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How to end tobacco use for good: What SA's Covid-19 tobacco ban has taught us

Local tobacco companies’ market share quadrupled during the country’s temporary sales ban in 2020, overtaking Big Tobacco’s pre-ban near-monopoly on South Africa’s tobacco industry.
The sales ban did cause people to smoke less and prevented more than 2 000 tobacco-related deaths, but at the expense of progress made to curb illicit trade in the country by the South African Revenue Service.
Hiking excise taxes would probably have had the same results and the taxman would not have lost R5.8-billion.
Local tobacco companies were coining it during South Africa’s tobacco sales ban - their share of local sales quadrupled during the temporary ban put in place in 2020, shows an analysis by researchers at the University of Cape Town’s Research Unit on the Economics of Excisable Products, REEP. ....

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Retailers assisting the black market for cigarettes – Study

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Nearly three-quarters of retail outlets in Free State, Gauteng and Western Cape are selling illicit cigarettes: Ipsos.
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Image: Suzanne Plunkett, Bloomberg News
A study commissioned by British American Tobacco SA (BAT) â said to be free of interference from BAT â suggests the cigarette market has been given over to black marketeers, with four out of five outlets surveyed in the Free State offering smokes at below the minimum collectible tax (MCT) of R21.61 for a pack of 20.
Any pack of 20 cigarettes selling below the MCT of R21.61 is deemed to be illicit. Some packs were selling for as little as R10 and even R6 â meaning no tax could have been paid on these cigarettes. ....

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Cigarette war goes radioactive

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app instead?
Cigarette war goes radioactive
Tax justice group says two of every three cigarettes sold in SA is illicit, robbing the fiscus of R8bn a year. Small tobacco manufacturers say the group is a front for Big Tobacco.
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It seems forcing smokers to get their fix illegally during the ban has normalised the act among retailers and consumers. Image: Shutterstock
A new report by Tax Justice SA (TJSA) finds that two of every three cigarettes sold in SA are illicit, making SA possibly the worldâs largest black market for cigarettes.
This is costing the fiscus R8 billion a year. A TJSA researcher visited 43 retail outlets in four different cities and in all but one of these outlets was able to buy cigarettes for less than R20 a pack. ....

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