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Similarly, South Africa reports the incidence of illicit cigarettes has doubled the past 3 years, accounting for 25% of the total market in 2012. [6] Public tolerance and acceptance of illegal cigarettes as a norm also factors into the continued purchase behavior among consumers, as they believe legitimate cigarettes are over-taxed and too ...
According to the latest South African National Health and Nutrition Examination Survey in 2012 only about 16.4% of South Africans smoked which is a substantial drop from 32% in 1993. [4] This decrease is attributed to legislation which led to restrictions in advertisement, and an increase tobacco prices.
A report by the Tobacco Institute of South Africa (which receives funds from BAT) found that PCC products comprise about 10% of the illegal cigarette market in South Africa. [ 30 ] [ 24 ] However, a more recent study by the University of Cape Town estimated that the company holds between 1 and 4% of the market share in South Africa and that ...
The cigarette-tax study authors add that because their tax rates drive people to purchase their smokes from illicit dealers, high-tax states suffered a revenue hit in 2022 of more than $5 billion.
Some countries also impose legal requirements on the packaging of tobacco products. For example, in the countries of the European Union, Turkey, Australia [82] Iran, [83] and South Africa, cigarette packs must be prominently labeled with the health risks associated with smoking. [84]
For example, in the countries of the European Union, Turkey, Australia [157] and South Africa, cigarette packs must be prominently labeled with the health risks associated with smoking. [158] Canada, Australia, Thailand, Iceland and Brazil have also imposed labels upon cigarette packs warning smokers of the effects, and they include graphic ...
PTG became the largest tobacco company in Africa. [9] By 2013 the PTG was trading in 27 African and Middle Eastern countries, with annual revenues in excess of $250 million. [10] The company was manufacturing cigarettes in nine African countries and had more than 20,000 employees. [3]
Participants try to hide their illegal behavior from the government or regulatory authority. [4] Cash is the preferred medium of exchange in illegal transactions, since cash transactions are less easily traced. [5] Common motives for operating in black markets are to trade contraband, avoid taxes and regulations, or evade price controls or ...