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Tag: illicit cigarettes

  • Indian Consumer Group Calls for Illicit Trade Task Force

    Indian Consumer Group Calls for Illicit Trade Task Force

    India’s Consumer Online Foundation (COF) urged the Prime Minister’s Office to establish a National Task Force on Illicit Tobacco Trade under the Cabinet Secretariat or PMO to combat the growing market for smuggled cigarettes, counterfeit tobacco products, and illegal nicotine products. In a letter to the government, the consumer advocacy group said illicit trade is undermining India’s tobacco control efforts by eroding tax revenues, bypassing health regulations and age restrictions, and strengthening organized crime.

    The COF proposed a multi-agency task force involving the ministries of health, finance, home affairs, and commerce, along with customs and enforcement agencies, to develop a national anti-illicit tobacco strategy focused on intelligence-led enforcement, border security, counterfeit manufacturing, market surveillance, and consumer reporting. The foundation also called for a 100-day action plan and pointed to international experience, including Australia, arguing that tobacco taxation must be supported by robust enforcement to prevent consumers from shifting to illegal markets.

  • Dutch Authorities Trying to Break ‘Fixed Revenue Model’ of Illicit Cigs

    Dutch Authorities Trying to Break ‘Fixed Revenue Model’ of Illicit Cigs

    Dutch Customs announced that it seized 106 million illicit cigarettes during the first half of 2026 as authorities intensified efforts against what officials describe as an increasingly important revenue source for organized crime. The majority of the illegal cigarettes were intercepted in sea containers, prompting Customs to expand its joint enforcement unit with the Fiscal Information and Investigation Service (FIOD) and deploy new detection algorithms at Schiphol Airport to identify travelers carrying excess tobacco products.

    Customs Director-General Nanette van Schelve said tobacco smuggling has become a “fixed revenue model” for criminal networks alongside cannabis, with the Netherlands’ high tobacco excise taxes continuing to make the illicit trade attractive.

  • Spain Busts Syndicate Making 8M Illicit Cigarettes a Day

    Spain Busts Syndicate Making 8M Illicit Cigarettes a Day

    Spanish authorities dismantled two international criminal organizations operating six clandestine cigarette factories capable of producing nearly eight million counterfeit cigarettes per day. The operation, led by the Guardia Civil in coordination with Europol and law enforcement agencies in Poland and Lithuania, resulted in 50 arrests following raids across Alicante, Cuenca, Huelva, Murcia, Sevilla, and Toledo. Authorities seized more than 20 million counterfeit cigarettes, 38.4 metric tons of tobacco, 18 vehicles, encrypted electronic devices, firearms, and €170,000 in cash, with the tobacco products valued at more than €10 million. Two Polish fugitives were extradited, while seven suspects were remanded in custody.

    Investigators said the criminal networks manufactured counterfeit versions of well-known cigarette brands for distribution across Spain and other European markets, including Portugal, France, and potentially the United Kingdom. The factories also supplied third-party criminal groups and housed exploited workers in makeshift living quarters inside production facilities. The investigation began seven years ago after intelligence from Europol and authorities in Poland and Lithuania identified a Polish-led criminal network operating from Spain.

  • Suriname Lawmaker Says Illicits Make Up 75% of Cigarette Market

    Suriname Lawmaker Says Illicits Make Up 75% of Cigarette Market

    Suriname lawmaker Wedprekash Joeloemsingh warned that illicit cigarettes now account for an estimated 75% of the country’s tobacco market, arguing that further tobacco tax increases could accelerate the shift away from legal sales. Joeloemsingh said the government is losing more than SRD 500 million ($13.5 million) in tax revenue due to illegal trade, alleging that cigarettes enter the market through both smuggling and diversion of goods imported as transit shipments. He called on the government to investigate the illicit market and strengthen enforcement rather than relying on additional tax increases.

  • ASEAN Countries Feeling Illicit Cigarette Pressures

    ASEAN Countries Feeling Illicit Cigarette Pressures

    A new report by the EU-ASEAN Business Council estimates that illicit tobacco products accounted for 23.6% of tobacco consumption across six major ASEAN markets in 2025, with the share projected to rise to 27.8% by 2028. The report estimates illicit cigarettes reached 85 billion sticks in 2025, resulting in $6.3 billion in lost government revenue across the region. In Thailand, illicit cigarettes represented 23.6% of the market in 2025, up from 22.6% a year earlier, contributing to an estimated $1.4 billion (45 billion baht) in lost tax revenue over 2024-2025. Most illicit products are believed to be imported from neighboring countries or are counterfeit products entering through land borders.

    The report identifies price disparities between legal and illicit products, cross-border smuggling, and growing online sales through e-commerce and social media as key factors contributing to the illicit market. It also notes that while Thailand uses QR code-enabled tax stamps, track-and-trace systems remain uneven across the region, creating enforcement gaps. The report recommends strengthening border controls, expanding track-and-trace systems, improving international cooperation, and enhancing enforcement to curb illicit trade while supporting public health and protecting government revenues.

  • Latvian Authorities Bust Illicit Cigarette Ring

    Latvian Authorities Bust Illicit Cigarette Ring

    Latvian authorities have dismantled an organized illegal cigarette operation, seizing 12.8 million counterfeit cigarettes, raw materials, manufacturing equipment, firearms, and luxury assets in raids centered in the Zemgale region. The cigarettes, packaged under brands including Marlboro, Winston, and NZ, were allegedly intended for the Latvian market. Police estimate the group’s activities resulted in more than €5 million in unpaid taxes. Two men have been arrested, a third suspect remains at large, and a pretrial investigation is ongoing.

    Source: Latvian Public Media

  • Philippines Urged to Lead ASEAN Effort Against Growing Illicit Tobacco Trade

    Philippines Urged to Lead ASEAN Effort Against Growing Illicit Tobacco Trade

    The Philippines has been urged to spearhead a coordinated ASEAN response to illicit tobacco trade as it assumes the bloc’s chairmanship, with government and industry representatives warning that tobacco smuggling has evolved into a sophisticated regional criminal enterprise. Speaking at the Third International Tobacco Summit in Pasig City, participants called for harmonized enforcement and regulatory strategies across Southeast Asia to prevent transnational syndicates from exploiting gaps between national markets.

    According to Euromonitor International, illicit tobacco in the ASEAN-6 markets—comprising the Philippines, Indonesia, Malaysia, Vietnam, Thailand and Singapore—resulted in an estimated $12.6 billion in lost government revenue over the past two years, with illicit volumes projected to grow from 145 billion sticks in 2025 to 170 billion sticks by 2028. Domestically, the Philippine Tobacco Institute estimated the country’s illicit tobacco market at P141 billion ($2.3 billion) and called for stronger regional collaboration to combat increasingly sophisticated smuggling networks. Industry representatives also advocated greater use of artificial intelligence tools to improve cargo screening and identify suspected tobacco smuggling operations. Japan Tobacco International regional anti-illicit trade director Valentin Dinca said the Philippines ranks among the strongest markets globally in combating illegal tobacco trade, while noting further opportunities to enhance enforcement capabilities and reduce illicit market activity.

  • Cambodians Uncover Two Counterfeit Cigarette Factories

    Cambodians Uncover Two Counterfeit Cigarette Factories

    Cambodian law enforcement authorities uncovered two counterfeit cigarette manufacturing facilities in Kandal province as part of a broader crackdown on organized crime and illicit activities. During raids conducted on June 22 in Svay Rolum and Setbo communes of Takhmao town, officers from the National Police General Commissariat and other agencies seized large quantities of counterfeit cigarettes bearing multiple brands.

    One of the factories was reportedly producing counterfeit versions of well-known international brands, including Marlboro, Winston, JPS Classic, Gold Mount, and Canyon. Five supervisors and workers were detained for questioning, while authorities confiscated evidence and sealed both facilities pending further legal proceedings. The discovery comes amid intensified efforts by Cambodian authorities to combat illicit manufacturing, smuggling and other large-scale criminal operations.

  • NZ Retailers Want Action as Illicits Climb

    NZ Retailers Want Action as Illicits Climb

    A retail industry report by FTI Consulting estimates illicit tobacco accounts for 33.5% of total consumption in New Zealand, up from 27.2% a year earlier, though anti-smoking advocates dispute the methodology and argue it does not align with tax revenue trends. Official data from Stats NZ shows no dedicated national study of illicit tobacco consumption, while Treasury figures indicate tobacco excise revenue fell to $1.47 billion ($852 million) in 2024–25, down about $2 million ($1.2 million) from the previous year.

    Customs and government agencies have formed an interagency action group with police and health authorities to target illicit tobacco supply chains, while enforcement penalties include up to six months’ imprisonment or a $20,000 ($11,600) fine for illegal sales. Australia is cited in comparison, where the Bureau of Statistics estimated 80% of nicotine products consumed in 2025 were illicit, up from 12% in 2017.

  • Indonesia Customs Seizes 8M Illegal Cigarettes

    Indonesia Customs Seizes 8M Illegal Cigarettes

    Indonesia Customs and police are investigating a smuggling network after seizing 8.3 million illegal cigarettes at the Merak–Bakauheni ferry crossing on June 11, preventing an estimated Rp7.9 billion ($442,000) in state losses. The shipment, valued at Rp12.68 billion ($710,000), included OK BOLD and imported Double Happiness cigarettes concealed under livestock feed on a truck traveling from Java to Sumatra.

    Authorities arrested the truck driver, who has been charged under Indonesia’s Excise Law, and say he has links to prior similar deliveries. Investigators are now working to identify the wider ownership, financing, and supply network behind the operation.