Tobacco industry trumps as India court cancels stringent health labelling rules (updated)

Godfrey Phillips India

15/12/2017 17:37

* Court said federal rule on bigger tobacco warnings 
arbitrary 
    * Verdict major victory for $11 bln tobacco industry 
    * Federal government lawyer says will appeal in Supreme 
Court 
 
 (Adds details, comments, context) 
    By Aditya Kalra 
    NEW DELHI, Dec 15 (Reuters) - An Indian court on Friday 
quashed federal rules that mandated stringent graphic health 
warnings on tobacco products, lawyers involved in the case said, 
in a decision seen as a major victory for the tobacco industry 
and a setback for health advocates.  
    India's Supreme Court last year ordered enforcement of the 
government's 2014 federal rules that required 85 percent of a 
tobacco pack's surface to be covered in health warnings, up from 
20 percent earlier, despite protests by the tobacco industry. 
    At the same time, the top court had asked a court in 
southern Karnataka state to rule on the dozens of tobacco 
industry pleas that challenged the federal rules. 
    The High Court of Karnataka on Friday struck down the 
government's 2014 notification, said Aradhana L, a lawyer at 
Poovayya & Co, who represented tobacco companies including 
India's ITC  ITC.NS  and Philip Morris International Inc's 
 PM.N  Indian partner, Godfrey Phillips India Ltd  GDFR.NS . 
    The government lawyer in the case, Krishna S. Dixit, 
confirmed the rules had been struck down but said he would 
appeal in the Supreme Court. 
    Dixit said that for now the older federal rules mandating 20 
percent warnings on packs will be in force. But, he added, "the 
court has allowed us to remake the rules. 
    Similar battles between tobacco companies and authorities 
have played out around the world in recent years as governments 
try to discourage smoking.  
    India's tobacco packaging rules were among the world's most 
stringent and aimed at reducing tobacco consumption which kills 
more than 900,000 people a year. The World Health Organization 
estimates tobacco-related diseases cost India about $16 billion 
annually. 
    A government survey earlier this year found that 62 percent 
of cigarette smokers thought of quitting because of warning 
labels on the packets. 
    "The court is setting aside a proven strategy on improving 
public health. This is very disappointing," said Sanjay Seth, 
head of tobacco control at non-profit Sambandh Health 
Foundation. 
    The tobacco industry, however, has maintained the rules were 
extreme. At one point last year, the industry briefly shut down 
its factories across India in protest and filed dozens of legal 
cases.(http://reut.rs/1Of3fKL) 
    It was not clear if the tobacco manufacturers, who currently 
print the mandated bigger health warnings, will stop doing so 
immediately, or if the government will step in to make a new 
rule.     
    Industry lawyer Sajan Poovayya cheered the move. "Bye Bye 
gruesome warnings on tobacco packages," he said on Twitter after 
the verdict. 
 
 (Reporting by Aditya Kalra; Editing by Sanjeev Miglani and 
Richard Balmforth) 
 ((aditya.kalra@thomsonreuters.com; +91-011-49548021; Reuters 
Messaging: aditya.kalra.thomsonreuters.com@reuters.net)(Twitter: 
@adityakalra)) 
 
Keywords: INDIA TOBACCO/