Belgium is the second most-affected country in Europe when it comes to the illegal smuggling and production of counterfeit cigarettes.
A recent study found that more and more illegal cigarettes are being produced in Belgium. Furthermore, a growing quantity of counterfeit tobacco products is being brought into the country, the Customs and Excise ant-counterfeit and piracy association NANAC (No to Counterfeiting and Piracy) told Belga News Agency.
Most of the counterfeit cigarettes that were not produced in Belgium come from Vietnam, Malaysia, China, Egypt and the United Arab Emirates.
€10 billion annual loss
€158 million in illicit tobacco was seized last year, up from €49 million two years earlier. Just last week, customs forces arrested four cigarette smugglers and seized €5.636 million in counterfeit Richmond brand cigarettes at a warehouse in Beernem. The products were destined for the UK.
The seizure amounts to €1.8 million in evaded excise duties and VAT. In total, six factories were dismantled in Belgium so far this year; in 2021, eight were shut down.
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Research shows that counterfeiting accounts for as much as 7 to 10% of the global economy or €450 billion. For the entire European Union, the trade in counterfeit cigarettes represents an annual loss of €10 billion. Last year, 74 illegal tobacco factories were dismantled in the EU.