The Almeria Focus – November 2020

Page 38

Smoking Trends and the Pandemic

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n 2000, a packet of Fortuna, one of the most popular brands of cigarettes, cost 1 euro 85 céntimos, but the current price is 4 euros 60 céntimos. Total sales are much less, and there are a number of reasons including the complete ban on tobacco advertising that came in in 2005. Before this, well-known figures from various walks of life promoted smoking on TV, print media and posters, and the formula one cars all had tobacco sponsors as did other popular spor ts.

large reduction in tourists as well as leisure activity being curtailed, particularly in night clubs and latenight bars. There are very high taxes on cigarettes and they provide the fifth largest income for the Spanish state which has amounted to about 9 billion euros every year. The profit margin for the estancos is only 8.5% for cigarettes and 9% for cigars but this is of course reduced by the normal business expenses for staff and overheads.

Legislation that banned smoking in closed spaces in bars and restaurants, work places and public transport has resulted in a large drop in sales which was the whole aim of the legislation. Antismoking publicity and the increasing pressure from health practitioners that smoking is very bad has also reduced sales, and packets of cigarettes now have to display anti-smoking publicity with strong messages on 65% of the front area of the packet. From 2014, the ‘estancos’, the official outlets for tobacco products, licenced by the Spanish state, were prohibited from selling tobacco to children under the age of 14, and Prior to 2014, estancos only sold tobacco products, vending machines had to have an electronic lock stamps, official state paperwork such as income that had to be activated for sales to adults. tax and IVA (VAT) returns for businesses, and newspapers. In 2014, faced with the drop in sales In Almería province there are 220 estancos, and from tobacco products, the estancos were in 2019 they sold 39.3 million packets of cigarettes licenced to sell other products. These include and collected in 180 million euros. This is almost office materials, soft drinks, spirits, snacks, 50% less than sales in 2007 before the financial jewellery, sun glasses, items for the beach in crisis when there were 75 million packets sold. coastal areas, and the largest ones can now send Vending machines accounted for 97 million packets, money via Western Union and receive parcels. The but this has now gone down to about 60% of all majority of estancos are also licenced to sell lottery sales. In 2012 the estancos sold 44.4 million packets tickets. The range of magazines that they sell is of cigarettes which is 5 million more than 2019 now very extensive along with books, and this but the worst year was 2017 when they only sold also helps with income. They now sell electronic 38.3 million packets. The slightly increased sales cigarettes and liquids along with anti-smoking at present are put down to young people smoking products as they realise that this is an emerging more than then. market. If they can get these non-smokers through their doors, sales of other items increase. A This year, with the effect of the pandemic, sales spokesperson from the association of estancos are already much reduced, and in August the drop in Almería province states that they have had to was 16.35% in volume with a 16.65% decrease in adapt to modern times, particularly during the income. This is almost certainly because of the pandemic, otherwise they would go bust.

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