ECOWAS countries earn N29.6bn tobacco taxes in 2012

The 15-member countries of the Economic Community of West Africa States (ECOWAS) may have earned $187 million, about N29,6 billion, from tobacco taxes, excises and Value Added Tax in 2012 alone.

Disclosing this to DigitalSENSE Business News (DSBNews) in response “What would a world with no legal tobacco industry really look like?” to the World No Tobacco Day 2013 commemorate on Wednesday, May 29, the British American Tobacco (BAT) said that in West Africa alone, governments across the region earned $187m as tobacco related taxes in the last year.

The Group Head, Corporate and Regulatory Affairs, BAT, Mr. Kingsley Wheaton, who endorsed the response, affirmed that “In West Africa alone, the tobacco industry has generated more than $187million for governments, through income tax, excise and VAT on tobacco products in 2012.”

He also said that globally, governments have generated $200billion per year in taxes related to tobacco.

“That’s the figure generated in tobacco taxes globally each year, more than seven times the profit of the global industry,” Wheaton declared.

As said by him, industry support to tackle tobacco trafficking and associated criminality, has resulted in working closely with governments and law enforcement agencies to tackle illegal tobacco. 

He also said that Europol, Interpol and the FBI have stated that among those who traffic illegal tobacco some also deal in money laundering, drugs, human trafficking and fund terrorist organisations. 

“In West Africa, we collaborate with various government agencies including custom agencies, consumer protection agencies and the Joint Port Control Unit (JPCU) in tackling illicit trade in tobacco,” he said.

 Pointing out that it’s a worrying fact that illegal cigarettes have been found to contain dead insects and animal excrement. 

“We work tirelessly to manage the integrity of our entire supply chain from the seed that’s put in the ground through to the packets of our products sold on the shelves,” Wheaton said.

In addition, BAT said millions of employees would lose their jobs and have their livelihoods impacted since BAT create jobs and support business in West Africa through its own workforce and through entrepreneurs and employees involved in the supply chain.

“Our development of the industry has led to economic opportunities for hundreds of thousands of West Africans; from the workforce of our distributors, wholesalers and retailers, to suppliers  of materials such as tobacco leaf farmers, and providers of services such as haulage,” he explained.

Remmy Nweke/ DigitalSENSE Business News (DSBNews)

 

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