Jump to full article: Independent Newspapers Ltd. / STUFF (nz), 2009-07-07
Author: AL WILLIAMS - The Timaru Herald
Intro: Tobacco companies have been warned they are treading a fine line after reports of price wars.
The Health Ministry began investigating cigarette pricing structures after The Timaru Herald reported last month that tobacco giant British American Tobacco New Zealand had issued a new price list to retailers, recommending a drop in price for some of their brands.
Associate health minister Tariana Turia said she was expecting feedback by the end of this month after launching an inquiry into why British American Tobacco and Imperial had cut prices.
"It is outrageous that on one hand, the government is spending millions of taxpayers' money to stop smoking addiction and on the other hand, these companies are enticing smokers to consume more.
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