Tobacco: smuggling -38%, price risks and energy crisis

EU, Gentiloni:

(ANSA) – ROME, JUL 11 – Smuggling of traditional cigarettes in Italy is decreasing: the phenomenon is down by 38% compared to 2020. But inflation, energy crisis, price increases and conflict in Ukraine represent a risk. The data emerge from the Report on smuggling in Italy made by Intellegit with the contribution of BAT Italia. Our country ranks 27th out of 30 in the European ranking on the incidence of illicit consumption, with a share of 2.2% against 29% and 24% in France and Greece. Although consumption of illicit products decreased on average (3%, mid-2016), there was a slight increase in the second half of 2021, which could indicate a recovery in the illicit market. Cigarette prices also contribute. In 2021 in Italy the average cost is just over 5 euros, 16 cents more than in 2020. Illicit traffic of new generation products (as well as consumption) is growing, especially online and on foreign sites: stick THP and eLiquids cartridges.

Geographically, the consumption of smuggled cigarettes is extended to different areas of the country. Udine (33.8%) and Trieste (21.5%) are at the top for the highest incidence of products from abroad, and smuggling from Eastern Europe and the Balkans is growing, from which 33% of flows originate . Over half of the tobaccos seized are illicit whites, lawfully produced in non-EU countries. The largest number of seizures is in Campania, but also in the port areas of Friuli and Liguria and in Lombardy.

This year in the report also the first survey on the perception of tobacconists. A “widespread presence of the illicit market” emerges, as well as a damage to revenues of approximately 13.7% on traditional cigarettes and 12.8% on new generation products. About a third of tobacconists fear a growth in the phenomenon, most of them see effective awareness campaigns. (HANDLE).

Source: Ansa

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