Brussels, 26/03/2009 (Agence Europe) - On Tuesday 24 March 2009, the European Parliament adopted an advisory report by Zsolt László Becsey (EPP-ED, Hungary) on the draft directive on excise duty for cigarettes and loose tobacco for roll-up cigarettes. The EP backs the desire of the Economic and Monetary Affairs Committee to see an increase in duty on tobacco products in order to discourage smoking and to ensure the proper functioning of the Internal Market (see EUROPE 9853). The MEPs say that a smaller increase should be made than that initially suggested by the European Commission (see EUROPE 9705), calling for the following minimum excise duty: €64 for 1000 cigarettes from January 2012 onwards, and €75 from January 2014 onwards (the Commission suggested a minimum of €90 in 2014); €43 per kilogramme for rolling tobacco from 2012 onwards, and €50 per kg from 2014 onwards (the Commission suggested a minimum of €60 in 2014); €12 per kg for cigars and cigarillos and €22 per kg from 2014 onwards.
The MEPs rejected an amendment tabled by the PES group calling for higher taxation on cigarettes (at least €80 per 1000 cigarettes from January 2014 onwards, €13 more duty than the January 2010 level) and on rolling tobacco (€55 per kg from 2014 onwards). Another amendment was also rejected. It was lodged by more than 40 MEPs with the aim of delaying until 2015 the entry into force of higher taxation on cigars and cigarillos in France and Germany because of the large numbers of cigars and cigarillos bought in the two countries. In the EU, cross-border sales account for up to 13% of total tobacco sales, some 4 to 5% imported legally and 8 to 9% illegally. Rolling tobacco excise duty is up to 30% less than cigarette excise duty, which encourages some people to start smoking roll-up cigarettes in order to cut costs. (M.B./transl.fl)