The presentation of the “2nd Report on illicit trade in the tobacco and e-cig sector" realized by Eurispes in collaboration with the Agromafie Observatory Foundation, with the contribution of Philip Morris Italy.
The Report was prepared by MACISTE table (Monitoring Agromafie Contrast Illicit Tobacco and E-cig Sectors), coordinated by the Foundation which annually involves the main players in the sector at national level in order to provide a complete picture of the criminal phenomenon in the sector of tobacco.
At the work tables participated representatives of the Police Force, the Customs and Monopolies Agency, the Investigation Directorate and the National Anti-Mafia Directorate, sector experts and members of the scientific committee of the Agromafie Foundation. Also present were several representatives of the competent Ministries, including the Ministry of Agriculture, Food Sovereignty and Forestry, the Ministry of Foreign Affairs and the Ministry of Business and Made in Italy.
Tobacco: 2,3%, the share of illegal trade in Italy
In 2022, Italy maintained a share of illicit trade substantially unchanged at 2,3% of national consumption, confirming itself as a best practice at European level. TO continental level, it is estimated that the consumption of illicit cigarettes was of 35,8 billion, causing governments to lose an estimated €11,3 billion in tax revenue, up 8,5% compared to 2021 (source: KPMG, 2022).
Il tobacco products market in Italy it is valued at around 20 billion euros, generating tax revenues in excess of 14,5 billion euros and employing approximately 50.000 workers.
The country is the main producer of raw tobacco in the European Union, contributing approximately one third of total European production and 1% globally. It occupies seventeenth place in world production, generating a total volume of approximately 45.000 tons per year.
Italy ranks last in Europe for illegal cigarette consumption
In Italy, the percentage of illicit cigarettes stands at around 2%, placing the country among the last places in Europe for diffusion of this phenomenon. In reverse, France (32,4%), Ireland (24,4%), England (21,2%) and Greece (20,9%) are at the top of the ranking.
Despite the relatively low position, it is important to maintain the threshold of attention to a phenomenon that causes significant fiscal losses, estimated at over 280 million of euros per year for the Italian state coffers.
The significant number of seizures also reflects the role ofItaly as a transit country to other European markets, but law enforcement agencies are engaged in effective enforcement action against illicit flows.
E-cigarette smuggling is on the rise
Smuggling is not limited to classic cigarettes or traditional tobacco products, but now also targets innovations such as electronic cigarettes, together with other items intended for smokers, such as filters and papers for ground tobacco. Crime has looked carefully at this new market which, according to Statista forecasts, will reach approximately $10 billion in the EU in 2023, representing approximately 42% of the global value. A figure that is growing compared to previous years (+75% from 2017) and which will continue to increase in the coming years (+8% by 2027).
An spinneret, that of the marketing of electronic cigarettes, supervised constantly by the Nas Carabinieri with control campaigns, part of a broader effort ordered by the Ministry of Health, aimed at guaranteeing the safety and authenticity of increasingly widespread products.
