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Track and Trace

Real Authentication Labels on Fake Vapor Products

This article looks at the newly created, massive illicit market in vapor products originating mainly from China and sold in the United States (US). Despite being banned in both China and the US, brands like Elf Bar, Geek Bar, and Lost Mary continue to circulate. What’s more, they carry authentication labels that falsely suggest legitimacy, further exacerbating illicit trade.

Track and Trace - December 4, 2024 midnight

Tankers Impounded in Philippines Over Illegal Fuel Transfer

Amid an intensified crackdown against the illegal transfer of fuel in the Philippines, two tankers, carrying 370,000 litres of smuggled fuel worth over PHP 20 million ($343,000), were confiscated by the Philippines Bureau of Customs (BOC) in Navotas City in September. One month later, another tanker was caught in the act of transferring smuggled fuel into four lorries at the Port of Batangas.

Fuel Marking - December 4, 2024 midnight

Thailand Launches QR Codes on Cigarette Stamps

The Excise Department of Thailand has launched its ‘QR Cigarette’ system, comprised of tax stamps with unique QR codes and serial numbers. By scanning the code, users can access detailed product information, such as brand, manufacturer, tax payment date, shipping location, and price.

Track and Trace - December 4, 2024 midnight

On the Record with Arnaud Bansard, EDGYN’s Government Affairs Director

Tax Stamp & Traceability News™ recently spoke to Arnaud Bansard, Sales Director, Government Affairs at EDGYN, a leading provider of physical and digital technologies for protecting brands and securing government revenues. Arnaud joined the company six months ago, with the objective of revitalising its government business. While EDGYN has been active in this area for over 20 years, and has multiple government references for tax stamps and ID documents, Arnaud’s objective is to ensure it becomes as successful in government as it is in brand protection.

Interviews - December 4, 2024 midnight

Cannabis Tracking: Major Flaws Revealed in Washington State

Washington, the first state to approve marijuana use recreationally in the US, alongside Colorado, still lacks a system to properly track cannabis from production through processing to retail sale, the Office of the Washington State Auditor confirmed in an audit.

Cannabis - December 4, 2024 midnight

UK to Implement Duty Stamps on Vapes... But Not Track and Trace

Following the UK’s decision to introduce a new excise duty on vaping products in 2026, the government has announced it will be implementing tax stamps on vapes, to accompany this new duty. At the same time, it has advised that a track and trace system will not be introduced on vapes, even though such a system is applied to traditional tobacco products in the UK.

Tax - December 4, 2024 midnight

15 Years and Counting – Part 4

It was 15 years ago, in July 2009, that the very first Tax Stamp News™ (now called Tax Stamp & Traceability News™) was published. To mark the occasion, we thought it would be interesting to go back in time, to the main news items covered by the newsletter between 2009 and today, and how they have developed over this period.

Editorials - November 5, 2024 midnight

Sustainable and Phygital Innovation Driving Tax Stamps in India

India is the largest market in the world for liquor tax stamps, given that 27 states consume 30-35 billion tax stamps annually. While tax stamps at a global level are mainly used on tobacco products as part of a federal scheme, the situation is different in India, where almost all stamps in circulation are used on alcoholic beverages at the individual state level – and no stamps are used at all on tobacco products.

Technology - November 5, 2024 midnight

How Retailers Create Demand for Counterfeit Brands – and what to do about it

According to experts from Brand Monitor, an online and offline market surveillance company, the demand for counterfeits of specific brands is generated not so much by end consumers as by retailers, who tend to piggyback off the marketing campaigns and reputation of brand owners, and then attract consumers with the offer of lower prices.

Illicit Trade - November 5, 2024 midnight

De La Rue to Exit Tax Stamps as Crane Comes in

Following De La Rue’s announcement, a few months ago, that it was in discussions with several parties interested in acquiring one or both of its businesses – Authentication and Currency – the company has now entered into a definitive agreement for the sale of its Authentication division to Crane NXT, for £300 million.

Organisations - November 5, 2024 midnight

Excise Revenues Soar in The Gambia Thanks to Tax Stamps

Between January and August this year, Gambia Revenue Authority (GRA) collected GMD 48,470,427.78 ($702,000) in excise duties, compared to just GMD 6,312,608.78 ($91,000) the previous year. This significant increase represents more than 800% of the country’s total excise revenue mobilisation.

Tax - September 25, 2024 midnight

Pakistan Takes New Steps to Improve Tax Revenue Streams from Major Industries

Recognising the importance of track and trace systems for curbing tax evasion in key industries such as tobacco, cement, sugar, and fertiliser, the new Prime Minister of Pakistan, Shehbaz Sharif, has constituted a 10-member task force to address the technical, legal, and administrative challenges hindering the progress of such systems.

Track and Trace - September 25, 2024 midnight

E7 Group Injects $50 Million into Security Solution Growth

UAE-based E7 Group, a provider of commercial printing, security solutions, sustainable packaging, and logistics services, has announced a significant AED 182 million (approximately $50 million) investment in its security solutions division, E7 Security.

Organisations - September 25, 2024 midnight

Illicit Cigarettes Declining in EU but Rising in Europe, Claims KPMG Study

KPMG has released its latest annual study on illicit cigarettes in Europe1, commissioned by Philip Morris Products SA. The study shows that while illicit consumption in the 27 EU member states declined by 0.6 billion sticks in 2023, to reach 35.2 billion, overall illicit consumption in the 38 markets covered by the study rose by 3%, reaching 52.2 billion sticks.

Free - September 25, 2024 midnight

15 Years and Counting – Part 3

To mark 15 years since the first Tax Stamp News™ was published, Tax Stamp & Traceability News™ is going back in time to the main news items covered by the newsletter between 2009 and today, looking at how they have developed over this period.

Editorials - September 12, 2024 midnight

UK to Abolish Duty Stamps on Spirits

Those round-shaped magenta discs that, since 2006, have adorned the labels of UK spirits and wine bottles, as a visual proof of duty paid, now look set to disappear, following a government announcement that the discs will be abolished once a review by HM Revenue & Customs (HMRC) has taken place.

Alcohol-Beverages - September 2, 2024 12:01 a.m.

The Strength of a ‘Phygital’ Approach

Combining physical and digital elements on tax stamps ensures that the strengths of both are exploited, and the weaknesses of each are covered. The International Tax Stamp Association (ITSA) is pleased to announce the launch of a social media campaign examining the topic in depth, featuring quotes from industry insiders and stories from around the world that demonstrate the strength of a ‘phygital’ approach.

Free - September 2, 2024 midnight

15 Years and Counting – Part 2

It was 15 years ago, in July 2009, that the very first Tax Stamp News™ (now called Tax Stamp & Traceability News™) was published. To mark the occasion, we thought it would be interesting to go back in time, to the main news items covered by the newsletter between 2009 and today, and how they have developed over this period.

Editorials - September 2, 2024 midnight

GCMD Partners with Authentix for Biofuel Supply Chain Trial

The Global Centre for Maritime Decarbonisation (GCMD) has completed a two-year pilot study aimed at ensuring supply chain integrity and fuel authenticity for drop-in green fuels (ie. renewable fuels made from biomass sources that can be blended with petroleum products).

Technology - September 2, 2024 midnight

Royal Mail Launches App to Detect Counterfeit Stamps

Following complaints over £5 fines being dished out to the recipients of letters and parcels suspected of carrying counterfeit postage stamps, the UK postal service, Royal Mail, has launched a scanner tool in its app that lets customers check if a stamp is counterfeit.

Technology - September 2, 2024 midnight

Tracking Legislation Advances in Philippines

The Philippines’ House Ways and Means Committee has approved legislation that will expand the country’s tobacco tax stamp system into a more comprehensive approach for tracking the entire supply chain of tobacco products, including their origin, route, and final point of sale.

Tobacco - September 2, 2024 midnight

Philippine Vape Festival Packed with Illicit Products

During the Philippine Vape Festival, held in August, the Bureau of Internal Revenue (BIR) seized over 5,000 illicit vape products displayed and offered for sale at the event. The main way of identifying the vapes were illicit was their lack of tax stamps.

Illicit Trade - September 2, 2024 midnight

Microsoft Partners with Italian Mint to Protect Prosecco Wine

Microsoft Italy and the Istituto Poligrafico e Zecca dello Stato (IPZS – the Italian Mint) have launched a strategic collaboration based on artificial intelligence to protect the authenticity of Italian products from counterfeiting. One of the pilot projects for this collaboration relates to the most exported Italian wine in the world, but also the most imitated: Prosecco.

Alcohol-Beverages - September 2, 2024 midnight

Tax Stamps that Talk Back at You

The Korea Minting, Security Printing and ID Card Operating Corp (KOMSCO) has developed a tax stamp in collaboration with VOICEYE, a 2D high-density barcode solution specialist, with a focus on critical global markets like tobacco, alcohol, and pharmaceuticals.

Technology - September 2, 2024 midnight

New Industry Glossary Covers Physical and Digital Currency

Reconnaissance International – co-publishers of Currency News™ (and a leading global source of business intelligence on currency, identity, authentication, tax stamps, and traceability) – have unveiled a new industry reference glossary.

Studies-Reports - August 2, 2024 midnight

ITSA Seminar for Latin American Tax Authorities – A Review

As has thankfully become a bit of a tradition again, post-COVID, ITSA (International Tax Stamp Association) recently held a pre-conference seminar on the occasion of the High Security Printing™ Latin America conference, which this year took place in Santiago, Chile.

Free - July 29, 2024 midnight

Meta Materials Sells Authentication Business to Authentix

Texas-based security solutions provider Authentix has acquired the authentication business assets of Meta Materials – namely, Nanotech Security Corporation (NSC) – for $10 million, excluding assets such as cash and real estate.

Organisations - July 29, 2024 midnight

De La Rue Authentication Achieves Record Sales, Amid Concerns

De La Rue has announced its full year results for the period ending 30 March 2024, with its Authentication division (including tax stamp programmes) achieving record sales of £103.2 million. This figure surpasses the division’s £100 million target, and represents a 12.5% increase over 2023. The results are, however, overshadowed by a £235 million loan that becomes payable next July.

Organisations - July 29, 2024 midnight

How to Protect Citizens Against Fraudulent QR Codes

By 2025, more than 100 million smartphone users in the US will use a QR code scanner on their mobile devices, compared to 70.6 million in 2020. But how can citizens be sure that what they are scanning is legitimate?

Technology - July 25, 2024 12:01 a.m.

Vape Brands and Their Authentication Measures

According to Statista, the e-cigarette market is projected to generate revenue of $26 billion in 2024, with a 3.93% global compound annual growth rate between 2024-2029. While the legitimate market is growing, the vape industry, like other sectors, is plagued by counterfeit and other illicit products.

Track and Trace - July 25, 2024 midnight

The Fishing Was Good – It Was the Catching That Was Bad

Francisco Mandiola looks at some interesting developments in seafood traceability, including a new certification system in Chile that captures images of fish on a conveyer line and then uses specific algorithms to identify each species.

Track and Trace - July 10, 2024 midnight

15 Years and Counting

Take a look at TSTN’s main news items between 2009-2011, including problems faced with finalising the FCTC Protocol, efforts in the US to introduce federal tax stamps on cigarettes, and the industry’s growing acceptance of digital/physical solutions, unique identifying codes and smartphone authentication.

Events - July 10, 2024 midnight

EU Tobacco Traceability – An Industry-Managed System?

In the May 2024 issue of Tax Stamp & Traceability News™, we described how a white paper published by an informal EU parliamentary working group on tobacco products had highlighted the permeability of some European Commission departments to tobacco industry lobbying. The paper raised concerns that such permeability was causing delays in the revision of two important tobacco regulations: one on taxation and one on traceability.

Tobacco - July 1, 2024 midnight

WTO Releases New Report on Food Fraud

Food fraud has become quite the trend globally and, in May 2024, the World Trade Organisation (WTO) published a report on illicit trade in food and food fraud.

Track and Trace - July 1, 2024 midnight

Increased Controls Shrink Illicit Tobacco in Bosnia and Herzegovina

According to the Sarajevo Times, the implementation of increased controls by Bosnia and Herzegovina’s tax authority and law enforcement agencies have drastically reduced the tobacco black market in the country, to the point where tobacco excise revenues are expected to exceed BAM 1 billion ($548 million) for the first time in history.

Tobacco - July 1, 2024 midnight

Metrc Wins First Cannabis Track and Trace Contract with a Tribal Government

Metrc, the leading provider of cannabis regulatory technology systems to US state governments, has announced a new contract with the Twenty-Nine Palms Band of Mission Indians, a federally recognised Native American tribe located in Southern California. This represents the first ever track and trace contract with a tribal government.

Track and Trace - July 1, 2024 midnight

How to Identify Illicit Cigarettes – Ukrainian Forensic Experts Explain

In a recent Ukrainian National News (UNN) article, Oleksandr Ruvin, Director of the Kyiv Scientific Research Institute of Forensic Expertise, described the steps taken by the institute to identify smuggled cigarettes and counterfeits of well-known brands, with tax stamps featuring high on the list of elements to check.

Illicit Trade - May 31, 2024 midnight

Interview with an ITSA Member – Chanwanich Security Printing

In this month’s interview with a member of the International Tax Stamp Association (ITSA), we delve into Thailand’s tax stamp and security printing market courtesy of Chanwanich CEO Ronnachai Kongboonma, exploring how the nation’s industry has developed over the past century and how it’s likely to evolve in the coming years.

Interviews - May 31, 2024 midnight

Holography Conference 2024 – Call for Papers

Reconnaissance International (publisher of Tax Stamp & Traceability News™ – TSTN) has announced that the 2024 Holography Conference Online (THCO) will be held on 12-13 November. The call for papers is now open, and delegates are invited to submit a proposal to present by 13 September 2024.

Events - May 31, 2024 midnight

Here’s to Another 100 Years!

At the end of April, Gelmer Leibbrandt, Managing Director of Royal Joh Enschedé, signed a new contract with the Dutch Customs Authority for the printing of tobacco tax stamps, thereby continuing a service that has already lasted for over 100 consecutive years.

Organisations - May 31, 2024 midnight

Digital Printing, Metallisation, Interactivity… All in One Pass

Xeikon, a provider of digital printing presses, has partnered with KURZ and SCRIBOS (part of the KURZ group) to offer a solution that enables digital label printers to combine variable metallic elements, serialised QR codes with embedded copy-protection patterns, and interactive features… all in a single printing pass.

Technology - May 31, 2024 midnight

White Paper Calls for Stronger EU Alignment to WHO FCTC

In 2023, an informal EU parliamentary working group on tobacco products, led by French MEPs Anne-Sophie Pelletier, Pierre Larrouturou and the late Michèle Rivasi, organised a number of roundtables to discuss how the permeability of some European Commission departments to tobacco industry lobbying was causing delays in the revision of two important regulations (see TSTN July 2023).

EU TPD - May 31, 2024 midnight

80% of UK Smokers Buy Illegal Tobacco

Between October-December 2023, the UK Tobacco Manufacturers’ Association (TMA) commissioned a nationwide poll of 12,000 smokers on their attitudes, awareness and understanding of illegal tobacco. This is the ninth year this survey has been carried out.

Illicit Trade - May 31, 2024 midnight

Labels that Go Straight on the Food Itself

A new labelling technology that prints a QR code directly onto food such as fruit has been developed by a team of researchers in South Korea, according to an announcement by the country’s Ministry of Science and ICT.

Technology - May 31, 2024 midnight

Diametryx’s Innovative Colour Change Particles

At the Optical & Digital Document Security™ (ODDS) conference in April, Michael Natan, President of Diametryx Inc, presented this new company’s intriguing colour-change particles for use as an overt security feature.

Free - May 31, 2024 midnight

So Many Features, So Little Space

While the banknote industry often laments the limited real estate available on a banknote, tax stamps are typically 10 times smaller than notes. Furthermore, most stamps are required to carry variable data as well as multilevel security features adapted to different users with different authentication capabilities.

Technology - April 30, 2024 midnight

Introducing the Most Comprehensive Liquor Tax Label in India

The liquor industry in India is a major source of excise revenue that needs protecting against non-compliance and illicit trade. To this end, two decades ago, the Indian state of Kerala introduced hologram- embedded security tax labels on Indian-made foreign liquor (IMFL).

Alcohol-Beverages - April 30, 2024 midnight

The Ongoing Problem of Counterfeit Postage Stamps – Learnings for Tax Stamps

Although this article concerns ongoing problems with the counterfeiting of postage stamps, some of these stamps now carry a combination of physical and digital features common to tax stamps. Our industry may therefore be interested in recent developments around the counterfeiting of these ‘new-age’ postage stamps.

Illicit Trade - April 30, 2024 midnight

Fuel and Cannabis News

From 1 June 2024, Kyrgyzstan plans to introduce mandatory marking on all types of fuel products. In particular, it is looking to mark gasoline and diesel fuel – sold exclusively at filling stations – with irremovable molecular markers.

Fuel Marking - April 18, 2024 midnight

State of Illicit Tobacco in South Africa – Still Disastrous

During his 2024 national budget speech, in February, Finance Minister Enoch Godongwana said the South African Revenue Service (SARS) was deploying closed-circuit television (CCTV) and related technologies on the premises of licensed tobacco manufacturers, to address the high levels of illicit tobacco.

Illicit Trade - April 3, 2024 midnight

Why Do Some Tax Stamp Programmes Fail?

While many tax stamp programmes in operation today are delivering significant benefits (including increased tax collections), other programmes are not so successful. Why is this?

Case Studies - April 3, 2024 midnight

Pakistan’s Tax Authority – A White Elephant

Pakistan’s economy is currently going through a crucial period, like many other economies in the world. Along with unprecedented floods and political turmoil, the economy is beset by skyrocketing interest rates and inflation, as well as a decline in imports.

Country Profiles - April 3, 2024 midnight

Crane NXT to Acquire OpSec Security

Crane NXT, a leading industrial technology company, has signed a definitive agreement with Investcorp Technology Partners to acquire OpSec Security for $270 million in cash, subject to customary adjustments.

Organisations - April 3, 2024 midnight

Plastic Tax Stamps on Liquor No Good for Environment

The state of Uttarakhand in India has invited bids for full polyester holographic tax stamps to replace paper-based stamps on alcohol products, amid protests that the polyester stamps contravene a country-wide government ban on single- use plastic items below 100 microns in thickness.

Alcohol-Beverages - April 3, 2024 midnight

A Comparison of Fuel Traceability Options

Some years ago, I was asked to give a speech to a Latin American country’s customs authority with respect to fuel marking. To prepare for my presentation, I spoke to several suppliers and did some research with respect to alternatives and positive results around the world.

Free - April 3, 2024 midnight

Interview with an ITSA Member – JURA

In our second 2024 interview with members of the International Tax Stamp Association (ITSA), we speak to Barna Barabás, Co-Managing Director of JURA, a global brand name in security printing.

Interviews - March 20, 2024 midnight

Spring Cleaning at Chile Tax Authority – Renovated Programme in the Works

In 2023, we analysed how Chile’s cigarette traceability system, SITRAF (Sistema de Trazabilidad Fiscal) had been performing since its inception in 2019. At that time, a study conducted by local economists found that the implementation of the system in Chile had resulted in better control of legitimate sales and increased revenues.

Free - March 5, 2024 midnight

Interview with an ITSA Member – OpSec Security

In the first of our 2024 interview series, we explore the tax stamp industry from an insider perspective, delving into its challenges, opportunities, and potential developments with International Tax Stamp Association (ITSA) members.

Interviews - March 5, 2024 midnight

Key Decisions Made – And Not Made – at MOP3

The Third session of the Meeting of the Parties to the Protocol to Eliminate Illicit Trade in Tobacco Products (MOP3) concluded on 15 February, in Panama City, after taking ‘decisive action to combat illicit trade in tobacco products’, according to a press release from the Secretariat of the WHO Framework Convention on Tobacco Control (FCTC).

Illicit Trade - March 5, 2024 midnight

New Study Compares Four Major Illicit Trade Hubs

In 2023, Sovereign Border Solutions (SBS) wrote a series of three articles for Tax Stamp & Traceability News™ focusing on free trade zones (FTZs) and how they have become ‘hotspots’ for the illicit economy.

Illicit Trade - February 1, 2024 12:01 a.m.

Pakistan Contemplates Track and Trace on Beverages

The manufacturing and sale of counterfeit beverages is alarmingly high in Pakistan, particularly in Punjab, the country’s most populated province. This illegal activity is continuing unabated, despite raids and confiscation of machinery carried out by the Punjab Food Authority (PFA).

Illicit Trade - January 9, 2024 midnight