Illicit cigarette trade has grown dramatically in South Africa since 2015. The majority of shops in the informal sector sell a pack of illegal cigarettes for R5 to R10, whereas the minimum price for a legal pack of smokes is R17.85. According to the Tobacco Institute of Southern Africa‘s (TISA) calculations, this means that the country loses more than R7 billion in tax revenue every year, money that could be used to solve hundreds of serious issues that the country is currently facing.
This illegal industry is thriving so much because there are no enforcement and penalties in place to discourage these illegal players from continuing to spread the cheap ‘smokes’. Yet TISA wants to do something that might make the authorities and lawmakers take action against this disease that is slowly, but surely, infecting the country.
In partnership with agency Joe Public Ignite, TISA hopes to straighten things out regarding the illicit tobacco trade. The company thought that if people would have a place to act, they would happily join the cause and fight against this illegal practice. And so it did; TISA asked the public to #TakeBackTheTax in an initiative that includes an online platform where the audience can sign a pledge and appeal to the authorities to act against the trade of illicit cigarettes.
“We needed to show the general public the devastating effects of the illicit tobacco trade in a way that would speak volumes and break through the clutter. How can we expect to draw attention to the real core of the problem if people aren’t seeing how it really impacts every one of us in our daily lives, with the trade depriving the fiscus of billions of rands so desperately needed to build our country?” said Francois van der Merwe, TISA Chairperson, in a press release.
The campaign was specially created to uncover the truth that lies behind this unlawful industry and encourage the public to finally take action against it. “We’ve seen it all before. People only stand behind a cause if they believe in it. If we tell the truth, we can get real, authentic messages across and actually see real changes emerge in front of us,” added Mpume Ngobese, Managing Director, Joe Public Ignite.
TISA is drawing people’s attention to the campaign’s website with a series of tactical videos and content that offers real solutions to this problem. These include using the #TakeBackTheTax hashtag on social media and broadcasting this initiative to become widely-spread news. Lastly, thanks to campaign ambassador Yusuf Abramjee, the action has actually been successfully brought to the attention of the public.
But that’s not all: various newspaper articles have already tackled this issue, and TISA is spreading the message about this problem by strategically placing ads in key locations. For example, billboards were placed alongside a high-crime area. Moreover, a truck caring such message was parked outside of the parliament and the South African Revenue Service (SARS). There was only one thing left for TISA to do; to catch the attention of authorities…
To date, more than 23,000 people have signed the pledge. And while the campaign has caught the attention of illegal manufacturers, the best thing is that the initiative was indeed noticed by the authorities: Mark Kingon brought up the campaign in parliament and Lesotho Revenue Authority confiscated a number of illegal cigarettes.
“We are extremely happy with the response and effectiveness of #TakebackTheTax, especially because the illicit cigarette trade is a pandemic in our country. There is really so much good that can be done with the R7 billion. And since the growth of our country is one of our driving purposes, we’re proud to have played a part in showing the public how our country can grow,” explains Megan Perks, Executive Creative Director, Joe Public Ignite.
Sadly, a study conducted by IPSOS revealed that the tax lost to the illegal tobacco trade had grown to R8 billion. And in just four months. But TISA is convinced that its fight against this issue is not over yet. South Africans, it is time to put your shoulder to the wheel and #TakeBackTheTax.