The consumption of contraband and foreign cigarettes in Belgium rose sharply in 2025, accounting for 44.4% of all cigarettes smoked during the year’s fourth quarter, up from 34.9% one year earlier, according to a study by Cimabel.
These cigarettes led to a loss of over €3.025 billion in excise and VAT revenues on tobacco products, the sector federation for Belgian-Luxembourg cigarette producers reported.
Counterfeit cigarettes made up 4.6% of the total cigarette consumption in Belgium, compared to 1% at the end of 2024. Cimabel warned that counterfeit products are made under unregulated conditions and often contain harmful or unknown ingredients.
The study revealed that most untaxed cigarettes originate from countries with lower tobacco prices, such as Bulgaria (53.1%), Luxembourg (15.8%), and Turkey (8.7%).
The situation is particularly pronounced in cities across Belgium, where over 40% of smokers purchase cigarettes outside legal sales channels in several municipalities.
Christine De Baets, president of Cimabel, attributed the trend to excessive price hikes and restrictions on alternative nicotine products. “This approach drives Belgian consumers towards contraband and counterfeit networks, harming both public finances and public health. A policy overhaul is urgently needed,” she stated.
Cimabel has proposed reforms to excise policies to reduce price disparities within the EU, increased investment in customs services, and greater accessibility to less harmful nicotine alternatives.
