Russia is set to bring in tough new tobacco rules could see shock images on cigarette packets and smoking banned in some public places.
The Russian Federation is the world's second largest market for tobacco products after China.
According to the World Health Association around two out five - 39% - of Russia's 143m people are habitual smokers.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
This compares with 28% of people in China and 27% in the U.S.A.
Russia's Deputy Health Minister Sergei Velmiakin announced that the government would submit a law banning smoking in public places such as restaurants by the start of November.
The government also unveiled a series of graphic pictures, including of a gangrenous foot and a still-born baby, that will be printed on cigarette packets.
"Global experience shows that shocking pictures on cigarette packs significantly influenced changes in perception of smoking by smokers themselves," the country's health ministry said.
Russia loses 1.5tr roubles (£29.3bn) a year, or 2.5% of gross domestic product, because of premature deaths caused by smoking, Velmiaikin said.
The legal changes come despite fierce opposition from some of the world's largest cigarette makers, including British American Tobacco.
They claim smoking bans or extra taxes will not change Russia's smoking culture but will instead hurt small businesses and encourage smuggling.
Tobacco firms have benefitted from growing demand for their products in emerging markets, as incomes rise and laxer health regulations make it easier to entice smokers than in traditional Western markets.
At 1530 on Tuesday shares in British American Tobacco were off 2.2% at 3,260.50p.
Japan Tobacco, which lobbied against the changes, dropped 4% on Tuesday following the announcement.
-
Parental contributions to kids' university living costs could reach £14,000 a yearParents helping kids with university living costs face contributions of up to £14,000 per year, according to a report from HEPI and TechnologyOne.
-
Rightmove: property asking prices hit record highNews Rising demand for top of the ladder home is boosting asking prices, Rightmove research shows. Is now a good time to sell a property?
