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					 WORLD TRADE                                                              G/TBT/W/335
                                                                          22 March 2011
 ORGANIZATION
                                                                          (11-1418)

 Committee on Technical Barriers to Trade                                 Original: English



     THE IMPACT OF BRAZIL’S DRAFT REGULATION ON MAXIMUM LEVELS OF TAR,
        NICOTINE AND CARBON MONOXIDE ON TOBACCO PRODUCTS AND THE
             PROHIBITION OF ADDITIVES IN INDONESIAN CIGARETTES


        The following communication, dated 21 March 2011, is being circulated at the request of the
delegation of Indonesia.

                                          _______________


I.       INTRODUCTION

1.       As a tobacco and cigarette producing country, Indonesia is much concerned about the draft
resolution which establishes the permissible maximum levels of tar, nicotine and carbon monoxide in
tobacco products and prohibits the use of additives in the production of all tobacco products which are
manufactured and sold in Brazil.

2.       Indonesia fully understands and recognizes that the two key objectives behind this draft
resolution are the protection of human health and the prevention of deceptive or misleading practices.

3.      More specifically, we note that this resolution aims to prohibit the production and marketing
in Brazil of any smoking products derived from tobacco which contain the prohibited additives listed
in Annex 1.

4.    Indonesia thanks Brazil for the advance notification of the draft resolution and their related
comments, but would like to request further clarification on a number of issues.

II.      QUESTIONS RAISED

5.       Could you please explain whether the official definition of tobacco products, as outlined in
this draft resolution, also extends to Biddies and Kretek? If yes, please elaborate further.

6.       As per the notification, the draft resolution establishes the maximum levels of tar, nicotine
and carbon monoxide permissible in tobacco products and also prohibits the use of additives. In
relation to this, we would like to ask:

         (a)    Firstly, in reference to Article 3, could you please explain the current international
                laws which regulate the maximum levels of tar, nicotine and carbon monoxide in
                tobacco products?

         (b)    Secondly, we note that Annex 1 contains a list of prohibited additives. Could you
                therefore please provide further explanation about each additive and clarify whether
                this prohibition also applies to tobacco products which are either smoked or are
                smokeless?

                                                                                                    . /.
G/TBT/W/335
Page 2


7.       According to Article 4, Brazil states that it is "prohibited to use any denomination in the
package or in any advertising material of all tobacco products that may cause consumer to misleading
interpretation as to the content contained in these products, such as class, ultra-low content, low
content, soft, light, mild, moderate, high, content, and others".

        (a)     In this regard, could Brazil please explain in greater detail which words in particular
                are prohibited on packaging and also provide examples of words that are still
                permitted? For example, are the prohibited words only those words that actually
                describe the content or design of the cigarette or which deceptively imply a reduced
                risk to health (for example the words "light" or "mild")? Would words that are not
                specifically linked to the content or design of the cigarette also be prohibited? For
                example would the word "Lucky" be considered to be misleading to consumers?

        (b)     Does Brazil plan to initiate a process to gain "pre-approval" of packaging so that
                companies will not be found in violation of Article 4 once the cigarette products have
                already been shipped and sold on the market in Brazil?

        (c)     Finally if a prohibited word is part of the brand name, will Article 4 also prohibit the
                name of the brand?

8.      Indonesia notes that Annex 1 outlines a number of exceptions from the ban on the use of
additives. For example, additives that are "required to manufacture tobacco products" are excluded.
Could Brazil explain how and why certain types of additives could be excluded from the ban?

9.       According to Draft Resolution No.112, Chapter II, Article 3: "In the cigarettes sold in Brazil,
limits of tar, nicotine and carbon monoxide in the mainstream smoke are determined by quantitative
analysis laboratory", could Brazil please explain the characteristics of these kinds of laboratories and
define which kind of laboratories determine acceptable levels limits of tar, nicotine and carbon
monoxide in mainstream smoke?

10.     Article 2.12 of the TBT Agreement requires Members, except in urgent circumstances, to
provide a "reasonable interval" of time to allow members to adapt their products to new regulations.
Indonesia understands that a "reasonable interval" has been interpreted to be at least six months.
However it appears from the proposed draft that the requirements for levels of nicotine and tar in
Article 3, the labelling and packaging in Article 4 become effective for cigarettes immediately.

        (a)     In this regard, is Indonesia correct in understanding that the requirements of Articles
                4 and 5 now apply to cigarettes immediately? If not, could Brazil please clarify the
                length of the transition period for compliance permitted for manufacturers and
                importers of cigarettes?

        (b)     If this requirement does apply immediately to cigarettes, can we take this to mean that
                Brazil regards this as an "urgent problem" as described in Article 10 of the TBT
                Agreement?


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