Tobacco cut may hurt dairies

Kiwi dairies could be in trouble if Government proposals to significantly restrict sales of tobacco are introduced.

The Smokefree Aotearoa 2025 Action Plan proposals, which were put to the public in a discussion document yesterday, include limiting tobacco sales to specific R18 stores or pharmacies, the reduction of nicotine in products, and a prohibition on filters in cigarettes.

But dairy owners are worried that could spell the end of business.

Sunny Kaushal, president of the Crime Prevention Group that was set up to advocate for dairies after robberies increased, said the proposal to remove tobacco products from small retailers was uncalled-for and could have devastating consequences for dairy owners.

‘‘If they think moving tobacco will help, it’s not going to help, it’s going to punish dairy owners,’’ he said.

People who came to buy cigarettes also spent money on other things like basic groceries or treats, he said. ‘‘Dairies will go out of business.

‘‘If the revenue is gone, how can they survive? We urge the Government to review this proposal and not take a hasty decision which could impact so heavily on small businesses.’’

Glenfield dairy owner Jessica Lee said business would become a lot more difficult if she could no longer sell tobacco.

‘‘Most of the people coming to the dairy are after tobacco products, or just milk and bread.

‘‘It is a very difficult situation for us,’’ Lee said.

She had no idea what she would do if the proposals became law. ‘‘We might have to close the shop,’’ she said.

Dave Hooker, executive director of the New Zealand Association of Convenience Stores, said the removal of tobacco would be devastating for his members, who were primarily petrol stations.

‘‘For that huge chunk of turnover and income and foot traffic to be taken away from our stores, in many cases, could be fatal for them,’’ he said.

‘‘We support the Government’s smokefree goal, but we obviously value the category, and it’s really important to us, and we just need time to transition through it, for example getting off burning tobacco and on to vaping and looking for other sources of income around that. It is a very dramatic move.’’

Greg Harford, managing director of NZ Retail, said the proposal was not good news for retailers.

‘‘As a sector, we are supportive of the Government’s goals to phase out cigarettes and move towards a smokefree Aotearoa by 2025.

‘‘But what people need to understand is that tobacco sales make up a significant proportion of turnover in a lot of small businesses, particularly dairies in small communities.

‘‘If you take the ability to sell those products away, you will be undermining the viability of those small businesses.’’

‘‘If they think moving tobacco will help, it’s not . . . it’s going to punish dairy owners.’’ Sunny Kaushal

Crime Prevention Group president