The Potential Economic Impact of Plain Packaging for Cigarettes and Fine-Cut Tobacco in Ireland
The study, commissioned by Philip Morris International (PMI), measures the potential economic impact of plain packaging and forecasts that all legal segments of the tobacco market in Ireland could lose significant market share whereas the illicit market could grow by up to 40%. This is particularly alarming since the illicit market share in Ireland is already one of the highest in Europe. In 2012 about 3.7 billion cigarettes were sold in Ireland, 45% below the number sold in 2002. A key reason for this is a thriving illicit cigarette market.
The tobacco sector in Ireland currently accounts for about 5,500 jobs in manufacturing, wholesale, distribution and retail. It is a major driver of tax revenue of about €1.4 billion per annum.