Independent retailers have slammed the government’s claims to be combating the smuggling of tobacco and alcohol through the extra resources it has put behind it.
In a poll of our reader panel of independents, 84% think that the situation has not improved, with 66% believing their sales of cigarettes and alcohol are still adversely affected by smuggling.
One retailer in Shrewsbury said: “The situation has improved for me but this is nothing to do with the government. It’s more to do with the people doing it moving out of my area.”
Some felt that the situation had improved slightly, but only because prices of cigarettes in France had increased. The vast
majority of shopkeepers quizzed - 84% - believe the government should cut duty levels to remove the incentive for smugglers.
The poll makes it clear that tobacco poses more of a problem than alcohol for independents, with many reporting cigarettes being sold out of suitcases in pubs and clubs all over the country, not just near the south coast ports.
Some retailers were even willing to give addresses of where black market tobacco could be bought. One shop owner in Middlesbrough said:“I can tell when the smugglers are about, as my cigarette sales go down dramatically.”
Many retailers said that smuggling was perhaps too strong a word for some of the activity in tobacco, as sales dipped in the summer when people brought large quantities back from their holidays abroad.
However, some retailers did not agree the government should combat smuggling by reducing duty levels on alcohol and cigarettes because of the health issues.
The survey came as UK tobacco suppliers announced they were working with HM Customs and Excise to incorporate covert marks on packs to combat a booming market in fake cigarettes.
The government expects the industry to finance packaging changes. HM Customs and Excise published research showing 54% of significant UK Customs seizures in 2003-2004 consisted of fake brands, up from 15% in 2001-2002.
According to Customs, cigarette counterfeiting affects all the major brands. The majority of fake cigarettes are sold in major UK cities and ports and sourced from the Far East. Customs has invited retailers to phone in with information on cigarette smuggling and aims to raise consumer awareness of how harmful fake cigarettes can be.
Gail Hunt
Reader Panel: Independent retailers