HUNGARY
State monopoly on retail tobacco trade planned

The Hungarian government wants to introduce a state concession on the sale of tobacco products, reports the Wall Street Journal.

In an effort to keep minors from buying them and also to support small shops, the government is looking to "adopt the Austrian model, which involves the designation of a set number of registered kiosks run by small local businesses", said Janos Lazar, the parliamentary group leader for the governing Fidesz party, on Monday.
Minors are often able to buy cigarettes, he said, adding that this is more common at multinational retail chains.
Lazar estimated that Hungarian smokers spend up to HUF 500 billion forints (EUR 1.6 billion) a year on cigarettes, a market the government wants to be controlled by small family businesses. “We want to create tens of thousands of jobs this way and do something that will also be good for local communities,” he said.
Lazard is currently in consultation with various departments and ministries on how the Austrian system can be adopted to suit Hungarian specifics.
The proposal has not yet been submitted to Parliament. (pi)

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