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Ukraine's Cabinet of Ministers on Nov. 7 passed a resolution "On amending item 3 of Regulation on manufacture, storage, sale of excise duty stamps and labeling of alcoholic beverages and tobacco products", the Information-Analytical Bulletin of the cabinet of Ministers of Ukraine informs.
The changes envision that standard excise stamps will be made on the order from Ministry of State Revenues and Duties, by a state enterprise managed by the National Bank of Ukraine (NBU).
Experts say the document will ensure a greater state control over production of excise stamps and their timely supply to business entities engaged in production and importation of alcoholic beverages and tobacco products.
The lack of proper control over production of excise stamps is a threat to the life and health of citizens, as it creates opportunities for production of counterfeit stamps and, as a consequence, distribution of counterfeit or smuggled alcohol and cigarettes. Ukrainian law enforcement authorities have closed several clandestine manufactures of excise stamps.
In addition to selling counterfeit products, the active distribution of counterfeit excise stamps causes budget revenues to fall, as the products labeled with such stamps are tax free. In addition to increasing production control, production of stamps at the state-owned enterprise also helps save budget costs.
Government analysts say that on Sept. 1, 2013 Ukraine introduced a new style excise stamps which have a graphical security element, as well as the background grids (for alcohol - at least four, for cigarettes - three) which ensure much better counterfeit control.
Experts say the new stamps will ensure a more effective system to fight forgery and counterfeiting of excisable products and to protect Ukrainians from defective products.
"We are interested in drastic reductions of the shadow sector of excisable goods and are set to protect consumers from counterfeit products on the shelves in Ukraine," Oleksandr Klimenko, Minister of Revenue and Duties of Ukraine, said.