Brussels, 28/06/2006 (Agence Europe) - On 28 June, the European Commission decided to send France and Belgium a reasoned opinion on the setting of minimum retail sales prices on cigarettes. France and Belgium have two months to put an end to this practice, or the Commission may bring the matter before the European Court of Justice. The Commission supports the Member States in their efforts to implement new health policies, but it believes that setting minimum prices for the retail sales of cigarettes "runs counter to Community law and is mainly of benefit to the manufacturers, who can use this to protect their profit margins". Instead of this measure, the Commission would advise those Member States wishing to reduce the consumption of tobacco to increase tax on cigarettes. Increasing taxes would have "the same effect on prices as setting minimum prices, but this would not limit price-based competition to the advantage of the manufacturers alone", the Commission explains. Similar infringement proceedings have already been taken against Italy and Ireland, and the situation in Austria is under examination.