Oireachtas Joint and Select Committees

Wednesday, 13 March 2013

Joint Oireachtas Committee on Justice, Defence and Equality

Black Market: Discussion with National Federation of Retail Newsagents

2:05 pm

Mr. Joe Sweeney:

We can put forward a number of suggestions. We feel that over the years not enough people such as ourselves have contributed to the debate and put forward suggestions. NFRN Ireland has a number of suggestion and I will speak about some of them.

Recently, in Switzerland, a new development based on a smart-phone application has been launched. What is probably needed here - we are looking to Government to do this for us - is legislation to allow the Garda and others use this smart-phone application. At present, gardaí cannot do very much if they suspect somebody of being in possession of counterfeit cigarettes but if this smart-phone application were allowed, they would be able to check a packet of cigarettes and the application would tell them instantly whether it was duty paid, whether it was counterfeit. It is based on a technology called Codentify and at present, it is being rolled out in Switzerland.

I will explain how the application works. A special barcode would be imbedded on the pack at manufacture. So far, the counterfeiters have been able to rapidly copy anything that has been produced, such as the pack. Even the Irish Government tax stamp can be produced in a factory in China and delivered here. With this application, however, the barcode which is called a rolling barcode, embedded in the pack would change every day and it would be very difficult for counterfeiters to keep up with it.

We would also ask that the sale of tobacco be banned completely at markets and fairs in Ireland. It is too easy for illicit traders to sell their product in such places.

We want to see the owners of these sites held responsible for allowing illegal activity take place on the premises. If I allow any illegal activity in my store I will be held responsible immediately and face the consequences. If I am found to have sold tobacco to a person under the age of 18 I will be subject to statutory fines, a possible jail term, the loss of my licence for a period of time and I could go out of business. Illicit traders do not face these consequences. One of our problems is that there is no minimum fine. We must introduce the concept of a minimum fine and Ms Drennan will outline a way in which this could be done.

We suggest, and we are serious about it, that the consumer also takes responsibility. I do not see the difference between possessing counterfeit tobacco and possessing cannabis. If a person is identified as possessing counterfeit cigarettes he or she should face the consequences and should be at least brought to court and charged with the offence.

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