The government in Norway is considering reducing the duty-free tobacco allowance for returning residents by 50 per cent, reports TRBusiness.

If the proposal, which was part of the national budget and is expected to be voted through parliament in December, were to go ahead it could have a major impact on Norway’s travel retail and duty-free sector.
The new measures would apply to those purchasing tax-free tobacco products when arriving in Norway and items that have been bought overseas by residents of Norway. The existing duty- and tax-free tobacco allowance for non-residents would remain unchanged for products bought overseas but would also be affected for products bought upon arrival in Norway, reports TRBusiness.
Currently, the personal duty-free allowance for visitors to over the age of 18 to Norway is 200 cigarettes or 250 g of other types of tobacco and 200 sheets of cigarette paper, according to the Norwegian Customs’ website. The new proposal would reduce the tax-free quota to 100 cigarettes or 125 g or other tobacco products and 100 sheets of cigarette paper and includes e-liquids that contain nicotine and other nicotine products.
According to TRBusiness, state-owned airport operator Avinor says the move will result in an estimated loss in its annual income of around NOK 270 million (USD 27.7 million) annually.
Industry lobbyists also say the newly proposed allowances will have a negative effect on the revenues and operations of Norway’s tax- and duty-free sector.
“By diverging from the international accepted practice of allowing 200 cigarettes or 250 grams of other tobacco products free of duty and tax, the recent budget proposal to reduce duty free inbound allowances from 1 January 2023 will undoubtedly harm the ability of duty free operators to cater for Norwegian airports, ports and ferry lines – as well as being deeply unsatisfactory and confusing for travellers to Norway,” said Julie Lassaigne, Secretary General of the European Travel Retail Confederation (ETRC).