[By NBC-1TV H. J Yook]Today, the Dominican Republic requested that the Dispute Settlement Body of the World Trade Organization (WTO) establish a WTO panel to assess the WTO consistency of Australia‘s plain packaging measures for tobacco products, which came into effect in Australia on 1 December 2012. Australia initially blocked the establishment of the WTO panel but cannot block the Dominican Republic’s second request as per WTO rules.
Plain packaging represents a dramatic interference with trademarks, and a restriction on international trade. Luis Manual Piantini, Ambassador of the Dominican Republic to the WTO explains:
“We are proud of our tobacco products and especially our cigars which are among the highest-quality smoking products and appreciated by millions of connoisseurs around the world. We have strived to develop an industry that is a world leader, and do not wish to see it undermined by speculative measures that will work to undermine public health. We will fight to have the WTO rules applied fairly and objectively to our developing economy.”
“The Dominican Republic shares Australia's public health goals but plain packaging will not be effective in achieving those goals. Its effect will simply be to commoditize the tobacco market, with declining prices, and increased consumption of tobacco and illicit trade as a result.”