CIGARETTE SMUGGLING INTO GHANA is an article by Issah Ali, Executive Director of Vision for Alternative Development (VALD), in the page 4 of the issue 88 of the FCA Bulletin (pdf) published sunday at the start of the INB3 conference in Geneva.
Ghana, considered as the trade gateway to West Africa, is among the target countries for cigarette smugglers in the West African sub-region.
During 2003-4,
about 15 per cent of the cigarettes
consumed in Ghana were smuggled in.
In 2004 alone, 10,911 reams (10 packs x
20 sticks) of assorted cigarettes having a
potential tax element of around
GH¢73,522.42 were seized and
destroyed by the Ghana Customs,
Excise and Preventive Service (CEPS).
In 2007, the volume of smuggled cigarettes was reduced to 1,590 reams.
One might ask whether the smugglers have changed strategies or if Ghana Customs, Excise and Preventive Service has adopted ways of effectively fighting cigarette smuggling into Ghana. If so, the authorities should expand seizures to point of sale.
In total, between 2004 and 2007, 18,848 reams of seized cigarettes of assorted brands (Rothmans, London King Size, Fine, Royal and Bond) were destroyed by CEPS headquarters.
In the first half of 2009, the country’s customs service has seized 416 reams of assorted cigarettes which are pending disposal.
Customs officials need to adopt sophisticated methods to intercept consignments of smuggled tobacco.
Border inspection in developing countries is difficult, coupled with inadequate logistics and resources. Customs agencies and authorities in Africa are committed to fight smuggling, using resources and appropriate technology and without the interference of the tobacco industry.
Additional international technical support, co-operation and exchange of expertise needs to be extended to Ghana and other developing countries in the fight against cigarette smuggling. This could be achieved through the timely development, implementation and enforcement of a strong protocol on illicit tobacco trade.
The protocol would cut governments’ revenue losses and help reduce the availability of cheap and affordable cigarettes to children, and reduce levels of addiction, disease and poverty in Africa.
We trust that a strong illicit tobacco trade protocol will enhance and consolidate the achievements of Ghana Customs, Excise and Preventive Service in combating the illicit tobacco trade and therefore generate additional revenue for the Ghanaian government.
Issah Ali
Executive Director Vision for Alternative Development (VALD)
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