Illicit trade is a growing global problem that deprives national governments of vital revenues, undermines local economies, endangers public health and fuels organised crime. As part of its anti-illicit trade strategy, the UK has ratified the WHO FCTC Illicit Trade Protocol, with an obligation to implement measures for the tracking and tracing of tobacco products. The new system becomes operational on 1 July 2022, replacing the current provider DeLaRue.
Philippe Castella, Managing Director said: “I am very pleased about HMRC’s decision to task Dentsu Tracking with the establishment and operation of the new digital UK Tobacco Track & Trace System. Dentsu Tracking brings a wealth of experience and expertise in supply chain control, and we are thrilled to team up with HMRC in their fight against the illicit tobacco trade, helping them to increase revenue collection and protecting citizens and legitimate businesses in the UK.”
All businesses engaged in the manufacture, importation, or supply of tobacco products in the UK will need to report their activities to the new UK Track & Trace system. Jan Hoffmann, Director Regulatory Affairs added: “Leveraging the advantages of digital technology, Dentsu will deliver a Track & Trace system tailored to the specifics of the UK market. It will provide HMRC with a high level of government control over the tobacco supply chain, allowing enforcement bodies to detect the different forms of illicit trade and curb the circulation of non-compliant products. The new system also enables the UK government to comply with the WHO FCTC Protocol.”
Dentsu Tracking and HMRC have issued to all stakeholders a joint communication on the track & trace project, explaining the key characteristics of this initiative.