SATURDAY, April 27, 2024
nationthailand

Concerns Tobacco Act may breach trade secrets

Concerns Tobacco Act may breach trade secrets

THE COMMERCE Ministry is concerned that draft Tobacco Products Control Act regarding plain packaging for cigarettes could breach the international Trade Secrets Act and the World Trade Organisation’s regulation governing the restriction of business opportunities.

A source from the ministry said that while a ministerial review of the relevant part of the draft found no objections to the draft proposed by the Ministry of Public Health, plain cigarette packaging remains a contentious issue at the WTO. 
Accordingly, the source said the ministry has suggested waiting for the WTO’s ruling on the matter, as the measure may breach Thailand’s obligations under international agreements and may limit relevant business operators’ rights beyond what is appropriate. 
The Standing Committee on Commerce, Industry and Labour and the National Legislative Assembly share the same opinion on this matter, the source said.
On October 25, the Cabinet approved the draft Act, with the legislation set to be forwarded to the National Legislative Assembly for ratification.
In a letter to Secretariat to the Cabinet, the Commerce Ministry noted that the Public Health Ministry may disclose the list of ingredients of tobacco products and their emissions, which could breach trade secrets, according to the criteria, methods and conditions prescribed in a ministerial rule. 
The Commerce Ministry said the Public Health Ministry should comply with the Trade Secrets Act (2002) and an associated amendment by not disclosing such information so as not to impinge on the rights of the trade-secret owners, except where it is necessary to protect public health.
The WTO became involved in the plain-packaging dispute after the Australian government was sued by many countries such as Honduras, Ukraine, the Dominican Republic, and Cuba – who accused Australia of breaching the WTO’s rule on restricting business opportunities. 
The WTO is considering this case. 
As a result, the Commerce Ministry wants the Thai government to wait for that judgement before enforcing the Tobacco Product Control Act.
 

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