Illicits Top Quarter Of Ukrainian Market

Image: IvanSemenovych

The share of illegal tobacco products reached 25.7 percent of the Ukrainian market in October, up from 19.5 percent in June and 20.2 percent in February, reports Interfax-Ukraine, citing data from the most recent Kantar Ukraine study.

The figure represents the highest share since Kantar began collecting information on the Ukrainian tobacco market.  

The share of counterfeit products increased to 11.3 percent, and the share of products labeled for duty-free sales or export but sold illegally in Ukraine grew to 12.9 percent.

Measured over the entire year, illegal cigarettes accounted for 21.8 percent of the Ukrainian tobacco market.

The Ukrainian government missed out on an estimated UAH23.5 billion ($625.67 million) in tobacco tax revenues in 2023 due to illicit cigarette trade, according to calculations by Kantar.