Anti-Tobacco Law in Costa Rica Prompts Smuggling

From: Costa Rica Star

San Jose, Costa Rica – December 16, 2013. This past Thursday, officers from the Directorate of Police Intelligence (DIPOL) in Costa Rica intercepted a major shipment of contraband cigarettes in the capital city of San Jose. In total, 40,000 packs of cigarettes were confiscated, and officials estimate that perpetrators stood to make up to $100,000 from this shipment -depending on how they planned to move the illegal merchandise.

According to an official press release by Fuerza Publica (Costa Rica’s national police force), DIPOL officers had been following the movements of a suspect who is believed to be associated with a major international cigarette smuggling network. The brands seized come from China, India, Panama, and Paraguay. The suspect drove a fancy, late-model pick-up used to transport large boxes filled with the smuggled cigarettes from a stash location in the Cristo Rey neighborhood to downtown San Jose.

Officers on foot patrol had observed bulk buyers lining up in the vicinity of the Metropolitan Cathedral to purchase the black-market coffin nails, which were concealed in black garbage bags partially covered with candy. Fuerza Publica typically intensifies its surveillance of alcohol, tobacco and fireworks smuggling during the holiday season.

On Sunday afternoon, The Costa Rica Star spoke to a pulperia (convenience store) owner in Guadalupe, a northeastern suburb of San Jose, about the burgeoning tobacco smuggling trade in this country. The woman, who asked to not be identified by her name or business address, explains that smuggled cigarettes are some of her best-selling items:

“Ever since the new [anti-tobacco] law, I’ve had more customers buying single cigarettes for 100 colones (about $0.20) than before. They are forced to buy whole packs and pay more taxes now, but my customers don’t like to buy packs because they say they end up smoking more than they used to.

One of the best-selling brands is Seneca, which I think comes from Canada. I can sell those for 150 colones. There’s this brand from China, Silver Elephant, it’s awful and barely sells for 100 colones each. A couple of customers have told me that they stop smoking as long as the harsh Chinese cigarettes are in town. Then they hear that Seneca is back and take up smoking again.”

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