Table 1

Illicit trade terminology

Illicit tradeIllicit trade is defined in Article 1 of the WHO's Framework Convention on Tobacco Control as ‘any practice or conduct prohibited by law and which relates to production, shipment, receipt, possession, distribution, sale or purchase including any practice or conduct intended to facilitate such activity’.57 Includes smuggled genuine cigarettes/tobacco, counterfeit cigarettes/tobacco and ‘Cheap Whites’
Non-domestic product (known in the UK as Non-UK Duty Paid (NUKDP))Tobacco on which local (eg, UK) duties have not been paid. Comprises illegal and legal cigarettes/tobacco. The latter includes cross-border sales (which in turn include duty free—see below)
Cheap Whites/illicit whitesIllicit whites are cigarettes manufactured for the sole purpose of being smuggled into and sold illegally in another market. They usually do not pay tax in the country where they are made58
Cross-border sales/shopping (also known as non-domestic legal)Legal importation of goods for personal use. Includes duty free cigarettes/tobacco and those, in the case of the UK, with duties paid outside the UK, eg, in other EU countries59
CounterfeitProducts bearing a trademark of a tobacco manufacturer that are manufactured by a third party without the consent of that manufacturer11