Memorandum by the Federation Internationale
De L'Automobile (TB 36)
Given that the terms of reference of the Committee's
inquiry do not include sports sponsorship it is difficult to anticipate
what issues the Committee wish to explore with the FIA. The following
points, however, may be of interest.
The FIA is the world-wide, non-profit federation
of motoring organisations, bringing together 157 clubs from 119
countries. It is also the governing body of international motor
sport, responsible, in particular, for the regulation of its major
world championships, such as the Formula One World Championship,
the World Rally Championship, Grand Touring and Formula 3000 Championships.
The FIA's President, Max Mosley was first elected in 1993 and
is currently serving his second four-year term of office.
The FIA does not receive any sponsorship from
tobacco companies. At no time has the FIA asked any government
for an exclusive exemption for Formula One from the European Community
Directive on tobacco advertising. The Directive does not include
an exclusive exemption for Formula One. Indeed neither Formula
One nor motor sport is mentioned in the Directive which, in fact,
offers a conditional transitional period to sponsorship "for
events or activities at world level" until 1 October 2006.
The FIA is not involved in the current legal challenge against
the Directive.
The FIA's attitude toward the Directive was
initially set out in a statement on 1 October 1997, which was
given to all 15 EU member States (see annex). This statement included
the following sentence. "If by independent and scientific
study it can be shown that tobacco company logos appearing at
Formula One races cause people to start smoking, the case for
the total elimination of tobacco sponsorship would be overwhelming".
Since then the FIA has made numerous attempts
to receive such evidence. In a statement issued on 11 December
1998, the FIA World Motor Sport Council invited all interested
parties to submit evidence to an independent legal authority for
a judgement (see enclosed) [1]The
FIA wrote to numerous Governments and the World Health Organisation.
The response to date has been disappointing and we are still waiting
to receive further evidence.
Mr Mosley has stated on a number of occasions
that it is his personal belief that it would be preferable for
Formula One to move away from tobacco sponsorship rather than
risk being the last sport that is to some extent dependent on
this particular source of sponsorship revenue.
16 January 2000
ANNEX
TOBACCO SPONSORSHIP
IN FORMULA
ONE
The FIA has been considering very carefully the possible
effects of the draft European Union Directive to ban tobacco advertising,
including the latest compromise proposed by the Luxembourg Presidency
which will be on the agenda of the Health Council on 4 December.
The new proposal would give a three-year exemption
for sports sponsorship by tobacco companies, to be followed by
a complete ban. This approach fails to consider fully the special
problem of an international championship, such as Formula One,
which takes place on a world stage watched by global television
audiences.
An EU-wide ban on tobacco sponsorship would
simply provide an incentive to the tobacco industry to support
major events outside the EU. In the case of Formula One, over
70 per cent of the world television audience is in the Asia/Pacific
region, while 10 of the 16 Formula One Championship races are
held within the EU. There is already substantial pressure to increase
the number of events in Eastern Europe, Latin America and the
Asia/Pacific region. In these regions, governments are prepared
to exempt Formula One from any restriction on tobacco advertising.
These regions are, of course, growth markets for the tobacco industry,
in contrast to the mature markets of Western Europe.
The Luxembourg compromise text of the EU draft
Directive would therefore accelerate the trend towards non-EU
events. But these events would still be televised globally and
be seen throughout the EU. There would be no reduction in the
level of public exposure to tobacco sponsorship of Formula One.
The proposal would simply encourage the tobacco industry to sponsor
sporting activity outside the EU but televised within the fifteen
Member States. This would penalise sport in Europe and encourage
relocation of its infrastructure outside the EU. The FIA believes
that the proposed draft Directive is, therefore, flawed and will
fail to meet its own objectives.
The FIA, however, is willing to assist in achieving
a reduction in tobacco sponsorship of Formula One. We could do
this by means of our own regulations. These apply to all Formula
One events throughout the world, something which could not be
achieved by an EU Directive alone.
For example, we could require by regulation
that no driver carry on overall or helmet any form of tobacco
advertising. This would substantially reduce the broadcast impact
of such logos which currently feature on the drivers during the
race and in pre/post-race interviews and podium ceremonies.
Further reductions or additional measures, such
as the inclusion of health warnings could also be introduced.
However, before proceeding further, the FIA would like to see
specific evidence on the impact (particularly on young people)
of tobacco sponsorship in Formula One. If by independent and scientific
study it can be shown that tobacco company logos appearing at
Formula One races cause people to start smoking, the case for
the total elimination of tobacco sponsorship would be overwhelming.
The FIA would then act on a time scale not dissimilar to that
envisaged by the Luxembourg compromise.
The FIA wishes to discuss these proposals with
interested Member States. We believe that this is the only way
to achieve an effective world-wide reduction in tobacco sponsorship
within Formula One. In contrast, we believe that the draft EU
Directive would be self-defeating in terms of public health policy
and cause unnecessary harm and economic dislocation to major sporting
competition in Europe.
We would be grateful if our views could be taken
into account before the Health Council meeting of 4 December.
1 October 1997
1 Not printed. Back
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