Lately, we’ve been hearing of a growing number of companies that are offering, or expanding on, their market surveillance and product intelligence services as a way of helping enforcement officials and brand owners to quickly identify illicit trade activity in particular markets, and to act upon these activities before it is too late.

Smart packaging is an area that is pertinent to the interests of our community. It has links to track and trace, product labelling and interaction with the brand through technology. The aim of this article is to take a wider look at trends in smart packaging and consider some of the potential implications for tax stamps and track and trace solutions.

The time has now come for us to be considering the changes that the current pandemic will make to our industry. The purpose of this article is to look at the reshaping of one particular technology with the intention of prompting a similar appraisal of others. It is does not attempt to identify all the solutions but to at least propose a framework for the questions.

The Gaelic word ‘whisky’ can roughly be translated into English as ‘water’ and so it comes as no surprise that sales of the golden liquid are worth roughly £5 billion annually to Scotland’s economy. As with many premium products, whisky is a favourite target for counterfeiters, which not only takes income away from the legitimate brand owner but deprives revenue authorities of much needed taxes.

Cannabis Global, Inc, a provider of what it calls disruptive cannabis and hemp-related technologies, has announced an enhancement to its Comply Bag™ Cannabis Transport System, in the shape of a fully integrated application that will allow shippers and receivers to track, monitor and confirm important aspects of cannabis shipments.

AIPIA, the Active & Intelligent Packaging Industry Association, held its conference on Smart Packaging in mid-September – it’s first ‘Virtual Congress’.

Two recent articles in this publication specifically caught my eye and set in progress the compilation of this article. The first, ITSA Hits Back Over Tax Stamp Criticism, appeared in the June 2020 edition followed by Blockchain and Excise Supply Chains: Hype, Conjecture and Reality, in July.

When it comes to the effective storage and management of data, it should be recognised that security, flexibility, and efficiency are key. Increasingly, governments, businesses, and organisations around the world are exploring cloud-based computing options as a complement – or alternative – to more traditional, on-premises hardware and software solutions. For tax administrators, the ongoing shift presents both opportunities and unique challenges.

The term ‘biometrics’ is commonly used to describe technologies that employ human features that are unique to individuals – such as fingerprints or retinal eye patterns – as a way to identify those individuals. But the term is also employed, within the authentication industry, to describe technologies which use the intrinsic microscopic or molecular properties unique to items such as tax stamps to identify and thereby authenticate those items. Hence the term ‘document biometrics’, or ‘fingerprinting’.

In the year following the US state of Michigan’s introduction of a new tobacco excise tax stamp in 2014, tax revenues increased by $15.7 million – when they had in fact been predicted to decline – and exceeded the forecast for the year by nearly $30 million. Furthermore, it took only one year to recoup the costs of introducing this new stamp. Similarly, in Mozambique, alcohol and tobacco excise tax revenues increased by 85% in the first year after the introduction of a new stamp in 2017.