Table 2.

Price, taxation, and smuggling

• Studies have clearly shown that all smokers—and particularly young smokers—are sensitive to the price of tobacco products

• Geographic variations in the “real” or absolute prices of tobacco products, however, soon lead to the emergence of considerable smuggling

• Ample evidence shows that organised crime is deeply involved in smuggling, and detailed studies of international movements of tobacco products have led to questions about possible connivance in these activities by major tobacco manufacturers

• Local detection and enforcement activities can never hope to deal adequately with such problems

• Technical solutions such as unambiguous, tamper-proof marking of packets of tobacco products to indicate their origin and tax paid status will form only part of the answer

• Coordinated international action is needed to tackle smuggling