A new report says Newfoundland and Labrador lost about $81-million in tax revenues between 2019 and 2022 because of illegal tobacco sales.

The report, from the Convenience Industry Council of Canada, says taxpayers in Newfoundland and Labrador, British Columbia and Ontario lost a total of almost $2.5-billion in tax revenue in that time.

Michael Hammond, Vice-President Atlantic of the council, says the numbers in this province are staggering. Their statistics show $81-million over three years but the loss could be as high as $40-million over the last year.

Their group knew the market was large, but the numbers surprised even them.

Police tell them that organized crime groups are leading the way.

He points to recent busts on Bell Island and in Goose Cove and Bunyan’s Cove where it’s usually a combination of drugs, weapons, cash and contraband tobacco. “They’re all related,” he says.