Explosion in the levels of Smuggled cigarettes into Sweden

Monday, 11 June 2012
The proportion of smuggled cigarettes into the Swedish market has increased by 25 percent this past year.
After going down for a few years, according to a new report from then Swedish retail institute, HUI Research. In 2011 the proportion was 11.6 percent and this year shows that the increase has moved up to 14.5 percent.

The increase in smuggling has been blamed on tax increase on cigarettes made at year end. As addicts start looking for cheaper alternative, the product which is mostly inelastic, speaking in demand terms, forces them to look into the side of the black market.

“You miss nearly Skr2 billion in tax revenues. Another consequence is perhaps more serious, is that the availability is increasing, says Jonas Arnberg of HUI to Swedish television news program Rapport.

According to the reports, HUI has picked up 10 000 cigarettes from the streets in 29 different cities in Sweden. “From the material we have looked at how many cigarettes have Swedish warning and thus able to conclude how many of them are not from Sweden.”
By Scancomark.se Team

What do you think about this article and us? Please leave a comment!