Smokers under fire as government considers higher duties

Government economists are seeking a near 15% increase in cigarette excise tax. The government explained these changes are necessary to make tobacco excise level equal to EU standards. The EU wants Poland to increase excise gradually to EUR 64 (zł.280) for 1,000 cigarettes by 2008. However, representatives of the tobacco sector fear that increasing the excise would see their sales plunge and, what's more, increase illegal activities around tobacco sales. In 2003 tobacco companies sold 72 billion cigarettes on the Polish market, 3 billion less than in 2002, mainly due to smuggling and the increasing popularity of cheaper rolling tobacco. (Puls Biznesu, p. 5) D.W.