Aug 6, 2009—One third of the tobacco products sold in Bulgaria are illicit, according to a Novinite story quoting sources within Bulgartabac.

The sale of illicit cigarettes has risen steeply in recent months, apparently because of the economic crisis, and shop owners are being offered large numbers of products without excise labels.

In a market in Sofia, 10 packs of a well known brand can be bought without an excise label for BGN25 – or with a label for BGN39.

The illicit products comprise smuggled cigarettes, and cigarettes that are made locally for export but that are diverted for local sale.

It is estimated that if all of the illicit sales were converted to licit sales, Bulgaria would increase its tobacco tax income by about BGN600 million annually.