From: Wall Street Journal
By Veronika Gulyas
BUDAPEST—Hungary’s parliament Monday introduced a state wholesaler in the tobacco trade and continued working on legislation designed to introduce new taxes on the sector, in a controversial move that has led to public protests.
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The government’s plan may increase the size of the black market in Hungary, said Lorant Dezso, the head of the tobacco lobby group.
The size of Hungary’s black market for tobacco more than doubled on the year in 2013, when the government restricted retail trade, to 11.8% of total consumption, a study by research firm GfK said.
