The ban on sale of cigarette packs having less than 20 sticks per pack will now take effect on Jan 1, 2011, instead of June 1 this year.

smoking rokok 291008 01 Deputy director-general of Health (Public Health) Dr Hasan Abdul Rahman said the provision for the ban had been gazetted in 2004 through the Control of Tobacco Products Regulations.

"It is hoped with this notification, it gives tobacco manufacturers sufficient time to make the needed changes," he said in a statement to Bernama today.

The prohibition was aimed at restricting access to cigarettes particularly among adolescents and those in the lower income group.

However, the six-month extension of the ban has raised the ire of one of the cigarette manufacturers, Philip Morris Malaysia (PMM).

In a strongly-worded statement released two days ago, Philip Morris threatened to take legal action against the government for its last-minute extension.

tobacco cigarette warning label in australia 041206 The company, whose products include Malboro and L&M, said that it was ready for the June 1 deadline as it had “ceased to manufacture these packs and significantly reduced the stock available in the retail market”.

PMM managing director Richard Morgan claimed that the cabinet’s extension, which came less than a week before June 1 deadline, will cause damage to the company’s business and competitive position.

According to him, the six-month delay also conflicts with the Health Ministry’s stated public health objectives.

“In the absence of clarity surrounding this decision, PMM will have no choice but to evaluate all possible avenues, including legal recourse, to recover any losses the company may suffer,” said Morgan.

'Devastating blow' to investor confidence

Morgan described the government's about-turn as a “devastating blow” not only to PMM but to foreign investor confidence in Malaysia.

“How can any corporation plan for its future and maintain its viability in an environment of such legal uncertainty, where decisions that are supposedly set in concrete can be overturned so rapidly and without any consultation?”

Morgan called on Prime Minister Najib Razak to reinstate the June 1 deadline to ban cigarette packs of less than 20 sticks.

“We believe this is essential to ensure foreign investor confidence that Malaysia is indeed a fair and transparent nation in which to do business.”

According to Morgan, the ban on small-sized cigarette packs was introduced six years ago and “for inexplicable reasons” the government has repeatedly delayed enforcing the ban.

It is believed that PMM’s competitors have successfully lobbied the cabinet to put off the deadline, time and again.