Trade Group Urges Changes to Tobacco Product Packaging
The International Tax Stamp Association (ITSA) is calling for improvements to the EU Tobacco Products Directive (TPD), which is currently under mandatory review. Among other things, the association says the TPD should be more prescriptive about tobacco pr
The International Tax Stamp Association (ITSA) has called for improvements to the EU Tobacco Products Directive (TPD), which is currently undergoing a mandatory review. Among other things, the association argues that the TPD should be more prescriptive regarding security features for tobacco products, in order to avoid too many different features being adopted by individual countries and creating confusion. The tobacco industry’s responsibility should be limited to ordering, applying, and reporting the use of tax stamps, while all other responsibilities should be reassigned to independent suppliers selected by government authorities.
ITSA also recommends that the legal language of the EU TPD recognize the importance of tax stamps. Therefore, any new version of the directive should encourage member states that do not currently use them to adopt legal instruments introducing tax stamps, and, as a transitional measure, introduce security labels designed and procured by the issuing country’s competent authority. Another recommendation from Juan Yanez is that the language used to describe tax stamps should explicitly require them to include traceability functions.
This is an essential tool for system security and complements the unique identifiers directly printed or marked on product packaging. It also improves the tracking of tax stamp issuance, ensuring tighter control and limiting the impact of any fraudulent activity.
ITSA President Juan Carlos Yanez Arenas said: “Now, more than ever, it is time for all of us to come together to combat illicit trade and tax losses.” “With the tobacco traceability requirements of the WHO FCTC Protocol taking effect in 2023, parties to the Protocol have two years to implement these systems, and we can help them achieve this by providing practical guidance based on proven best practices. We have identified the best features of the EU TPD, as well as areas that can be improved, and these can be used to deliver a world-class program that benefits everyone in the tobacco industry.”
ITSA also recommends that the legal language of the EU TPD recognize the importance of tax stamps. Therefore, any new version of the directive should encourage member states that do not currently use them to adopt legal instruments introducing tax stamps, and, as a transitional measure, introduce security labels designed and procured by the issuing country’s competent authority. Another recommendation from Juan Yanez is that the language used to describe tax stamps should explicitly require them to include traceability functions.
This is an essential tool for system security and complements the unique identifiers directly printed or marked on product packaging. It also improves the tracking of tax stamp issuance, ensuring tighter control and limiting the impact of any fraudulent activity.
ITSA President Juan Carlos Yanez Arenas said: “Now, more than ever, it is time for all of us to come together to combat illicit trade and tax losses.” “With the tobacco traceability requirements of the WHO FCTC Protocol taking effect in 2023, parties to the Protocol have two years to implement these systems, and we can help them achieve this by providing practical guidance based on proven best practices. We have identified the best features of the EU TPD, as well as areas that can be improved, and these can be used to deliver a world-class program that benefits everyone in the tobacco industry.”
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