M'sia loses M1.9bil a year in revenue due to cigarette, liquor smuggling
Published on: Thursday, March 05, 2015
Pahang: The country loses about RM1.9 billion in revenue annually as a result of cigarette smuggling activities and another RM500 million on revenue from unpaid duty for smuggled liquor.Deputy director-general of Customs (Enforcement and Compliance Division) Datuk Matrang Suhaili said cigarettes and liquor were the most smuggled items since tax imposed on these goods was high."Among the unauthorised landing areas for smuggled goods are coastal areas such as Kuala Muda (Kedah), Pengerang (Johor) and Rompin (Pahang)," he said at a press conference after launching an operation code named 'Ops Pacak' here Wednesday.
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Matrang said that a study done by a consulting firm also found that 33.6 per cent of cigarettes sold in the country were contraband and contraband liquor accounted for about 30 percent of total liquor sales."I would like to remind the public to be concerned by informing the Customs if they knew anyone who smuggles, sells, possesses cigarettes or liquor," he said.Matrang said last year, the Customs had collected RM3.624 billion in tax from cigarettes which was 10.3 per cent of the RM35.2 billion collected overall by the department.Tobacco is the second largest revenue contributor after vehicles, while tax collected for liquor is the fourth highest, which is five percent of the overall revenue, he added.
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Commenting on 'Ops Pacak' Matrang said the special operation involved placing Customs enforcement officers at hotspots to curb the sale of contraband cigarettes.He said 'Ops Pacak' which began on Sunday (March 1) will continue until March 15, near here and round the Pasar Besar area in Kuantan.
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