Illicit Trade
Counterfeit & Contraband (C&C)
Market share of C&C in total EU tobacco consumption (2020)
9 %
EU tax revenue lost to C&C tobacco products (2020)
19.4
billion
An obvious correlation exists between the highest levels of illegal and non-domestic consumption (e.g. France, UK, Ireland, Poland and Finland) and the highest taxation rates applied to fine-cut toconsbacco, in comparison with cigarettes. The figures clearly show that any alignment of tobacco taxation, regardless of the products’ specificities, will prevent fine-cut tobacco from fulfilling its buffer function, leading to increased illegal trade of cigarettes and driving down government revenues.
Read more about the relationship between tax and illegal trade