By Irene Kabakama
Uganda Revenue Authority recently engaged the British American Tobacco (BAT) team on how they can collaborate to reduce the prevalence of illicit cigarettes on the market.
The Commissioner General John R. Musinguzi recognized BAT’s significant contribution to revenue generation and appreciated the partnership to eliminate smuggling.
He emphasized the importance of sharing information, including facts and figures to enable URA curb the prevalence of illicit cigarettes on the market which is a major cause of revenue leakage.
Musinguzi highlighted the need for a publicity campaign against illicit cigarettes and requested the team to share intelligence reports on actions taken to monitor progress and identify areas for improvement.
Customs Commissioner, Abel Kagumire explained that URA has made significant progress in closing down illicit activities.
“Cigarettes have been intercepted in many shops and the Uganda People’s Defense Force (UPDF) has been able to close the Atiak sugar route which was a major entry point for smugglers,” said Kagumire.
However, Kagumire on the other hand, noted that the biggest challenge has been with flavored cigarettes and chewing tobacco that were banned but are still being sold in the market.
Speaking at URA offices in Nakawa, Stephen Kaboyo, the Director of British American Tobacco, expressed his appreciation to URA’s customs enforcement for their support and willingness to cooperate in closing the gap in illicit cigarettes. He expressed his readiness to continue the dialogue and work with URA.
During the meeting, British American Tobacco expressed interest in partnering with URA and requested their support in managing production, as a large percentage of illicit products come from within the country, affecting their profitability.
