Why is BATM raising awareness of the black market?

The black market is rampant in Malaysia, pouring some RM300 billion* out of the pockets of taxpayers and into the pockets of criminals. Illegal tobacco is a big part of the black market, taking around RM5 billion** a year in lost taxes.

Illegal cigarettes are by far the legal industry's biggest challenge. Black market gangs are the largest player in the total cigarette market in Malaysia with 62% share.***

For legal producers of tobacco, the illegal trade can precipitate the loss of business and therefore livelihoods.

As a business with a 100 year legacy in Malaysia, BATM’s concern is significant.

As public attention shifts to economic recovery, it is important for all businesses to have their voices heard.



Why is this issue important to highlight?

The time is right to draw attention to the seriousness of the black market, and to educate and ask Malaysians to share their thoughts on curtailing this issue. The insights from the campaign will form the basis to discuss and develop real solutions to address the black market issue once and for all.



Why is it so important to crack down on the black market?

Malaysia has a rampant black market. A key component is the tobacco black market which strips approximately RM5 billion in lost excise each year. Instead of being in the hands of criminal gangs, these funds can be better used towards helping Malaysia’s economic recovery.



What specific issues does STOP THE BLACK MARKET seek to address?

BATM’s role in the campaign is to highlight the seriousness of the black market and open an avenue for Malaysians to share their thoughts on curtailing the issue.

STOP THE BLACK MARKET is intended to provide a forum for Malaysians to discuss how to deal with the black market.

The insights from STOP THE BLACK MARKET will form the basis to discuss and develop real solutions to address the growing problem.



* Lim Guan Eng, former Minister of Finance, speech at 40th Commonwealth Association of Tax Administrators Annual Technical Conference 2019

** The Economics of the Illicit Tobacco Trade in Malaysia 2019 by Oxford Economics

*** Illicit Cigarettes Study (ICS) In Malaysia 2019 by The Nielsen Company