Wed, Feb 22, 2012
Tobacco Reporter Magazine Content:
India’s illicit trade rising steeply
Jan 17, 2012—The value of the illicit trade in cigarettes in India is estimated to have grown by 12 per cent last year, according to a Business Standard story relayed by Tobacco China Online.
High excise duties and VAT are said to be the cause of the trade, which last year was said to be worth Rs19 billion.
According to tobacco industry players, 17 billion cigarettes are smuggled into the country every year, making India the sixth highest consumer of smuggled cigarettes.
The problem for India is that while its taxes are high, it is bordered by countries where cigarette prices are low.
Jan 17, 2012—The value of the illicit trade in cigarettes in India is estimated to have grown by 12 per cent last year, according to a Business Standard story relayed by Tobacco China Online.
High excise duties and VAT are said to be the cause of the trade, which last year was said to be worth Rs19 billion.
According to tobacco industry players, 17 billion cigarettes are smuggled into the country every year, making India the sixth highest consumer of smuggled cigarettes.
The problem for India is that while its taxes are high, it is bordered by countries where cigarette prices are low.
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