1 day ago
Meerut Counterfeit Cigarette Bust Highlights India’s Illicit Trade Losses
Police in Meerut found a factory making cigarettes that copied well-known brands.
The factory was inside an abandoned school building in Doodhli village.
Police seized cigarettes, equipment and materials worth more than ₹3 crore.
The factory owner was arrested, and workers were questioned.
Police are also checking whether the school management knew about the factory.
Illegal cigarettes avoid taxes and can reduce the money collected by the government.
Different organizations give different estimates of how much money India loses because of this trade.
Experts also warn that money from illegal trade can support criminal activities.
Meerut Police seized counterfeit cigarettes, machinery and raw materials worth over ₹3 crore from an illegal factory in an abandoned school building in Doodhli village.
The factory owner was arrested, while workers were detained for questioning; police are investigating the possible involvement of the school management.
Authorities seized nearly 150 million illicit cigarette sticks during the first three quarters of 2025-26, according to a Central Board of Indirect Taxes and Customs official.
FICCI reported 90.98 million illicit cigarette sticks seized in 2023-24 and estimated revenue losses of more than ₹13,331 crore in 2019-20.
The Tobacco Institute of India estimates illegal cigarettes make up about one-fourth of India’s cigarette market and cost the government ₹23,000 crore annually.
- Who
- Meerut Police arrested the alleged factory owner and detained workers; police are also investigating the school management.
- What
- Police seized a large cache of counterfeit cigarettes, machinery and raw materials from an illegal manufacturing unit.
- Where
- An abandoned school building in Doodhli village, under Hastinapur Police Station in Meerut, Uttar Pradesh.
- When
- The seizure took place on Friday; related national seizure figures cited cover the first three quarters of 2025-26 and earlier years.
- Why
- The operation targeted illegal cigarette manufacturing, which authorities and industry groups say causes tax and revenue losses.
Key facts
- Seizure value
- More than ₹3 crore, including cigarettes, machinery and raw materials.
- Location
- An abandoned school building in Doodhli village, Meerut.
- Arrests and questioning
- The alleged owner was arrested; workers were detained for questioning.
- 2025-26 seizures
- Nearly 150 million illicit cigarette sticks were seized in the first three quarters, according to a Central Board of Indirect Taxes and Customs official.
- 2023-24 seizures
- FICCI reported seizures of 90.98 million illicit cigarette sticks.
- Market share estimate
- The Tobacco Institute of India says illegal cigarettes account for as much as one-fourth of India’s cigarette market; Euromonitor International data cited in the report puts the figure at 26.1%.
- Revenue loss estimates
- Reported estimates range from more than ₹13,331 crore in 2019-20 to ₹23,000 crore annually; an international estimate cited in the report exceeds ₹21,000 crore.
Quotes
Tobacco Institute of India
Industry organization cited for estimates on illicit cigarette trade in India.
“Illegal Cigarette trade comprising international smuggled and locally manufactured tax-evaded cigarettes accounts for as much as 1/4th of the Cigarette Market in India. It is estimated that the Government loses Rs. 23,000 crores per annum on account of illegal cigarette trade.”
thestatesman.com
“According to the recent data released by Euromonitor International, India is the 4th largest illicit market in the world. Illicit cigarettes currently account for 26.1% of the Indian cigarette market”
thestatesman.com





