From: Retail Insight
For those observing the cigarette sector in the UAE in recent times, the recent announcement from the government that a new digital scheme for cigarette packs is to be introduced from 2019 should come as no real surprise.
In the wake of a 2017 GCC led doubling of the excise duty rate to 100%, there were calls for the government to be aware of the potential for increased sales of illicit whites to those consumers unable or unwilling to pay the significantly increased cost of a legally purchased pack of cigarettes. This is particularly the case given that illicit whites – usually imported from Iraq, Syria and Iran – already have a firm hold on the sector .