Peru - health minister aims to rise tobacco tax..

January 15, 2010 - Peru's Health Minister, Óscar Ugarte, presented a bill that aims to rise the selective consumption tax (ISC) on tobacco and cigarettes from 30% to 200%.

Background: Peru became the 40th state to ratify World Health Organization (WHO) Framework Convention on Tobacco Control Treaty on 30 November 2004. On March 13, 2006, the Peruvian Congress passed Law 28705, "Law of Prevention and Control of Risks Associated with Tobacco Consumption". Law 28705 entered into effect April 7, 2006. Prior to ratifying the WHO FCTC and passing Law 28705, the tobacco control effort in Peru had been restricted to efforts in individual cities, such as restrictions on the sale of tobacco to minors, and activities on tobacco control promoted in schools. However, regulations on the sale of tobacco products to minors were not enforced and the school programs were not successful as the teachers had not been trained in effective teaching approaches regarding tobacco.

Law 28705 promulgates the General Law for the prevention and control of the risks of tobacco consumption; object of the Law; measures related to the control of tobacco: prevention and protection: protection against exposure to smoking of tobacco, mandatory warning in closed spaces, information and education of the public; packaging and labeling of tobacco products, posters and advertising; clear warning of harm to health; prohibition of sale to minors; prohibition of use of terms such as 'light', 'ultra light' and the like; additional information and nicotine and tar content; commercialization; advertising, promotion and sponsorship of tobacco; vigilance and application of sanctions; regulation of sanctions by the Executive Power; transitory and final provisions. Repeals Laws 25357, 26739, 26849 and 26957.
(24 articles; pp. 316197-199) (Prevalence of smoking and other smoking related behaviors reported by the Global Youth Tobacco Survey (GYTS) in four Peruvian cities, BMC Public Health 2008, 8(Suppl 1):S2)

WHO Smoking Prevalence Tobacco Economy - most data presented are not current. In Peru, it is nominally illegal to smoke in any public place (indoors), according to Law 25357. The ban is normally not enforced.

“We [Health Ministry] are proposing this increase in order to discourage the consumers from buying tobacco and cigarettes,” says Ugarte, who also thinks that “this will slowly reduce the demand of tobacco.”

The bill seeks to modify the Law 28705, proposing a total ban of smoking “in all workplaces, open or closed, and in open spaces too, either public or private.” The bill also proposes that any public place intended to entertaining, such as bars, pub, restaurants, discos, cafes and so on, must have a large sign with the phrase “Environment 100% free of tobacco smoke,” and to ban any tobacco advertising in public exhibitions and shows.

Reference: Peru's Health Ministry proposes a 200% tax on tobacco and cigarettes, Isabel Guerra, LivinginPeru.com, 1/13/2010.