Irish Cigarette
Sales And Smuggling Boom
(29/03/07)
They said the smoking ban would lead to
a drop in cigarette consumption in Ireland, but recent figures show the
exact opposite is happening. Cigarette manufacturers and smugglers have
seen a huge boom in business since the smoking ban was introduced.
Two
weeks ago almost every single passenger on a flight arriving at Dublin
Airport had their baggage confiscated by customs officers. Contained in
the baggage were cigarettes the passengers were attempting to smuggle
into Ireland to the value of almost €500,000. It is believed the plane
load of smugglers were working for an organised Eastern European crime
syndicate. The seizure brings to €2.7 million the value of cigarettes
seized at Dublin Airport so far this year. Earlier in the month customs
officers at Rosslare Port made their biggest seizure of the year when
over €300,000 worth of cigarettes were found concealed beneath a false
floor of a refrigerated truck. The potential loss of revenue to the
government from these seizures is almost €2.5 million
Custom officers use the general rule of thumb that they only manage to
intercept at most 10% of smuggled contraband. From figures so far
released this year this indicates that around €30 million worth of
cigarettes are smuggled into Ireland every quarter making it an industry
worth in access of one billion euro annually with a loss amounting in
the region of a billion euro to the Irish exchequer.
Despite the huge upsurge in cigarette smuggling and numbers of Irish
going abroad on 'smoking excursions' to stock up on legally purchased
cigarettes to avoid paying for excessively priced ones at home, tobacco
manufacturers are continuing to report growth in Irish sales. Gallahers
who account for half the Irish market reported a 0.2 increase in sales
for Ireland last year at a time it saw a general decrease in sales for
the rest of Europe.
Prior
to the smoking ban, Ireland in line with trends elsewhere had seen a
downward spiral in cigarette consumption. Whereas this trend has
continued downward in the rest of Europe, Ireland has seen a reversal
since the imposition of the ban which also heralded a regime of hard
hitting multi million euro anti smoking campaigns, draconian fines and
punishments for breaches of anti smoking laws. The smoking ban we were
told would lead to a decrease in cigarette consumption and be of great
benefit to the health of the nation. It has certainly been extremely
healthy for the bank accounts of share holders in Ireland's tobacco
companies and gangs engaged in smuggling.
Unable
to advertise to their target market or promote their products through
sponsorship cigarette companies had watched helplessly as profits and
sales decreased year on year as western consumers were persuaded to turn
their backs on tobacco. How delighted they must now be to see this trend
reversed in Ireland thanks to a draconian smoking ban backed up with
jackboot tactics and a multi million euro hysterical anti smoking media
campaign demanding people stop smoking. The proponents of the smoking
ban and attendant campaigns pat themselves on the back claiming a great
success. A great success for who exactly ? A success certainly for the
cigarette barons be they manufacturers or smugglers as demand in Ireland
has increased against international trends so much so it has spawned a
smuggling industry now worth a Billion Euro a year.
The
anti smoking campaigners claim smoking is more addictive than heroin.
Yet they peruse prohibition and dictatorial policies guaranteed to make
it more attractive especially to one group in particular, the young. A
telling statistics to have emerged is that in 2002 surveys showed that
20% of teenagers aged 15-17 in Ireland classed themselves as smokers.
This figure in 2007 has now risen to almost 25%. The tobacco makers and
smugglers can sleep sound in the knowledge demand will not be decreasing
any decade soon for their product in the smoke ban nation of Ireland.