Alcohol contributes to €2.3bn loss in Ireland

Illicit trade is costing the Irish economy an estimated €2.3 billion annually, with seizures of counterfeit alcohol increasing 100% between 2010 and 2014.

Alcohol has been named among the illicit goods that are costing the Irish economy an estimated €2.3bn

According to a new report published by business advisory firm Grant Thornton, called Illicit Trade 2015-2016: Implications for the Irish economy, the Irish government loses an estimated €788m in tax revenues each year, while retailers and intellectual property holders lose €1.5bn due to illegally-traded goods.

The report analyses different areas of illicit trade, including alcohol, fuel, tobacco, pharmaceuticals and digital.

Grant Thornton claims that alcohol seizures by authorities doubled between 2010 and 2014, and warns that the introduction of a minimum unit pricing (MUP) policy may increase illegal trade.

In December last year, the Irish government approved new legislation to tackle alcohol misuse, including MUP.

“The level of illicit activity reported in Ireland is quite remarkable,” said Brendan Foster, partner at Grant Thornton.

“While we welcome the increased efforts to improve legislation and enforcement activity over the past few years, it is vital that all sectors impacted continue to invest in public awareness campaigns to remind consumers that illicit activity is far from being a victimless crime.”