Tobacco is the most heavily subsidised crop per hectare. A high proportion of tobacco grown in Europe is unmarketable and is sold at give-away prices to Eastern Europe and Africa. It is very difficult to obtain accurate figures on how much the tobacco industry spends on advertising. In the mid 1990s it was estimated that around 50 million was spent on advertising cigarettes in the press and 15-20 million on posters. Since the Government announced its intention to ban tobacco advertising, the tobacco industry has reduced expenditure on advertising and shifted marketing funds to sponsorship, direct mail and other promotions.
Reports show that tobacco advertising increases consumption.
In 1992, a report for the Department of Health demonstrated that bans on advertising had produced significant drops in consumption in four countries. In July 1998 a European Union Directive to ban tobacco advertising was agreed. Following the ECJ ruling, the UK introduced a bill to ban tobacco advertising and promotion. This includes the cost of hospital admissions, GP consultations and prescriptions. They occupy an average of 9,500 hospital beds every day.