Saai recently represented the rights of tobacco farmers in the matter of British American Tobacco South Africa (BATSA) and nine others against the minister of cooperative governance and traditional affairs, Dr Nkosazana Dlamini Zuma, and two others in the Western Cape High Court.
The ban on the sale of tobacco products is challenged on two fronts: constitutionally and administratively by BATSA, who represents all applicants from the entire value chain.
“As the representatives of tobacco farmers we contend that Regulation 45of the Disaster Management Act, 2005 (Act 53 of 2005) deprives tobacco farmers of their right to choose a trade, occupation or profession in terms of Section 22 of the Constitution of South Africa,” says Francois Rossouw, CEO of Saai.
Exports alone cannot diminish the economic blow to farmers’ profits
The economic damage for tobacco farmers is immense as tobacco farmers have no buyers for their product, and it is not feasible to only rely on exports. The estimated loss of excise duty to the fiscus is approximately R35 million per day.
Although the minister says the regulations are temporary, and that trade will be resumed in future, she by no means gives any indication when this will happen. Meanwhile, farmers have no means to keep their operations going or any timetable to plan for their future.
“The purpose of the lockdown regulations should be to limit the spread of COVID-19 and to relieve the effects thereof. The data just does not support the view that banning the sale of tobacco will make a significant impact to achieve these goals,” adds Rossouw.
The case is ongoing and will continue on 6 August 2020. – Press release, Saai