Regulatory News


While in Paraguay cigarette taxes is 16%, in other South American countries taxes on the product range from 70% to 90%, as in some states of Brazil. This difference is one of the main reasons for the illegal entry of cigarettes produced in Paraguay into neighboring countries. The conclusion was made by experts who were present at the event Illegal Market: Transnational Crime, in the Southern Cone, held in Foz do Iguaçu, Paraná.

With domestic consumption estimated at 2.5 billion cigarettes per year, Paraguay produces 60 billion in 35 factories. Today, cigarette smuggling dominates 48% of the Brazilian market, 22% of Chile’s and 14.2% of Argentina’s.

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