Accra, Nov 26, GNA –A few weeks after the signing of
a Memorandum of Understanding MoU) between the
Customs Excise and Preventive Service (CEPS) and
Philip Morris International (PMI), a cigarette
manufacturer based in Switzerland, industry players
have questioned the basis for the deal prompting
some to call for a second look at the entire
document.
The MOU, signed on November 7, 2006, seeks to
eliminate the illicit trade of tobacco products,
including the distribution and sale of counterfeit
and smuggled cigarettes into the country, but the
players led by British American Tobacco (BAT) have
questioned the moral right of PMI to go into the
agreement.
Speaking with the Ghana News Agency in Accra, Mr
Tony Okwoju, Corporate Affairs Director of BAT said
they welcome the essence of the MOU, "but this
should lead ultimately to a complete reduction or
elimination of the presence of Bond Street
cigarette, a key brand of Philip Morris from the
Ghanaian market."
Mr Okwoju argued that it was quite interesting that
PMI, a company with no known registered office or
contact in Ghana is going into agreement with CEPS.
Asked how BAT rates the MoU, Mr Okwoju said Bond
Street is the number one smuggled product in Ghana,
but noted that it was agreeable if the MOU goes to
help stop the presence of Bond Street in Ghana.
"Smuggling is costing the government approximately
45 billion cedis per annum so anything that will
honestly help to stop this is welcome."
Investigations by the GNA showed that Bond Street, a
Philip Morris product, was common on the Ghanaian
market even though it had been boldly listed for
sale only in Togo with health warnings stated in
French.
Some of the vendors could not display the product
because according to them, "we do not want trouble."
Mr Okwoju said, PMI’s statement at the signing
indicating that they have been conducting research
in Ghana "should show them that that the cigarettes
most smuggled into Ghana is Bond Street.”
For more than 10 years, Bond Street has been
illegally brought into Ghana and openly sold.
From a negligible figure in 1995, it currently
controls 10 per cent of the market share translating
into more than 25 billion cedis in loss of revenue
to the state.
Industry sources confirm that Bond Street is
imported legally into Lome, Togo at lower cost with
part of the unusually large quantities finding their
way into Ghana and neighbouring countries through
unauthorized routes.
Mr. Okwoju noted that the MoU places too much
responsibility and commitment in the path of CEPS,
even though it is supposed to be common purpose and
equal roles for the two bodies complementing each
other.
"They have to take a second look at the whole
document," he said.
Other players said the Ministry of Finance and
Economic Planning and CEPS who were all present at
the ceremony should have seen that PMI’s objective
for signing the MoU was to check counterfeiting of
its brands and not to stop smuggling of its genuine
brands into Ghana.
They also questioned the basis for which PMI signed
the MoU since they are not legally registered in
Ghana.
When contacted Ms Annie Anipa, Public Affairs
Manager of CEPS said the MoU with PMI is out to
buttress CEPS's interest in stamping out smuggling
and counterfeiting of the product on the Ghanaian
market.
"It is in this light that after busting the 15
containers of counterfeit cigarettes of PMI
following a tip-off on July 2005, we agreed to
collaborate with them to arrest the situation when
they offered to bear the cost of destruction and
help fight the menace.
She said PMI is a multinational company based in
Switzerland with Lawyers in Ghana who confirmed that
the bust was counterfeit.
She mentioned similar collaborative efforts with
BAT, which, she said, was going on well.
Asked if CEPS was not giving in too much in the MOU,
Ms Anipa said it was basically, among others, to
provide each other with information, training in
knowing counterfeit products while "PMI was also to
provide the list of genuine brands so that, if
confronted with problems “we could determine the
authenticity of the product."
When told that Bond Street was on the Ghanaian
market bearing French labels and health warnings, Ms
Anipa indicated that it was important to establish
that what is on the market is fake or genuine.
"If there is smuggling, it is incumbent on all,
especially those on the frontier stations, including
persons selling nicodemously to bring this to their
notice. This does not prevent CEPS from
collaborating with others to stamp out the practice.
"In fact, the World Customs Organization supports
such public private collaborations to help customs
do its work worldwide.
GNA
