Illegal cigarettes sales on the decrease in Rochdale

Cigarette

A leading market research company, MSIntelligence which helps businesses around the world to protect their brands and intellectual property and provides companies with business intelligence has conducted a survey which indicates that the trade in non-domestic or illicit cigarettes in Rochdale appears to be decreasing.

The survey is based on a collection of discarded cigarette packet from streets and ‘easy access bins’ in the borough and shows that the use of illicit cigarettes has gone from an estimated 19.7% in the second quarter of 2011 to 14.0% in the second quarter of 2012. This appears to be at odds with national trends as the survey also shows that the level of non-duty paid cigarettes increased nationally from 10.6% in the second quarter of 2011 to 12.4% in the second quarter of 2012.

That means that 14% of all the cigarette packets found in the Rochdale survey were tax paid or non-tax paid cigarettes from other countries or else they were counterfeits.

The survey does not include hand-rolled tobacco, for which HM Revenue and Customs (HMRC) estimates that as much as half of UK consumption is sourced on the black market. Either way less they were avoiding paying duty to the exchequer. HMRC estimates that it loses up to 3.1 billion pounds a year in tax revenue because of illegal tobacco sales.

MSIntelligence says that counterfeit cigarettes are often made in unsanitary conditions which can affect their content. Cigarettes recently intercepted by the UK Border Agency contained asbestos, rat droppings, human faeces, dead flies, and mould among other substances.

The company also believe cheap illicit cigarettes sold on street corners and in 'fag houses' means that anybody can have access to them and criminal gangs are known to routinely target children.

The Government is currently consulting on plans to introduce compulsory plain packaging to all cigarette packs which, according to law enforcement agencies, will only make it easier for counterfeits to be produced. Last month, the Australian government announced that all smoking products will have to be sold in plain packaging.

After a number of years in decline, there has been a sharp rise in the use of illicit cigarettes. This is believed to be due to a downturn in the economy as more people turn to illegal and cheaper smoking products.

Modern print technology has also made it far easier and cheaper for counterfeiters to copy original packaging materials.