26 August 2008

BELGIUM -- More smokers in Belgium are buying cheap cigarettes from the Value for Money segment.

According to the dailies Gazet Van Antwerpen and Belang Van Limburg on Tuesday, more smokers have discovered a recipe to escape the rising cost of cigarettes by going for cheaper brands.

The cheaper cigarettes fall under the Value for Money segment and include brands such as Pall Mall Blue and Austin Blue which sell 19 cigarettes for EUR 3.50.

In 2006, this segment made up 10 percent of the market, but now boosts a market share of 17 percent, says Cimabel, the federation of the six largest tobacco manufacturers.

Dip in cigarette sales
The sale of cigarettes has dropped in Belgium since 2007.

In 2007, the total sale of cigarettes dropped from some EUR 13.4 billion to EUR 12.5 billion. This is a drop of 6.7 percent.

The drop of cigarette sales in Belgium is also attributed to the ban on cigarette advertising, the smoking ban in restaurants and public areas, the higher taxes, and the ban on selling tobacco to youngsters.

Good news for health
According to the dailies, this is good news for the Belgians' health. However, for the Belgian treasury, it constitutes a considerable loss in revenue.

[flandersnews.be / Expatica]