Cigarette sales grow by 2.2 percent in 2005

APA - Austria Presse Agentur
opublikowano: 20-01-2006, 15:30

Warsaw (Puls Biznesu) – In 2005, the Poles smoked 2.2 percent more cigarettes. This year, the trend will be completely different.

Warsaw (Puls Biznesu) – In 2005, the Poles smoked 2.2 percent more cigarettes. This year, the trend will be completely different.

In recent years, excise duty for tobacco products has been growing, so the sector has noted decreasing sales. However, in 2005, for the first time in three years, legal sales of cigarettes grew.

“In 2005, legal sales rose by 2.2 percent to 73.6 billion cigarettes against 72 billion in 2004. It was mainly due to cheaper cigarettes”, Jerzy Skiba, the CEO of the national association of tobacco industry KSPT said.

This year, however, the branch expects difficulties.

“Yet another increase of the excise duty amounting to 16 percent will have an impact on cigarettes sales. This year, they may fall by 1.5-2 percent”, Jerzy Skiba estimated.

“Increasing excise duty will also break the legal market, because of higher smuggling from the East where a cigarette pack is three times cheaper”, Luiz Heeren, the CEO of British American Tobacco Polska said.

It was the case in Hungary. According to Detlef Moede, the CEO of Imperial Tobacco Polska, the Polish government should negotiate with the EU to prolong the transition period for the implementation of the excise duty to the level of EUR 64 for 1,000 cigarettes.


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Podpis: APA - Austria Presse Agentur