With the restriction imposed by UG groups on tobacco products and the popularity among the youths of the state, corrupt businessmen have found safe haven in the state by selling the restricted tobacco products and Winston cigarettes at a much higher rates which is more than twice the actual rate of the products.
Tobacco products like Zarda, Khaini, Talab, Rajnigandha are being procured by the businessmen in the state by trafficking them in buses and trucks.
They are also not paying any VAT tax to the state government since they are trafficking the products in illegal ways.
Since the state authority is not doing anything to check the trafficking of such products in the state, the state government is losing a quite large amount of revenues.
With restriction imposed by some UG groups to these products taking stocks of its health effects, the items have become an item of black marketers.
Taking advantage of the restriction dealers in Imphal is charging whatever amount they like from retailers which even exceeds double of its printed price.
They are pricing Rs 85 for a can of Zarda Baba Black instead of Rs 55, Rs 250 to 270 for a Zarda Baba 120 gm instead of Rs 215, Rs 680 for a can of Zarda 160 instead of Rs 620, Rs 260 to 270 for a packet of 60 Talab sachets instead of Rs 55, Rs 50 for a packet of Rajnigandha instead of Rs 24 and Rs 180 to 200 for a packet of 30 cans of Khaini instead of Rs 130.With the dealers pricing a heavy price for the products, customers are forced to buy the products at a much higher rate from the retailer.
It may be mentioned that some UG groups have restricted shops in the state to sell the tobacco products in the state.
Since then dealers in the state have found the trade of tobacco products in the state a money making machine by selling the products at much higher rates taking advantage of the restriction.
On the other hand shops throughout the state are selling these products at large without thinking of any consequences.
Moreover youths in the state especially the women and teenage girls have found a fashion in chewing tobacco and Talabs.
In such situation many question arise whether the restriction imposed by the UG groups is effective or have the restriction become a valuable maney making tool for the dealers.
Interestingly, no authorized dealer is found in the state when Hueiyen Lanpao investigated the matter.
It was also found that non Manipuri businessmen are procuring the tobacco products by sending their men to the company.