Spooky action at a distance: entangled interests of alcohol industry

Nijolė Goštautaitė MidttunLithuanian Tobacco and Alcohol Control Coalition

2017, Tallin

LITHUANIAN TOBACCO AND ALCOHOL CONTROL COALITION (NTAKK)

NTAKK – legal association since 2008, umbrella for 32 memberorganizations.

NTAKK mission is to promote, advocate and actively work towardsimplementation of scientific, evidence-based, effective measures forcontrol and prevention of the use of all psychoactive substances andgambling.

NTAKK aims to:

• Unite stakeholders in the field of psychoactive substances preventionand policy;

• Encourage and develop public and NGO cooperation;

• Advocate for implementation of evidence-based policy;

• Develop, implement and support policy programs, projects, etc.

LATEST DEVELOPMENTS IN ALCOHOL CONTROL IN LITHUANIA

• No alcohol sales in petrol stations since January 1, 2016;

• Use and advertising of discount campaigns for alcoholic drinks prohibitedin the shops, since Nov 1, 2016;

• Increase in excise tax for all alcohol products since March 1, 2017;

• The legal age to purchase or consume alcohol is increased from 18 yearsto 20 years old from January 1st, 2018

• Alcohol retailers will have a right to ask for legitimation from buyers ifthere is uncertainty if the person is younger than 25 years old fromJanuary 1st, 2018;

• Restricting off premise sale of alcoholic beverages (exceptions: airports,ferries, train bars/shops) from 10 am until 8 pm Monday to Saturday, and10 am to 3 pm on Sunday since 1st January 2018;

• Total ban on alcohol advertising including few exemptions (such as a logoof producers in sales areas or on memorabilia) since 1st January 2018.

Direct lobbying (meetings and correspondencewith legislators/policymakers) and indirectlobbying (using third parties, alliances withother interest groups, including front groups, tolobby on the industry’s behalf).

1.

2011-02-10 Carlsberg Group vice-president Jorn Tolstrup Rohde claims that Lithuania has the strictest alcohol control regulation in EU.

At the end of 2011 theregulation banningalcohol advertising hasbeen revoked weeksbefore it came to theeffect.

https://www.15min.lt/verslas/naujiena/finansai/carlsberg-group-viceprezidentas-jornas-tolstrupas-rohde-lietuvoje-valstybes-reguliavimas-griezciausias-es-662-136948

Representatives ofCarlsberg expressedtheir worries in themeeting with primeminister 2017-03-21

Beer producers aredissatisfied aboutunplanned andlarge increase inexcise tax, criticisethat the measuresmakes businessenvironment moredifficult.

2017-03-22 “Carlsberg leaders: We will not hesitate if we are forced to leave Lithuania”

2.Establishing industry/government collaboration (e.g. via working group, technical group, advisory group) and working alongside policymakers providing technical support/advice/policy development or implementation.

Governmental consultation: formal and allows industry involvement

17 proposals to restrict access;15 proposals to ban alcohol advertising;12 promote sober life-style;9 increase excise tax

Philip Morris funded NGO “Without a shadow” produced an „Action plan for reduction of alcohol consumption for Lithuania

2016-2025“

The plan wasintroduced by theLithuanian LiberalYouth organisationand the staff of theLithuanian government chanceloroffice sent it out to implementinginstitutions.

The letter also mentions a meetingwith an industry groupto discuss „wrongstatistics“.

3.The provision of gifts, corporate hospitality,charitable donations, campaign contributionsto legislators and political parties.

In May, 2016 corruptionscandal broke out.

Alcohol and media industrycorporation provided a „bussiness loan“ in cash ...

„I have put the money into the bottle packaging myself „ E. Masiulis the chair of theLiberal Movement

Personal discount cards to MPs offered by a chain of petrol stations

4.Abusing and high-jacking of social advertising.

Since 2016 new State Public Health Promotion

Fund.

Used to fund social advertising campaigns.

15min.lt won a projectcompetition.

Campaign conductedduring September-

November, 2016

January 2017 15min.lt decided to

continue the campaign with new

partners - The Lithuanian

beer makers guild, without bothering

to inform the guy in the picture.

Also micromanaging„mistaken

reporting“ aboutthe fact.

New „social responsibility campaign“ (September2016) by retailers demnading that every personbuying alcohol will have to show legitimation.

A lot of complaints towards politiciansfrom elderly population

The cashiers will not only ask for legitimation, they will also register personal June 14th, 2016

Retailers cut the campaign short: no more legitimation request

5.Attempts to undermine the scientific evidence and statistics, subvert public messages and create industry friendly “evidence”. Learning from the best – tobacco industry –manufacture doubt.

The Association of Hotels and Restaurants: consumption statistics is untrue and/or incomparable: “Every country uses different method

for calculating consumption” (2017-05-22)

Massaging the statistics when government requests

• The discrepancy between WHO and the Lithuanian statistics department

• https://www.15min.lt/verslas/naujiena/finansai/lietuviai-suvartoja-daugiausia-pasaulyje-alkoholio-tiesa-ar-tik-statistikos-fokusas-662-798924

• January, 2016 in the meeting of Lithuanian government with thedepartment of statistics with industry participation a request was made to“recalculate” in order “to reduce” consumption

• Alcohol consumption assessment methodology changed from June 10th,2016 removing from consumption statistics alcohol bought in the bordershops, also by external tourists, while adding consumption by Lithuaniantourists abroad;

• Unique assumption in these calculations was that foreign tourists inLithuania drink like Lithuanians, while Lithuanians abroad drink likeFrench, Spanish, etc.

WHO explains how Lithuania became the most drunk nation in the world ... June 14th, 2017

6.Threatening financial withdrawal, claiming thatthe measures would be disproportionatelyburdensome to small businesses, warning ofthe “unintended consequences” of regulatingindustries.

Petrol station spokesman: prohibiting sales of alcohol might result in firing 30 % of employees, closing 600 outlets, etc.

Stands in the petrol stations placing personal responsibility for the ban of sales in on MPs and government members and encouraging

clients to contact.

7.Claiming that alcohol problems are caused by a small number of excessive drinkers, rather than be a consequence of the total consumption levels in a community.

Lithuanian business confederation commissioned a research which has shown that 12% of drinkers consume nearly 40% of alcohol in the country. Vilnius University researchers previously not involved in alcohol research were hired as experts.

8.Attacking public health advocates and trying to destroy their reputation.

A. Veryga might be imprisoned for up to 2 years.

9.New cross-border business models

Specialized alcohol retailer announces subsidized trips to Latvia

https://www.15min.lt/verslas/naujiena/finansai/alkoturizmas-vynoteka-lietuvius-i-latvija-pirkti-pigesniu-svaigalu-veza-nemokamu-autobusu-662-824692

advertising a new shop on the first border town in Poland

http://www.vynoteka.lt/blogas/achvyvas/2017/7

10.Drawing attention away from the control policy towards “treatment of heavy drinkers”.

Drawing attention away from the control policy towards “treatment of heavy drinkers”: legislation proposed for

“mandatory treatment”