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Tobacco Czars Threaten to Leave Mexico Yvonne Reyes Campos - The News go to original October 21, 2010
Mexico City – Deputies of the Institutional Revolutionary Party (PRI), the Democratic Revolution Party (PRD), and the National Action Party (PAN) criticized the threats and blackmailing gambits received from the tobacco industry stating they will quit investing in Mexico due to the 7-peso tax increase on cigarettes next year.
The deputies called on senators not to yield to pressure from these companies and to support this tax increase that, according to the deputies, will reduce tobacco consumption.
PRD Deputy, Esthela Damián, said that it is unacceptable to be threatened and blackmailed by tobacco companies, and that the deputies were considering raising the tax to 16 pesos. She further stated that the 7-peso tax increase is an accessible and modest amount, and that the companies’ allegations are baseless. She urged the companies to state which countries they would turn to, mentioning the case of Canada, where a pack of cigarettes costs more than eight dollars.
PRI Deputy, David Penchyna said that he trusts tobacco companies will not proceed with this idea of pulling their investments from the country. He pointed out that Mexico is not the only country that has raised taxes on cigarettes.
On the other hand, the director of the Health Commission, Antonio Osuna Millán, stated that regardless of the tax, tobacco companies will still make money in Mexico.
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