WCO Reports Current State of Illicit Tobacco and Alcohol Seizures

Established in 1952, the WCO (World Customs Organisation) is the global centre of customs experience, representing 185 customs administrations that collectively process approximately 98% of world trade.

As the global trade in goods and passenger flows returns to pre-pandemic levels, illicit trade is also increasing, reports the WCO in its newly released Illicit Trade Report (ITR). In particular, the report observed increases in illicit alcohol, cash, cocaine and methamphetamines/amphetamines.

First initiated in 2012, the WCO flagship publication showcases the efforts of the customs community to combat illicit trade and protect societies. The current edition focuses on seven key risk areas within customs enforcement: anti-money laundering and counter-terrorism financing, cultural heritage, drugs, environment, intellectual property rights and health and safety, revenue, and security.

While the report provides a detailed analysis of all seven sections, for TSTN readers we are covering only the revenue section. Considering the available seizure data and fiscal impact of illicit trade in excise goods on governments, the revenue section explores two main categories of products frequently trafficked to avoid excise taxes worldwide: tobacco and alcohol.