WCO throws out Poland's suit against heavy-weight cigarette manufacturers
The World Customs Organization (WCO) has ruled against Poland in the
dispute with tobacco giants Philip Morris, American Tobacco and Reynolds.
Poland's Central Customs Office (GUC) had accused the tobacco firms of
deliberately importing blends of both processed and unprocessed tobacco in
an effort to classify the product in a lower customs-duty category.
According to GUC, the mixture, which contained 70% and 30% unprocessed and
processed tobacco respectively, was levied a duty of 30%, stipulated for
the former, instead of 230% for the latter category. Tobacco firms
allegedly evaded paying tariffs of up to zl.720 million by resorting to
this practice. Philip Morris legal counsel Robert Wyszynski says the
decision of the WCO is a vindication of his company's importing practices
it has consistently applied since 1973. He also called on Poland to
urgently adapt its customs practices to those recommended by the WCO,
which call for, among other things, allowing the importation of tobacco
mixtures. (Rzeczpospolita, p.B3