Austrian Tobacco Industry Fears Cigarette Smuggling

Politics ♦ Published: January 10, 2011; 21:01 ♦ (Vindobona)

According to the presently Japanese Austria Tabak, 20% of cigarettes are already smuggled. The tobacco tax is expected to increase this trend even more.

Austrian Tobacco Industry Fears Cigarette Smuggling / Picture: © Vindobona.org

Since the beginning of the year, cigarettes in Austria are more expensive by 20 cents per pack, because the government has increased the tobacco tax for budget consolidation. The government hopes to for € 100m in tax revenues.

The tobacco industry has doubts about this budget plan. Already an estimated 20% of cigarettes consumed in Austria are smuggled merchandise. This is…