tobacco Company, Folha Manufacturers, Gold Leaf Tobacco Corporation, Protobac, and Home of Cut Rag. They were instructed to do all manufacturing and transportation of products under strict health protocols.
Last week, SA Revenue Service Commissioner Edward Kieswetter said the country had lost about R300 million in tax revenue in just one month since the tobacco sale ban went into effect.
Read: British American Tobacco abandons legal action against the government
Mnguni attributed this loss of income to the increase in cases of illicit tobacco trafficking reported across the country under closure since March.
Fita, in an urgent application to the Pretoria Superior Court on Monday, said the government needed to prove the link between sales of smoking tobacco and Covid-19 infections.
The association demanded that the court force Ramaphosa and Dlamini-Zuma to explain the government’s change of direction in the sale of cigarettes. Fita gave the government until May 19 to provide it with minutes and records of the meetings of the National Coronavirus Command Council (NCCC), where the decision was made.
Meanwhile, interim DA leader John Steenhuisen announced on Friday that the party would use the Access to Information Promotion Act to pressure the government to reveal what had been discussed at NCCC meetings.
In a letter to Dan Mashitisho, the information officer for the department of cooperative governance and traditional affairs, Steenhuisen wrote: “We are operating in extraordinary circumstances, where decisions are made that are not subject to oversight, as provided for in the Constitution.
In another turn of events, British American Tobacco SA, which had initially threatened legal action over the cigarette sale ban, announced earlier this week that it was dropping its lawsuit against the governors.
However, decisions have a significant impact on the daily lives of citizens. In a constitutional democracy, I am sure you will agree, people have the right to information that informs decisions that materially impact every aspect of their lives. “
The party demanded that the information be available before May 14.
In another turn of events, British American Tobacco SA, which had initially threatened legal action over the ban on the sale of cigarettes, announced earlier this week that it was dropping its lawsuit against the government.
The company said it had instead chosen to enter into talks with the government on the matter.
“Having considered the government’s response and taking note of President Cyril Ramaphosa’s public statement on Monday, May 4, as a company, we have made the decision not to take legal action at this stage, but to continue discussions with the government on the formulation and application of regulations under the Covid-19 blockade, ”said a statement from the company.
The government has a new ally in its fight against legal challenges related to the prohibition of tobacco products.
The National Association of Democratic Lawyers said this week that it would support her in opposing Fita’s judicial challenge. The association said it would act as friends of the court. He said the evidence showed that it was in society’s best interest that sales of cigarettes and tobacco remain prohibited during the shutdown.
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