bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Ceturtdiena 05.12.2019 | Name days: Sabīne, Sarma, Klaudijs
LatviaLatvia

Cigarettes contraband levels in Latvia remain the highest among EU member states

FaceBook
Twitter
Draugiem
print
(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RULatvia remains the unfortunate leader among EU member states in terms of cigarette contraband – 21.1% of the total amount, according to data from a survey performed by KPMG last year.

«With that, Latvia’s annual losses from unpaid taxes because of cigarette contraband reach approximately EUR 59 million. Although cigarette contraband volumes have declined 1.5% compared to 2016, Latvia remains the only country in the European Union with cigarette contraband exceeding 20% of total volume of cigarettes consumed in the country. Illegal cigarette trade volumes in Estonia and Lithuania were 11.3% and 17.8% respectively last year,» KPMG Latvia representatives say.

Cigarette consumption in Latvia was 2.28 billion units last year, which is 6.6% less when compared to 2016. The volume of contraband and counterfeit cigarettes in Latvia accounts for 21.1% of the entire consumption volume in the country, reaching 0.48 billion cigarettes in actual numbers. 71.3% of this volume can be called ‘white contraband’, 7.7% fall under the category counterfeit cigarettes, and 21% – other types of contraband products.

Belarus and Russia remain the lead when it comes to carrying contraband cigarettes to Latvia. 343 million cigarettes or 66.7% of contraband was carried to Latvia from Belarus in 2017. 51 million or 10% of contraband cigarettes were brought to Latvia from Russia. According to results of KPMG study, 37 million of all cigarettes consumed in Latvia in 2017 were counterfeit cigarettes. Contraband flow is the main reason for considerable cigarette price differences. For example, the average price of a cigarette pack in Latvia was EUR 3.03 in January, whereas in Belarus the price of a single pack is only 43 cents. In Russia the average price is roughly EUR 1.39.

Study representatives say that legally and illegally Latvia has exported 123 million cigarettes to EU member states. Cigarettes are mainly exported to Estonia (29 million units), Sweden (17 million units), Finland (17 million units), Germany (16 million units), and Britain (15 million units). It should be said that the average price of a cigarette pack in was EUR 3.24 in Estonia, EUR 6.12 in Finland, EUR 6.000 in Sweden, and EUR 8.83 in Britain.

A decline for cigarette consumption has been observed in Europe (including Switzerland and Norway). Compared to 2016, total consumption there declined by 3% last year. There was also a 7.4% decline for consumption of contraband cigarettes. The proportion of contraband cigarettes on the market in Europe exceeded 8.7% (44.7 billion units) last year, according to study representatives.


Leave a reply

VID officials will need to have spotless reputation, Saeima decides

From now on, officials of the State Revenue Service (VID) will need to have a spotless reputation. This is decided by Saeima’s amendments to the Law on State Revenue Service approved in the final reading on 5 December, as BNN was told by Saeima’s press-service.

Brazil at risk of losing vote in UN General Assembly because of high debts

There are risks that because of failure to pay its debts to the United Nations Organization, Brazil could lose its voting rights in the UN General Assembly, Reuters reports.

Strained Lithuanian budget is desperate for additional sources of revenues

With the adoption of the new year’s budget skidding, two major professional groups – teachers and doctors – have had this week their demand for higher salaries satisfied, thus deepening the holes in the shallowing budget. Where to scoop up money to patch all the gaps and satisfy all the demands? This week, Seimas, Lithuanian legislature, was in a frantic search for additional sources of revenues.

Estonian Police and Border Guard Board official detained on suspicion of embezzlement

Estonian Internal Security Service has detained a senior officer of Police and Border Guard Board at the South Prefecture on suspicion of document forgery and embezzlement of more than EUR 250 000, as reported by Estonian public media ERR.

Saeima supports government’s decision to extend state of emergency in Riga

On Thursday, 5 December, Saeima agreed with the government’s decision to extend the state of emergency with waste management in Riga’s administrative territory until 12 March 2020, as reported by the Saeima’s press-service.

Flu infection rates remain low in Latvia, but infection spread continues nonetheless

A total of 30 clinically confirmed flu infection cases were registered in Latvia’s healthcare institutions. Nevertheless, virus activity remains low in the country, according to the latest monitoring report on influenza and acute upper respiratory tract infections compiled by Disease Prevention and Control Centre.

France braces for intense protests over Macron’s intended pension reform

France shaken by this decade’s biggest protests in which trade unions urge other residents to oppose French President Emmanuel Macron’s intended pension reform, Reuters reports.

Marguerite Fund to sell Conexus shares to Japanese Marubeni fund

Shareholder in Latvian natural gas transmission and storage system operator Conexus Baltic Grid, Marguerite Fund plans to sell its owned 29.06% of Conexus shares to Japanese company Marubeni fund.

Saeima’s majority may move towards Riga City Council’s dismissal

The majority of Latvia’s Saeima may vote towards dismissing Riga City Council, according to unofficial information from LETA. There is also a more reserved position on this, but generally it is admitted that Riga City Council’s dismissal process will be initiated.

National Economy Committee invites reviewing Rail Baltica project’s management structure

«Considering the unstable situation and lasting stagnation with the project’s management, the National Economy Committee invites Transport Ministry to review the structure of RB Rail,» says Economic, Agricultural, Environmental and Regional Policy Committee chairman Jānis Vitenbergs.

«Riga’s residents overpay.» Kleins proposes terminating contract with Rīgas karte

Riga City Council vice-chairman and shareholder in municipal company LLC Rīgas satiksme Druvis Kleins, has ordered the company’s lawyers to assess the option of quickly terminating the contract with LLC Rīgas karte, as confirmed by Kleins, who represents For Riga! bloc in the city council.

Newspaper: Russia plans to deploy a motorized division in Kaliningrad next year

Russia has plans to deploy a motorized division in Kaliningrad Oblast, which shares borders with Poland and Lithuania, as reported by Russian government newspaper Rossiyskaya Gazeta.

Ex-president says conflicts with territorial reform surface where the rich refuse to share

The objective of the territorial reform remains unchanged – forming economically more efficient administrative territories. This means creating counties able to sustain themselves and develop economically. Conflicts with the reform usually surface in areas, where the rich refuse to share. There are also situations when the poor want to receive and do nothing on their own, BNN was told by ex-President of Latvia Valdis Zatlers.

October’s industrial production output in Latvia increases 3%

Compared to October 2018, industrial production output increased by 3 % in October 2019, according to calendar adjusted data at constant prices.

Iceland’s prime minister urges making welfare a budget priority

Iceland’s Prime Minister Katrin Jakobsdottir urges the government to focus on priorities that serve the interest of families and nature, not focus exclusively on economic growth, BBC reports.

NATO leaders meet in spite of tension to discuss security challenges

In spite of ongoing rows, leaders of NATO member states met near London on Wednesday, 4 December, to discuss important topics like cyber security and strategic challenges created by China, BBC reports.

Latvian government extends state of emergency with waste management in Riga

Although Riga City Council has stated multiple times that it is not necessary to extend the state of emergency with waste management, Latvia’s government has nevertheless decided to extend it until March 2020.

SEB Bank clients now able to use mobile devices to pay for goods and services

SEB Bank clients who have a mobile phone with Android OS are now able to pay for goods and services using their phones. It is possible to use mobile phones to for transactions up to EUR 150 in Latvia and abroad using contact-free terminals, the bank reports.

Kleins: we may have to review who receives public transport discounts in Riga

Considering the complicated financial situation at Rīgas satiksme public transport company, it may be necessary to review which groups of people receive discounts and benefits, said Riga City Council’s vice-chairman Druvis Kleins in an interview to Latvijas Radio on Wednesday, 4 December.

Latvian pupils’ mathematics score above average among OECD member states

Latvian pupils’ mathematics skills are reportedly higher than average among member states of the Organization for Economic Cooperation and Development, according to results of OECD PISA 2018.

Environment Ministry to decide on Riga City Council’s dismissal this week

Latvia’s Environment Protection and Regional Development Ministry’s lawyers will prepare a report this week on whether or not it is necessary to initiate dismissal of Riga City Council, as journalists were told by Environment Protection Minister Juris Pūce on Tuesday, 3 December.

Turkey upholds veto against NATO Baltic defence plans; Lithuania hopes for compromise

Ankara has reiterated its stance of blocking the adoption of updated Baltic defence plans in NATO as a bargaining chip in its attempts to label Kurdish groups in Syria as terrorists, according to the Turkish policy.

In spite of suspicions of fraud in VID, government promotes Kaspars Podiņš to general

Although multiple objections have been voiced in regards to Kaspars Podiņš’s work as chief of State Revenue Service’s Tax and Customs Office, Latvia’s Cabinet of Ministers has nevertheless decided to promote him to general.

Estonian pupils – best among European nations in PISA education test

Estonian pupils’ skills have topped the list of European nations in the latest ranking of average education results of the survey of Programme for International Student Assessment carried out by the OECD in 79 countries and economies.

Latvia’s ruling coalition officially agrees on Kazāks as chosen Bank of Latvia governor

Parties of the ruling coalition in Latvia have agreed to pick the central bank’s council member Mārtiņš Kazāks as their chosen candidate for the posting of governor of the Bank of Latvia, politicians told journalists on Tuesday, 3 December after a meeting of ruling parties.


Do NOT follow this link or you will be banned from the site!