• November 24, 2024

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Imports of tobacco stems and roots have surged in Korea after the government implemented a special consumption tax on products manufactured with leaves, according to a report in The Korea Bizwire.

According to the Strategy and Finance Committee, imports of nicotine solutions extracted from stems and roots increased from 5 tons in 2016 to 90 tons in 2017 and 175 tons in 2018.

Meanwhile, imports of nicotine solutions extracted from leaves fell from 17 tons in 2016 to 7 tons in 2017 and 6 tons in 2018.

In 2016, the ministry of strategy and finance determined that nicotine extracted from stems and roots was not covered by the tobacco business law.

The Strategy and Finance committee said that importers often report nicotine solutions as being derived from stems and roots in order to avoid the burden of the special consumption taxes.

Analysts have urged the government to include stems and roots in the tobacco business law.