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'A great day for South Armagh Duty Free' - tobacco companies are not happy...

They say that the 40 cent increase on a packet of cigarettes will play into the hands of smugglers.

TOBACCO MANUFACTURERS HAVE reacted angrily to the 40 cent excise hike on a packet of cigarettes.

The price of a packet of cigarettes will hit €10 for the first time at midnight after the decision to add 40 cent to a packet of cigarettes.

That decision has been slammed by manufacturers and lobby groups, who all say it will play into the hands of criminals.

Igor Dzaja, General Manager for lobby group JTI Ireland said: “One in four of all cigarettes consumed in Ireland avoid Irish tax, with the Exchequer estimated to be losing €240 million annually at a time when taxpayers are being asked to pay water charges.

“This move is counterproductive, as the Exchequer risks losing revenue at the expense of illegal trade and criminality in local communities. It will be warmly welcomed by cigarette smugglers who already see Ireland as a lucrative target.”

Cigarette company John Player were equally damning, saying they were “taken aback” by the increase.

“This is not the time to be further incentivising the criminal community. A parallel illegal tobacco supply chain exists in this country that pays no tax at all to the Irish Exchequer. An illegal tobacco factory was only discovered by Enforcement Officers in May this year.

Smugglers will certainly party tonight. This is a great day for ‘South Armagh Duty Free’.

Health

However, the increase has been welcomed on health grounds.

ASH Ireland, an anti-smoking group, says that price is the most important factor in encouraging smokers to quit.

Dr Ross Morgan, Chairman of ASH Ireland said today that price increases needed to continue.

“If the Government is to achieve its objective of establishing a smoke-free Ireland by 2025 then it must consistently increase the price of tobacco.

“Significant inroads have been made in regard to smoking prevalence over the past 10 years with current levels at approximately 21.7%, down from 29% in 2004.

“It would be possible to reduce smoking levels by a further 10% at least in the next 10 years if there are consistent and significant increases in tobacco price, combined with other measures such as the introduction of standardised packaging”.

ASH say that they had hoped for a VAT cut on nicotine-replacement products.

In the chamber

Speaking in the Dáil tonight, Taoiseach Enda Kenny said that the government was “mindful” of the illicit tobacco trade.

Socialist leader Joe Higgins, however, called the government “hypocritical” on the issue.

Keep up with all of our Budget coverage here

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37 Comments
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    Mute Gavan Hogan
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    Jun 6th 2024, 6:39 PM

    I won’t be voting for any of those parties.

    143
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    Mute 9QRixo8H
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    Jun 6th 2024, 6:47 PM

    You’ll be glad to know that FG are topping the opinion polls.

    18
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    Mute Gavan Hogan
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    Jun 6th 2024, 6:51 PM

    @9QRixo8H: The real poll will take place tomorrow.

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    Mute P. J.
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    Jun 6th 2024, 7:37 PM

    @Gavan Hogan:
    Unfortunately Gavan, he might be right.
    Although I personally think SF will shade it nationally

    6
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    Mute Jen McC
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    Jun 6th 2024, 9:03 PM

    @Gavan Hogan: cool, I will.

    8
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    Mute Sean Stevenson
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    Jun 6th 2024, 5:42 PM

    Not one mention of crime. Antisocial behaviour is absolutely rampant in inner city Dublin. Drug dealing is quite literally on every street corner in Dublin 1. Kids on scramblers rallying up and down through traffic on bikes they’ve either robbed or bought with the proceeds of crime. Ffs the only party I see mention antisocial behaviour is those absolute loons in the national party. Why do I have to look to the far right ethnonationalists before I find a party that takes crime seriously? Can anybody recommend local councillors in the inner city that focus on crime reduction? Advocates for more prisons or reopening old ones? The soft touch approach has clearly failed for all to see.

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    Mute Sean Stevenson
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    Jun 6th 2024, 5:48 PM

    Oh wait, more fool me, just saw the paragraph where labour wants “wardens” handing out fines for antisocial beheviour. I’m sure that’ll stop it! LOL. How many fines were paid to councils for things like dog poop in the past 4 years? A quick Google search shows 1 (yes, one in 4 years). Why do they think fining people for this will help?

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    Mute Éamonn OKane
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    Jun 6th 2024, 6:10 PM

    @Sean Stevenson: but, how many were faced to clean up.before been fined?

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    Mute Mr “JonnieBoy” Johnson
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    Jun 6th 2024, 9:52 PM

    @Sean Stevenson: very well said and so true.

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    Mute Boyne Shark
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    Jun 6th 2024, 6:26 PM

    We all know how much a promise from a politician is worth. Why not check the promises they made previously and how they’ve lived up to them. Or not.

    69
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    Mute Jim
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    Jun 6th 2024, 5:58 PM

    More false promises that mean nothing to the people of Ireland

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    Mute damien leen
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    Jun 6th 2024, 5:59 PM

    Blowing up a school now Israel…what happened…miss the orphanage? Ah well not to worry, plenty time for that!

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    Mute damien leen
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    Jun 6th 2024, 7:03 PM

    @Ulysses 31: Ah bless…have I got to the racist thicko…good.

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    Mute Kush OMeara
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    Jun 6th 2024, 9:36 PM

    @damien leen: Maybe if Hamas stops building tunnels and hiding flammable ammo under schools and kids bedrooms. It’s either Israel blowing it up or Hamas firing those rockets at Israel ( good thing there’s the Iron dome) – I know what I would do.

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    Mute Brian Hunt
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    Jun 6th 2024, 6:28 PM

    Politics seem to attract poor specimens of society, ie, accomplished sleight-of-hand artists and polished liars. It’s best to vote them out regularly and not leave them too long in government!

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    Mute 9QRixo8H
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    Jun 6th 2024, 5:45 PM

    FF was the largest party since 2019 local election, will they continue to be the largest after tomorrow or will people vote change? #VoteTomorrow.

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    Mute Jack Hayes
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    Jun 6th 2024, 6:00 PM

    Apathy and cynicism will be the ruin of us all.

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    Mute Eric
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    Jun 6th 2024, 7:30 PM

    None of them mention ensuring economic growth or how much extra they will tax and misspend??

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    Mute Jerry LeFrog
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    Jun 6th 2024, 8:31 PM

    @Eric: economic growth is not something county councils are exceptionally renowned for. They should have more powers to attract investment though.
    As for taxing… County councils only collect commercial rates I think? Happy to be corrected if I’m wrong

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    Mute The next small thing
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    Jun 6th 2024, 7:54 PM

    It’s great that they can get rid or lower taxes and yet increase services

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    Mute John Moore
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    Jun 7th 2024, 12:21 AM

    Could probably have bundled most of the looney parties here into one doc to save time. That document could then more easily be put through a shredder and recycled into toilet paper or perhaps bedding for someone who maybe keeps rodents as a pet.

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    Mute Thesaltyurchin
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    Jun 7th 2024, 12:07 PM

    Lol! so a whole pile of nothing? not a road, bridge, train, etc. ‘empower local council’… to be against any national plans? It’s 2 steps back, if we’ve learned anything it’s that we cant solve the problems facing us, putting more people infront of these problems will make it even harder.

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