Health
Dutch Health Agency Calls for New Measures to Curb Cross-Border Tobacco Purchases
The Dutch public health agency is urging the government to tighten regulations on cross-border tobacco purchases, warning that the country’s high tobacco taxes are increasingly being undermined by smokers sourcing cheaper products from abroad.
Following a significant hike in tobacco taxes in 2024 — 24% on cigarettes and 45% on rolling tobacco — the Netherlands now ranks among the highest-taxed countries for tobacco in the European Union. The measure was welcomed by health advocates as a step toward reducing smoking rates.
However, new research by the Dutch public health agency shows that while the tax hike led to some positive outcomes — with 7% of smokers quitting and another 22% cutting down — a large number of smokers responded by purchasing tobacco outside the Netherlands. According to the study, cross-border tobacco purchases surged to 60% in 2024, up from 40% in 2023 and 30% in 2020.
“Policy must focus on reducing purchases of tobacco products made abroad,” the agency stated, noting that easy access to cheaper tobacco in neighboring countries is threatening the effectiveness of domestic anti-smoking policies.
To address the issue, the agency has recommended introducing stricter limits on the quantity of tobacco products that individuals can bring into the country. It also called for the implementation of excise duties on e-cigarettes to discourage youth from taking up vaping, which it warned could serve as a gateway to traditional smoking.
The situation highlights the broader challenge facing high-income, geographically compact nations, where borders can be crossed with relative ease. While the World Health Organization (WHO) endorses tobacco taxation as one of the most effective public health tools — recommending a minimum tax rate of 75% — its impact is lessened when consumers can easily circumvent high prices.
A study published last year indicated tobacco tax increases led to a 9% drop in cigarette use in low-income countries between 2014 and 2020, compared to just 6% in wealthier nations, where cross-border purchasing is more feasible.
The Dutch agency cautioned that unless regional prices are aligned, the proportion of people attempting to quit smoking could decline. It pointed to ongoing discussions at the European Commission level, where proposals are being considered to dramatically raise tobacco taxes across the EU — potentially by 139% on cigarettes and 258% on rolling tobacco.
In 2024, the Netherlands, along with 15 other EU member states, urged the Commission to adopt bloc-wide tax reforms, arguing that disparities — ranging from €1.92 per pack in Bulgaria to €9.92 in Ireland — were distorting the single market. Currently, the Netherlands has the second-highest tobacco tax in the EU, at €7.66 per 20-pack.
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