Saturday, May 19, 2012
BAT launches budget Tobacco brand in Australia row
(AFP) British American Tobacco Australia said Thursday it was launching a budget cigarette brand, the latest salvo in a row with the government, which in turn accused the company of targeting teenagers.
BAT, which is spearheading a legal challenge to Australia's plan to introduce mandatory plain packaging for cigarettes, said it was forced into the move to win back market share from illegal tobacco products.
It said that since the government hiked tobacco taxes by 25 percent in 2010, the market had seen massive growth in cheap cigarettes and contraband.
"They're trying to reduce smoking rates through excise but instead it's making people opt for cheaper or illegal options," said BAT spokesman Scott McIntyre. Continued
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