Tobacco Tax Evasion in Albania and Its Determinants

This Report is written by Development Solutions Associates (DSA) in Albania. The report estimates the size and characteristics of the illicit tobacco market in Albania. The study shows that 29.3% of tobacco consumption in the country is illicit, the majority stemming from hand-rolled tobacco products. The majority of hand-rolled tobacco is purchased from illicit source, typically independent sellers in open-air markets. Certain demographic characteristics also make users more likely to use illicit products, such as being a male, unemployed, and living in an urban area. The report makes recommendations to guide policy makers in decreasing the size of the illicit tobacco market, while continuing to increase tobacco taxes and pursuing other tobacco control measures.  

A Policy Brief based on the report can be found here.