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According to the stock analysts Morgan Stanley \u201cOf the various measures available to governments in reducing demand for tobacco, clearly the one that concerns the cigarette companies the most is rising taxation.\u201d (21). High price remains the most effective tobacco control measure, thus it is important to note that the price of tobacco products varies greatly in Europe. On 1 July 2010 a pack of Marlboro cigarettes ranged from \u20ac2.55 in the Baltic countries to \u20ac8.55 in Ireland and \u20ac11 in Norway.<\/p>\r\n

According to Morgan Stanley again \u201cthe other two regulatory environment changes that concern the industry the most are homogenous packaging and below-the-counter sales. Both would significantly restrict the industry\u2019s ability to promote their products.\u201d(21)<\/p>\r\n

A ban on displaying tobacco products at the point of sale exists in three European countries (Iceland, Ireland and Norway) and will be introduced in Finland in 2012. Six European countries (Belgium, Romania, UK, Latvia, Switzerland and Turkey) require pictorial warnings on cigarette packets and four will introduce them in 2011: Malta, France, Spain and Norway. The global trend is towards larger health warnings with pictures. Uruguay, for instance, has implemented legislation to make pictorial health warnings obligatory, covering 80% of the front and the back of cigarette packs. The 2001 EU Tobacco Products Directive regulates the content and labelling of tobacco products in the EU. The European Commission is exploring the merits of introducing plain packaging as part of the revision of the Directive. Last year the Australian government decided to introduce legislation to make plain packaging mandatory on all tobacco products as of 2012.<\/p>\r\n

Plain packaging includes the removal of all attractive promotional aspects on tobacco product packaging. Except for the brand name (which would be presented in a standardized way) all other trademarks, logos, colour schemes and graphics would be prohibited. The package itself would be required to be plain coloured and to display only information (such as health warnings) required by law.<\/p>\r\n

A number of studies on plain packaging report the same results (22,23,24):<\/p>\r\n\r\n