Fake And Imported Cigarettes Are Hurting Local Business reports Cigarette Affiliate Program

The rise in taxes has seen many people turn to the black market for their cigarettes
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California, CA (prHWY.com) November 29, 2012 - San Francisco, CA- Co-owner of the MI Earle in Newport St., Old Town, Rosemary Earle has said that she believes her store is being taken

advantage of by illegal tobacco sales in Swindon. Earle claims that the illegal activity is worsened by frequent Government tax increases.

With a new idea floating around to make cigarette packaging more plain, Earle says she believes the idea will only help the black market

because everything today is based on price. Cigarettes represent a huge profit for the government, the tax must always go up, therefore people

will start to look elsewhere for cigarettes, according to Earle.

The shop owner believes that prices have gotten so out of control that people are resorting to the purchase of "fake or imported goods," which

can include things like fiberglass and rat droppings. Earle thinks that almost 30% of revenue is lost because of the imported and fake

cigarettes, but that the authorities, "are unable to deal with it because once one shop closes another opens."

Mrs. Earle has run her store for 38 years with the help of her husband Myles, and says she has seen with her own eyes the decrease in profit

due to illegal purchasing. She says that the problem compounds itself because a lot of profit comes from people coming into the store, buying

cigarettes, but then buying other stuff like food just because its there. If that extra stuff is eliminated, it hurts even more.

The decrease in sales has also inhibited the store from buying large bulk packages of cigarettes because they do not know if they will ever

sell. This means that the price goes up and cash is necessary up front in order to purchase smaller quantities.

Mrs. Earle knows that if plain packaging is introduced into the equation, it will make it that much easier for counterfeiters to produce fake

packages, which will further lead to the decrease in profit for stores like MI Earle.

"The increase in tax will lead to more people buying counterfeits or imports. People will end up smoking more for the simple reason they buy

black market cigarettes in greater quantities," said Earle.

The Swindon Council and the Wiltshire police are working hard to help fight the battle against fake or imported cigarettes.

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Tag Words: cigarette
Categories: Business

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