In news that is critically welcome by the duty free industry, members at the World Health Organization’s (WHO) fourth Meeting of the Parties (MOP4) for Illicit Trade Protocol have agreed that the duty free industry is not a significant channel for illicit trade in tobacco products.
The decision, made by Parties to the Protocol during MOP4 at WHO’s Geneva headquarters on November 24-26, means discussions are being closed on duty free being an important source of such trade.
The Duty Free World Council (DFWC), which along with other shareholders in the duty free industry has been gathering data in support of the security of tobacco in the duty free channel, welcomed the news that the evidence-based research called for under the Protocol did not identify duty free as a significant channel for illicit trade in tobacco products.
DFWC President Sarah Branquinho
In its official statement, the DFWC said:
The Duty Free World Council has noted the decision at the Fourth Meeting of Parties to the Illicit Trade Protocol to conclude substantive discussions on the relationship between duty free and illicit trade.
In a decision taken at MOP4, Parties to the Protocol concluded that the evidence-based research called for under Article 13.2 of the Protocol did not identify duty free as a significant channel for illicit trade in tobacco products. The Parties also noted that most Protocol Parties have implemented measures to control the sale of duty free tobacco products and prevent their diversion into illicit trade channels.
Parties to the Protocol determined that no further discussion on duty free will be required at subsequent Illicit Trade Protocol meetings, substantively concluding the topic.
Commenting on the decision taken in MOP4, Duty Free World Council President Sarah Branquinho said:
“On behalf of the wider travel retail industry, the Duty Free World Council welcomes the decision by Protocol Parties to close this line of debate.
“The entire industry – associations, retailers, suppliers, airports – has pulled together to gather the robust evidence to demonstrate the integrity of our industry channel.
“As an industry we have been consistently clear – our supply chain is one of the most trusted, transparent and secure in the world. Our retailers and suppliers work closely with governments and regulators everywhere that duty free is sold to ensure that illicit trade cannot gain a foothold in our channel.
“Our sector will continue to work with customs and enforcement agencies around the world to ensure compliance, identify risks and uphold system integrity.”
Click here for the full MOP4 statement.
