That's the point, though. The taxes are there to discourage use. Certainly smuggling from lower-tax or tax-free places is going to be expected in that scenario, but it doesn't mean that the higher taxes aren't working for the intended purpose. Sure, they're working less than they could have in the absence of smuggling, which you probably are never going to be able to fully stamp out, but that's ok.
cogman10|4 months ago
It doesn't look like it's so much a tax issue as it is a labor issue. (Well, it is a tariff issue and tariffs are taxes).
My guess is that they aren't growing enough tobacco to meet local demand which has ultimately kicked up prices.
echelon_musk|4 months ago
EDIT: Wikipedia would indicate there is tobacco production within Europe. https://upload.wikimedia.org/wikipedia/commons/8/83/TobaccoY...
kelnos|4 months ago