The most concrete commitments in the new framework of understanding between Spain and the United Kingdom with regard to Gibraltar are listed in the chapter of the tobacco, a section in which the british colony had never made any concession to Spain. The text, which has had access to THE COUNTRY, along with the other three memorandums, notes that “all stakeholders have agreed on the need to reduce the differential in the price of tobacco products” between the two territories. The gap that exists between the price at which they are sold in Gibraltar, with a taxation almost non-existent, and that of Spain makes it very attractive to the smuggling of the Rock to Spanish territory. To avoid this, the differential may not exceed 32% of the average price in June of 2020, says the text. At present, the gap minimum is 48%, according to data from the Ministry of Foreign affairs.

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The tobacco complicates the negotiation on Gibraltar And sold the smuggled tobacco

After years without any framework of understanding in this field, the Government of Gibraltar is declared in the memorandum of understanding signed on Thursday “concerned about the consequences of tobacco for health and the existence of an illicit trade”. Spain had claimed on numerous occasions similar measures, without being able to boot into concrete commitments. This is Bahis Siteleri the first progress on a site that is so detrimental to the coffers of spain. Last year, the Spanish authorities seized more than 600,000 packs illegal, according to official data, a 158% more than in 2016.

Almost as important as the fixing of a differential cap on the price of tobacco is the commitment to control over the functioning of the market in Gibraltar. Both parties will share information on the quantities moved between both territories. Specify the variety, the origin, the exporter, the destination, the importer and the weight. That way you will be able to trace these items and better control of the transferred illicitly. The agreements have been possible after the rubricaran the Spanish minister of Foreign affairs, Josep Borrell, and the number two in the british Government and in charge of the Brexit, David Lidington, after months of complex negotiation.

Queries quarterly

Both parties will share information on the effectiveness of the efforts made to curb smuggling, “including the legislation passed to these effects, and administrative and judicial measures applied, and human resources”, among other details. That information will be provided on a quarterly basis. The cooperation shall also include the identification of the persons responsible for smuggling activities. As a final assurance that this is not a mere declaration of intentions, the text provides that, if there is any evidence of “contraband ” in significant quantities, effective measures shall be adopted to prevent this illegal activity”.

London has resisted greatly to reaching this understanding with Madrid, which has been facilitated by the higher position of strength that acquires Spain with regards to Gibraltar when you leave Uk from the EU. Any relationship of the colony with the block community, from which she never wanted to separate —a 96% of gibraltarians voted to remain in Europe— through a better dialogue with Spain.