Spain - cigarette smuggling after tax hike..

April 6, 2011 - The sale of smuggled cigarettes in Spain has soared since the government raised the tax rate on tobacco, a spokesman for Franco-Spanish tobacco producer Altadis said Monday.

Directly related:
November 6, 2010 -Spain's Biggest Ever Counterfeit Cigarette Network Dismantled..

The company estimates smuggled cigarettes accounted for around six percent of Spain's total cigarette consumption during the first three months of the year, compared to just one percent in all of 2010, the spokesman said.

The problem is especially high in the southwestern region of Andalusia as a significant amount of smuggled cigarettes enter Spain from the nearby British territory of Gibraltar, he added.

The prices of cigarettes in Spain have risen by around 40 percent since June 2009 due to a series of tax hikes, with a packet of Marlboro now costing 4.25 euros ($6.04) from 3.10 euros.

Altadis is a unit of Britain's Imperial Tobacco Group, Europe's second-biggest tobacco company. Altadis (Alliance Tobacco Distributors) born from the merger of Spain's Tabacalera and France's Seita SA (F.STA) state tobacco monopolies..;
Imperial Tobacco successfully concludes acquisition of Altadis...

Imperial Tobacco makes Davidoff, West, Drum, Golden Virginia and Lambert & Butler cigarettes while Altadis manufactures Fortune, Gitanes and Ducados.

Reference: Cigarette smuggling soars in Spain after tax hike: company, expatica.com, 4/4/2011

Spain - related news briefs:
Spain - hostelry sector to present 1 million signatures against smoking ban..;
Spain - the govt is serious - smoking ban holding this time..:
Spain - Spanish Hotel and Catering Association (FEHR) complains about loss of business..;
Palencia, Spain - hotels and restaurants protest anti-smoking law..;
Spain - anti-smoking law goes into effect Sunday, January 2, 2010.;
Spain - new smoking ban goes into effect January 2, 2011 - how many jobs will be lost??;
Paper: Spain - cost of each pack of cigarettes up to $150..;
Spain - doctors call for tobacco sales banned in vending machine in bars and from kiosks..;
Spain - the Basque Governing Council gives green to the latest anti-smoking bill..:
Spain - ban smoking legislation wins unanimous support in parliament..;
Spain - tougher smoking restrictions not until 2011..;
Spain - Indonesia`s clove cigarettes popular in Spain..;
Spain - health minister believes society mature enough to accept total smoking ban..;
Spain - cigarette sales are up - so what else is new!!;
Spain - zero tolerence smoking ban this year or next??:
Spain - in June 2010 government will present a law to congress to ban smoking in closed public places..;
Spain - government postpones debate on tougher smoking legislation..;
Spain - smoking ban to be implemented on January 1, 2010 still being delayed..;
Spain - still some hesitation on total smoking ban for country..;
Spain - hotel and catering industry protests plan to ban smoking next year..;
Spain - hopes next year to expand ban on smoking in enclosed public places..;
Spain - impact of 2006 law banning smoking in public places..;
Spain - ready for expansion and enforcement of Anti-Smoking Act..;
Spain - ready for full smoking ban in public places..;
Spain - ban smoking public places - a lot of talk no action..;
Spain plans gruesome images on cigarette packs sometime in future..