WASHINGTON, D.C. – Late last week, the U.S. government announced its plan to combat the illicit tobacco trade. In support of the U.S. National Strategy to Combat Transnational Organized Crime, the U.S. Department of State launched “The Global Illicit Trade in Tobacco: A Threat to National Security,” a publication outlining the emerging negative impact of the illicit trade in tobacco and the government’s efforts to combat it.
The illicit trade in tobacco provides a lucrative revenue stream for organized crime and terrorists. Within the United States, the illicit trade deprives governments of tax revenues, causing approximately $3 billion to $7 billion in tax losses annually to individual states and localities.
The Interagency Working Group (IWG) to Combat Illicit Tobacco, a first-of-its-kind group that promotes a targeted approach to counter this domestic and international crime, discussed the publication at its December 2 meeting. Recognizing the importance of international cooperation, participants from Australia, Canada, Europol, France, Germany, Mexico and the United Kingdom joined representatives from the State Department, Department of Justice, Department of Homeland Security, Department of Health and Human Services, FBI, and other agencies. The groups discussed bolstering cooperation in order to more effectively counter this growing security threat.
The publication reported that “like other forms of illegal trade, the illicit trade in tobacco products, commonly referred to as cigarette smuggling, is a growing threat to U.S. national interests. Internationally, it fuels transnational crime, corruption and terrorism. As it converges with other criminal activities, it undermines the rule of law and the licit market economy, and creates greater insecurity and instability in many of today’s security ‘hot spots’ around the world. Illicit tobacco provides a significant revenue stream to illicit actors without the high risks and punishments associated with trafficking in narcotics or humans.”
The publication went on to note: “The illicit trade in tobacco products remains a lucrative revenue stream for many criminal actors and illicit networks. It deprives governments of billions in tax revenues while funding illicit activity. The trade is often both domestic and international in scope, requiring cooperation between local, state, federal and international entities to combat it.”