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Canada battles on tobacco taxCanada battles on tobacco tax
27-Mar-2003
The Frontier Duty Free Association's efforts to secure a moratorium on Canada's controversial tobacco tax have reached an impasse after finance minister John Manley turned down the association's proposal
"We received a letter from the minister last month saying that the government did not accept our arguments for a moratorium for duty-free retailers," explained Lewin. "Nor did they accept our argument for indexing. Right now that door has been slammed shut."
But Lewin added that the retirement of Canadian prime minister Jean Chretien later this year may add fresh impetus to the association's cause. "There will be a leadership election in November, and we are going to take every opportunity that political change may present. We have several border MPs who are very supportive of duty-free, so the campaign is not over yet."
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(26-Mar-2003) - Following the award of the duty-free licence at the Douglas border crossing in British Columbia, Canada's Frontier Duty Free Association (FDFA) expects further tenders at selected border locations by the end of the year
(14-Feb-2003) - By Gavin Lipsith
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(15-Nov-2002) - CANADA. As the Canadian duty-free trade met in Vancouver this week at the 18th Convention of the Frontier Duty Free Association (FDFA), the Canadian government?s controversial tobacco policy continued to provoke lively debate. With tobacco sales at the US/Canada border down an estimated 34% since the introduction of an export tax on Canadian-manufactured tobacco, the FDFA is discussing whether to push for the indexing of duty-free tobacco, which would ensure that further tax increases would hit travel-retail less hard than the domestic market.