Corruption and Illicit Tobacco Trade

Abstract

This review critically engages with the debate on the importance of corruption for illicit tobacco trade. It proposes to solve the disagreement in the literature by advancing a nuanced analysis of how different types of corruption are linked to various forms of illicit tobacco trade. It conceptualises the role of corruption by breaking it down into necessary and sufficient conditions. The analysis shows that unlike price differential, corruption is mostly part of sufficient condition. It is a necessary condition only in the case of illicit whites whereby tobacco manufacturers are involved in one way or the other. The measurement indices and common definitions of corruption do not usually incorporate this kind of private sector corruption.

Keywords

• corruption
• illicit tobacco trade
• smuggling
• private sector corruption
• organised crime