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Hard Numbers

Smoke signals

Smoke signals
Natalie Johnson
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Consumption of illegal cigarettes into the European Union is up roughly 10% over the past decade, according to the bloc’s estimates. The “underground” cigarette industry is surging as European countries raise tobacco taxes: Belgium, for example, recently increased the excise duty on a 20-pack of cigarettes by €0.56 ($0.64). Meanwhile, one report by Bloomberg found that a clandestine factory in Belgium churns out as many as 1 million counterfeit or fake cigarettes a day. The resulting tax losses cost the EU roughly $19 billion last year.

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