Fighting tobacco smuggling

In 2023, OLAF’s operations led to seizures of over 616 million illicit cigarettes worldwide, including 333 million cigarettes confiscated at the EU's external borders.

OLAF also helped seize 140 tons of raw tobacco and 6 tons of water pipe tobacco, preventing losses of over €151 million to the EU and national budgets.

Additionally, tip offs from OLAF resulted in the confiscation of 144.34 million cigarettes and 40 tonnes of raw tobacco from outside the EU.

Cigarette smuggling again is a global issue as some of the of the countries involved in the illicit trade were as far apart as Türkiye, Indonesia, the United Arab Emirates and Montenegro.

Targeting illicit cigarette production

OLAF has a long track record in helping national customs authorities tackle the trade in smuggled cigarettes across the world. OLAF also has significant experience in aiding authorities track down and shutdown clandestine cigarette factories that produce illicit and counterfeit cigarettes.

One case in 2023 saw OLAF help authorities dismantle a criminal network that was producing illicit cigarettes in Spain and then smuggling them across Europe. The network had links to Poland, Romania, Greece, Italy, Slovakia and Ukraine.

After receiving information, OLAF liaised with the competent national authorities in Member States ensuring synergy during national investigations. OLAF established an information exchange network among the investigators that sped up the collection and sharing of data, provided analysis, technical support and facilitated the adoption of a common investigative strategy.

OLAF coordinated this collaborative effort facilitating swift action across the EU resulting in the dismantling of an illicit factory in Spain, the arrest of 20 individuals and the seizure of approximately 15 million counterfeit cigarettes and nine tonnes of raw tobacco.

The total estimated financial impact in respect of the seized goods, including excise tax and VAT, amounted to approximately €5 million.