Yesmoke Tobacco S.p.A.

The European Commission opened infringement proceedings against Greece, France, Belgium, Ireland, Italy and Austria over the "Minimum Price of Cigarettes".

Gabriella Alemanno, Strategy Director of the State Monopoly Administration, sister of the Agriculture Minister, Gianni Alemanno

"Minimum prices distort competition and just benefit manufacturers by safeguarding their profit margins" … "Minimum prices are not necessary, since the health objectives may be attained by increased taxation on tobacco products". This is the position of the European Commission, according to Taxation Commissioner László Kovac.

But here comes the Italian Republic, that decides to speak up, in spite of the fact that Philip Morris, the tobacco multinational makes its profits, in this case, at the expence of the State revenues. The AAMS (Agenzia Amministrazione Monopoli di Stato), with the promptness of a defending attorney of the foreign multinational, points out:

“The decision to adopt the minimum price was made fully respecting Community regulations regarding processed tobacco and the safeguarding of public health, and it was adopted applying a specific legislative measure, that is, Article 1, paragraph 486, of Law 30-12-2004, no. 311."

…All perfectly regular, then. Read more »

A minimum price for all cigarettes. They've succeeded only in Italy.

Three Euro on August 1st 2005, 3 euro 10 eurocents on October 14th , 3 euro 20 cents on last February 7th. The minimum price of a pack of cigarettes, almost without being noticed, has soared in the past months "in an effort to safeguard public health". And they say it's going to keep going up in Italy.

But seeing that everyone was opposed to this, starting from the Antitrust (the Authority that guarantees free competition on the market) and the Codacons (the Consumer Defence Association), and seeing that Italy is one of the countries where cigarettes are cheapest, wouldn't it have been better to raise the taxes, not the price, and on all cigarettes? Read more »

Philip Morris is trying to introduce its "Minimum Price" policy in all the European Community countries.

The “Stop Smoking” campaigns are working; smokers of all ages are quitting. And here comes… the competition!

Big Tobacco can't afford any loss of its market share, because it has very high fixed costs and an enormous structure. It has to fund expensive advertising campaigns directed especially to young people, and eliminate, often with unethical methods, its competition, in order to avoid a progressive and inexorable defeat. Read more »