||On December 15th, Japan Tobacco Inc. (JT) officially made public its agreement
to acquire the English tobacco firm Gallaher Group by common consent. The
total sum of the acquisition, inclusive of net interest-bearing debt, amounts
to US$ 14.7 billion (2.253 trillion Yen). With the markets of developed
countries slackening because of increasing health consciousness and taxation,
JTfs president Kimura Hiroshi stated that g[we] plan to strenghten our
position in emerging markets of remarkable growth like Russiah and that
g[we] aim at winning our way to the world marketh.
||The Minister of Finance Koji Omi, in the press conference following the
cabinet meeting of the 15th of the month, with regard to the acqusition
in question, in light of JTfs president report, showed his willingness
to comply stating that gI want to respect the managerial judgementh.
||Whereas foreign tobacco firms gradually become impoverished, the strategy of pursuing profit through globalization in Russia, Europe, developing countries, backed up by JTfs capital and the collateral that the country owns half of JTfs stock, results in sprinkling poison conducive of nicotine addiction especially among the youth of peoples all over the world. This is a shame for Japan and as the Japanese Society for Tobacco Control we strongly oppose it.
||In consequence of the Framework Convention on Tobacco Control, the tobacco
industry is expected to shrink and possibly be extinguished. To avoid losses,
the country should urgently release its stake in JT and accelerate its
||Every year, the diseases ascribable to tobacco bring damage to the Japanese
people for an amount ranging from 5.6 to 7.1 trillion Yen. In addition
to that, the over 2 trillion Yen needed for JTfs acquisition will be allotted
as compensation for the loss suffered by the Japanese people.
||The Japanese Society for Tobacco Control proposes to use 2.5 trillion Yen for the following purposes:
||Reparation / compensation of medical treatment for the victims of tobacco-related
diseases. Every year, the over 110,000 people who fall victim of active
and passive smoking should be compensated.
||Fire fighting and cleaning. Smoking is the cause of many disasters and
the expenses for fire fighting and cleaning butts and packs amount to 0.2
trillion Yen. These expenses should not be sustained by non-smokers and
||Switching costs of farmers. Many tobacco growers were abandoned by JT and are ceasing tobacco cultivation. JT should make itself responsible for that.
||Compensation for the removal of cigarette vending machines. Many of the
retailers that lease vending machines are small subsistence businesses.
At the removal of vending machines, they should be refunded.