Every fifth pack of cigarettes in Ukraine is fake
The practice of detaining counterfeit cigarette packs, which Ukrainians try to transport to EU countries, has become commonplace. However, there are enough fakes (tobacco products without excise duty) in the middle of the country. This year, 19.1%, that is, almost every fifth pack of cigarettes in Ukraine, was fake.
However, this is progress, because even last year, falsification accounted for 21.8% of all tobacco products on the market.
“Thanks to our joint actions: the Committee of the Verkhovna Rada of Ukraine on Finance, Tax and Customs Policy, DPS, law enforcement officers, the share of the illegal tobacco market decreased by 6.6% to 19.1%, which is also a lot. However, the trend is definitely pleasing.” – says the head of the committee Danilo Getmancev.
Most on the black market are cigarettes marked for sale in Duty Free shops or intended for export – 11.7% of the entire market turnover and more than half of counterfeit goods (data from Kantar’s 2022 report). This is followed by counterfeit products (6.6% of the market) and contraband (1.6%).
Previously, the largest producer of illegal tobacco products was “Vynnykiv Tobacco Factory” (Lviv Region). In 2022, 64% of all illegal products marked with duty free or intended for export accounted for this enterprise.
Currently, the leaders in the production of counterfeit products are Odesa and Kyiv. There are entire factories specializing in the production of counterfeit cigarettes.
“I have alarming news about the continued work of unlicensed illegals in Odesa and Kyiv. Yes, it is precisely that factory of the famous converter – the hero of our Committee meeting, whose activities the law enforcement officers cannot stop for more than a year despite the criminal case being opened… The situation has long crossed all limits of absurdity”, – says Mr. Hetmantsev.