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| Illicit Alcohol |
The scale of
illicit alcohol consumption is “much higher than previous global estimates”,
with one in every two drinks coming from the black market in some countries, a
new report has discovered. Illicit alcohol
is rife in poor communities around the world.
According to the Alcohol in the Shadow Economy report
by the International Alliance for Responsible Drinking (IARD), illicit alcohol
is particularly widespread in low- and middle-income countries. The report, which uses data from 26 countries
compiled by Euromonitor, also found that the majority of alcohol consumed is
illicit in five out of seven African countries. IARD is calling on regulated producers,
governments, and communities to create partnerships to tackle harmful drinking.
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| Alcohol from the Shadows |
“This report
shows that in many developing countries, much of the alcohol consumed is
illicit. This is bad for health, bad for governments and bad for business,”
said Diageo CEO Ivan Menezes, who is also chair of IARD’s CEO Group. “It is critical that governments create an environment where
legal businesses can thrive and avoid punitive regulation that creates unintended
consequences, including driving consumers to unregulated channels that
endanger public health.” The report
highlighted recent news that almost 150 Indonesian people died from alcohol
poisoning in early 2018 caused by drinking bootleg spirit containing mosquito
repellent. Across 18 countries assessed
in the report, illicit alcohol represents a combined US$1.8 billion fiscal
loss. IARD CEO, said “Tackling harmful
use of alcohol requires a collaborative and united response from public,
private and not-for-profit sectors. But these partnerships can only thrive when
there is a broad and regulated private sector able to play its role in
improving health and tackling harmful drinking.”
Alcohol in the
Shadow Economy outlines several successful partnerships to combat the black
market, including a code for shebeens, which are informal outlets selling
alcohol, predominantly in South Africa.
The development of affordable and safe alternative beers in Kenya,
Mozambique and South Africa; and a police initiative to engage with local
villagers in India for the purpose of targeting racketeers.
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