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It decided tax hikes were necessary to meet its budget deficit target. “As per the trends of past years, there is usually a surplus to offset the deficit from the first half, in turn keeping the deficit within the target,” said Lee Heng Guie, executive director of Socio-Economic Research Centre. Malaysia achieved its budget deficit target of around 3% despite billion-dollar losses in oil revenue. Together with cost-cutting measures, sin tax made up for any shortfalls in revenue. The cigarette industry holds the second place in terms of total excise collection, which contributes significantly to indirect tax ( 22.9% of the 2017 Federal Governmental budget). Additionally, the government has failed to control its illegal cigarette trade. The responsibility of clamping down on illicit cigarette trade falls on the shoulders of Royal Malaysian Customs Department (RMC). RMC failed to meet its aim of cutting illegal cigarette consumption to 25% by 2015 . This year, Subromaniam said , “The department aims to reduce the number of contraband cigarettes in the domestic market by 50 per cent in two years, but we are confident we can do better.” This confidence came with a call for harsher policy changes. Instead of fines up to 20 times the value of the contraband cigarettes or a maximum of three years jail term or both , the Customs Department has proposed a change to Section 135 (1) (d) of the Customs Act 1967. The proposed amendment would enforce an increase in minimum cigarette or liquor fine to RM100,000 (US$24,000).

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News Search | All News Topics > Tobacco Industry News Topics : By Country | By State ; Press Releases by Industry Channel > All Tobacco Industry Press Releases Philip Morris International Recognized as Global Leader for Corporate Action on Climate Change for the Third Year Running LAUSANNE, Switzerland--(BUSINESS WIRE)--Oct. 25, 2016-- Philip Morris International Inc. (“PMI”) (NYSE/Euronext Paris: PM) today is recognized as a global leader in its action on climate change. For the third consecutive year, the company is on the CDP’s ‘Climate A List’ for taking comprehensive action to reduce greenhouse gas emissions and mitigate climate change, and for its transparent disclosure process. CDP, formerly known as the Carbon Disclosure Project, is the leading international not-for-profit organization assessing the work of companies worldwide in the area of climate change. Thousands of businesses submit annual climate disclosures to CDP for independent assessment against its scoring methodology. PMI’s ranking places the company among the top 9% of corporations, known as “A Listers.” CDP’s Climate Change benchmark report is produced at the request of 827 investors with assets of US$100 trillion. Commenting on the results, PMI’s Head of Environmental Sustainability, Andy Harrop, said: “We’re very pleased to be included on the CDP A List again, and remain dedicated to playing our part in limiting global warming. Building on the reduction of 200,000 tons of CO2 since 2010 across our operations, and our continued action to promote sustainable tobacco production and environmental improvements across our value chain, next year we will announce a suite of new targets based directly on climate science.” “PMI encourages strong action on climate change and supported an ambitious outcome to COP21 in Paris last December. With the Paris Agreement now entering into force, we look forward to working with others in facing the challenges and opportunities of climate change mitigation and adaptation.” The Climate A List is released today in CDP’s report, Out of the starting blocks: Tracking progress on corporate climate action, which establishes the baseline for corporate climate action and recognizes that global corporations have started the transition towards a low-carbon economy, with some already capitalizing on the opportunities this affords. Companies’ progress on reducing greenhouse gas emissions is in line with the goals of the Paris Agreement and will be tracked against this baseline in future annual reports.

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