The Uganda Revenue Authority (URA) has initiated collaboration with the British American Tobacco (BAT) team to address the issue of illicit cigarettes in the market. This partnership aims to reduce the prevalence of smuggled tobacco products and enhance revenue generation.
Acknowledging BAT’s significant role in revenue generation, Commissioner General John R. Musinguzi expressed appreciation for the collaboration in tackling smuggling. He emphasized the importance of sharing information, including facts and figures, to help URA combat the widespread availability of illicit cigarettes, a major contributor to revenue leakage.
Musinguzi underscored the necessity of a public awareness campaign against illicit cigarettes and urged the BAT team to share intelligence reports. This collaboration aims to monitor progress, identify areas for improvement, and enhance the effectiveness of efforts against illicit trade.
Customs Commissioner Abel Kagumire highlighted URA’s achievements in shutting down illicit activities, citing the interception of cigarettes in numerous shops and the closure of the Atiak sugar route, a significant entry point for smugglers, by the Uganda People’s Defense Force (UPDF).
However, Kagumire noted a persistent challenge with flavored cigarettes and chewing tobacco, banned but still being sold in the market.
Speaking at URA offices in Nakawa, Stephen Kaboyo, the Director of British American Tobacco, expressed gratitude for URA’s customs enforcement support. He affirmed readiness to continue the dialogue and work collaboratively with URA.
During the meeting, BAT expressed interest in partnering with URA and sought support in managing production. They highlighted that a substantial percentage of illicit products originate within the country, impacting their profitability.
