Hon Chairperson, South Africa faces an unprecedented challenge with regard to the tobacco industry with
the contribution it makes to our country. This is the prevalence of illicit cigarettes in the South African market.
They now make up to 42% of the formal tobacco marker, as at the beginning of this year. These illicit cigarettes are not a myth, and they are easily accessible in every corner shop in our country.
The South African Revenue Service lost about R8 billion in taxes due to illicit cigarette trade and consumption in 2018. The prevalence of illicit tobacco brand potentially puts 12 000 direct jobs at local tobacco farms at risk.
There needs to be a political will to clamp down on the illicit trade of cigarettes in our country, since government is fully aware of this but seems not to be doing anything about it.
We call for comprehensive tobacco control measures to be further instituted, to deal with this problem. Thank you.