Highlighting the 44th Government’s strong commitment to reform, efforts will be made to systematically eradicate smuggling, illegal trade, and the corruption that accompanies them. As part of this initiative, a ban on tobacco storage in free zones will be incorporated into the updated Law on Free Zones. This decision demonstrates the collaborative approach of both the Government and the Ministry of Economic Development, which has convened a capable and inclusive working group to execute this reform under the Anti-Corruption Strategy, as stated by Deputy Prime Minister for Political System, Justice, and Anti-Corruption Momo Koprivica.

For many years, the Free Zone at the Port of Bar was misused for cigarette smuggling instead of contributing to economic growth. This misuse became a prevalent method for cigarette trafficking, causing significant harm to Montenegro’s reputation and financial health, as well as to the budgets of Western European nations. Such misconduct was facilitated by systemic corruption, Koprivica noted.

Koprivica recalled that the initial decision to prohibit tobacco storage in the Free Zone was implemented in 2021, following a proposal from the Ministry of Finance under the previous 42nd Government.

This decision is still active, continues to have legal implications, and is being rigorously enforced—there is no tobacco storage occurring in the Free Zone, emphasized Koprivica.

He further pointed out that by formalizing this prohibition in law, it will acquire greater legal weight and, crucially, facilitate the establishment of penalties and enforcement mechanisms for any breaches.

A legal framework is necessary to impose penalties. We believe that the ban on tobacco storage must be protected by legal sanctions, and thus we have opted to codify it within the law, including explicit penal provisions and additional measures such as product confiscation, seizure of illicit profits, mandatory disclosure of documents and data, the issuance of official orders, and more. This will deter any attempts to exploit the Free Zone in the future, ensuring it serves exclusively for its economic intents, stated Deputy Prime Minister Koprivica.

From a state-policy standpoint, he asserted that by codifying the tobacco storage prohibition in free zones, Montenegro sends a clear message both domestically and internationally regarding its unwavering commitment to eliminate smuggling and the illegal tobacco trade. This enhances the nation’s reputation and bolsters efforts to combat smuggling, corruption, and organized crime.

The proposed law will adhere to OECD recommendations regarding the combat against illicit trade, the Code of Conduct for Clean Free Trade Zones, and the World Customs Organization’s Practical Guide on Free Zones. It will also introduce advanced technologies to enhance control procedures, explained Koprivica.

He acknowledged the significant reform measures taken by the Ministry of Finance, under Minister Vuković, which have notably diminished the grey market and increased budget revenues. Furthermore, customs and police officials have successfully prevented and prosecuted smuggling incidents, while the Special State Prosecutor’s Office has achieved impressive results in dismantling organized criminal networks involved in cigarette trafficking—efforts that merit full acknowledgment and support.

Koprivica also emphasized that the Government’s Coordinating Body for the inventory of seized tobacco has undertaken a credible process with the involvement of international partners. The final phases are in progress to ensure that all confiscated tobacco is destroyed transparently, with every step documented and verified, guaranteeing accountability for every last cigarette pack.

This strategy not only showcases the reform-oriented will and determination of the 44th Government but also enhances Montenegro’s systemic integrity and international standing. It will position our country as an appealing destination for legitimate investors—never again for illicit traders and smugglers, concluded Koprivica.