Combatting Tobacco Smuggling: Effective Policy Solutions for Vietnam

Oct.16.2024
Combatting Tobacco Smuggling: Effective Policy Solutions for Vietnam
Vietnam authorities crack down on tobacco smuggling, seizing $7.4 million worth of products in effort to combat illicit trade.

According to a report from vov.vn on October 16, Thân Đức Công, Director of the Business Administration Department of the Vietnam Market Management Bureau, stated at a seminar on "Preventing Tobacco Smuggling: Appropriate Policy Solutions" that since January 1, 2024, market management authorities in Vietnam have inspected 132 new tobacco cases, handled 129 cases, confiscated 5203 items worth a total of 7.4 billion Vietnamese dong (about $3,000), and deposited over 19 billion Vietnamese dong (about $7,600) into the national treasury.


It is reported that the "Law on Prevention and Control of the Harmful Effects of Tobacco" in Vietnam has been in effect for 11 years since May 1, 2013. Shen Degong stated that the specific data on the economic losses caused by tobacco smuggling in Vietnam is not available, but according to publicly available information, the country loses about 10 trillion Vietnamese dong (approximately $40 million USD) annually. In terms of new types of tobacco, in addition to tax losses, there are also costs for managing and destroying confiscated items, which amount to billions of Vietnamese dong each year.


Lieutenant Nguyen Minh Tien from the Economic Police Department mentioned that the growing popularity of e-cigarettes and heated tobacco products is gradually infiltrating schools, negatively impacting students' health and lifestyles. Some smugglers even mix in marijuana to increase addiction.


In addition, Lê Thành Hưng, Director of Legal Standards and Quality Department, emphasized that although some research suggests that certain components in new tobacco products may be more harmful, there is still no clear evidence to indicate which tobacco products are safer. Therefore, the World Health Organization reminds the public to be cautious when it comes to claims that new tobacco products are less harmful.


Nguyễn Hồng Ngọc, Deputy Director of the Department of Social Affairs, concluded that there are still regulatory gaps in the management of e-cigarettes and heated tobacco products. The National Assembly's Committee on Social Affairs has pointed out issues with the lagging management, particularly the Ministry of Health's failure to provide timely comprehensive assessments and formal recommendations on new tobacco products.


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