mb 7 SJG:,V4 5th September 1 4 NOTS ON THE CURRMiT STATUS OF SUBSTITUMS AND POLICY Current trends In tobacco prices gives added t1ve to exploring further use of reconstituted tobacco and non-tobacco, substitutes.. B.A.T. poLicy on the use of subst:Ltutes has been stated since 1962 as follows: "We wlll not- use substitutes unless there is a demonstrable advantage on health grounds't. Since that time our policy has been modified in some respects laxgely by the interpretation of what we mean by "demonstrable advantage". The present position. is that we regard a =a;tQxia6L as having a demonstrable advantage if it g1ves cigarettes with lower tax and lower rLicotine and with carbon monoxide 'no higher and shows no increase, in biological activity. The 11unter Co=mittee Gdideli-mes have now helped us to clarify what we 72eaa by biological activity: this should cover an examination of the chemistry of _,-ka including mate=j,,ia such as benzpyrana, nitrosamines, hydrogency-anide, etc., it should coven te3ts for tumorigerLicity both by skin palnt:Lng and by -inhalation, It, should. also involve some general inhalation toxicology. R=ter, Of coursev is developing his Guidelines further to include clinical and other human studles. B.A.T. could go further than Hunter in one respect: we could take cognizance of the Initiat on/promoticii hypothesis- and aim to get both a reduction in total tumorigenicity and in promotion activity. A list of substitutes and their present statu-s is attached. . TO MY knowledg2 only tnwo of these are likely at present to shour a demonstrable advantage on health grounds that would satisfy us: these axe CYTIREL and NSM.- Presumably We Would only use tobacco substlt7ates if they prove to be profitable in the broadest sense, 1.e. acceptable to the consumer, acceptable to the cigarette manufacturer, .- available at the right price, etc. One other condition, of' coUrsQ, is that they would not contravene the law in the market for which the use is Intended. Before they are used in any. particul_-~r ma ket careiul consideration would also have. to be given to any change in the legal position with respect to consumers. In my v wi the fact that tobacco substitutes have been accepted 3For sale by the German Federal Health 'Ministry does not necessarily constitute a demonstrable advantage on health grounds or provide a basis for use in any other country. ihe tests carried out under the German law by Professor Xrdle consists only of simple pyrolysis tasts and benzpyrena determin- ation, on thi-s basis 13ATFL~~LKMI CYTIRET, and NS4 have all. been cleared. Equally although the Hunter Guidelines are ve-ry =uch mora extensive it dops not follow that clearance by Hunter 7tould be satisfactory for clearanca either by 3-A-T. or for use in another country. Cjatd- CD CD cyll BATCo document for Province of British Columbia 5 November 1999 2 - This last raises important questions. If - as for promotion -we regard Run-ter Guidelines as 1nadequate should we do our utmost to get the Guidelines enlarged or -should we be grateful for SM-11 Mercies. Should we insist on more stringent. requirements to satisfy B.A.T. than axe required to satisfy Hunter, or for that matter Kxdle'.'. In my view we should get the best legal advice we cam w:Lth regaxd to potentlal maxkets and our respon_,;i1b:LlitiQs as manulacturers. Tb:Ls adv:Lce will almost certainly require us to act responsibly and it may be necessary to gat independent medical advice. SuggQsted actlons are as follows- 1. We should get legal advice on our posLttlon if we usa~ substitutes j= the United Kingdom. Fer haps si mi larly opinions could be sought in U.S.A., Canada and Au3tx-"-ia- 2.' We have promised to proposs to American Celanase a draft agxee=ent for the purchase of CYTREM. This would, if accepted, -convait -us to buying a given quantity of CYMML contingent upon CYTREL r-i-i-g in substantial quantjtle~ in cigarettes on sale'ln the U.K. This would cover both consumer acceptance and any revision in Hunter requirements or reversal after testing on hu--ns. 3. We should aim to get a similax- understanding with IDL fox I'TSM. 4. We should opatlnue to press on with BATFLAXZ development and a propo-sal will be mitt to the Tobacco Boaxd in tb-is respect an the. 20th September. 5. We should make an approach to Cauxtaulds to explore the possibility o1 some co-operation or a phased joint venture. The main. attraction here is that it is likely that they could quick-ly engage in large scale product-ion. 6. We should diligently inform ourselves -,vith respect to.the other materials, particulaxly Ecusta which is being t2st2d by the H.C.I. in America. 7. We will mak-a a poiat of exam-ini-ng the Sayer material where it aooears in Reemtsmals cigarattes and thus becomes ava'IaDle to us, at least for laboratory work. 3. We should continue the development of reconstituted substitutes wita lower biological activity. S. J. G.7ZZClr Enc: L_J CD C__ L_ BATCo document for Province of BritiSh Columbia 5 November 1999 APPENDIX I BATFLAXE B.A.T. product based on chalk and sodium carboxymethyl cellulose. Approaching, decision stage for sem:L-commercial. plant. Weak but useful patent position. Probably~'id per 1b. N.S.M. Product of Imperial Developments Ltd. Full scale 20 - 30 million lbs/year plant under construction. Partially oxidised-*cellulose- Useful patent protection. Expensive - probably over 9 I/lb. CYTRSL Product of American Celanese Corporation. Full scale 10 million lbs/year plant under construction. Inorganic additives with cellulose bondet probably carboxymethyl cellulose. Useful patent protection - not impregnable. Pric2 at present values about 75 d/lb. ECUSTA Product of Ecusta. Believed at pilot plant scale but probably no problem in production as is essentially cellulose. No patents. Probably 50 V /lb. No biological claims but under test by N.C.I. COURTAULDS No public iagormation. Probably viscose. No patents known. Price - not to be offered for sale but cost is probably around 60 v~ /lb. Could be produced readily. BAYER No information but will be on test in German_v and samples can then be examined. Almost certainly c9llulose based. ' B & W alurainium Batflake type product based on co=Dounds. Laboratory stage. 11 sulls Vegetable reconstitution. No biological information. May be on sale in U.S.A. in 1974. DUPONT No knowledge SHUAL4 PRODUCT Presumed dead - Was reconstituted vegetabl-a waste but eff2ctive17 flavoured. SUTTON RF-SF-A2CH Turned down by IDL,.B&W and SAT. Patented. Cellulose based. SJG:,IIW 5.9.74 CD BATCo document for Province of BritiSh Columbia 6 November 1999