One of the things I do on training courses aimed at telling people how to Write with Impact is to cite Shrek. Issues and Shrek are like onions. They have layers.

No piece of writing can address all the layers of any problem. The trick is to show awareness of other layers but focus on one or two of them to help the reader make sense of it all.

Likewise it is a good idea to take a single issue and use it to illustrate a wider point. Or to take a seemingly obscure but nonetheless interesting question and force it to the top of people’s attention.

All these devices help achieve the basic rule of good (and therefore impactful) writing: if you want it to be read, make it readable.

One of the best examples from my own career came in early 2004, not long after I arrived in Warsaw from Belgrade. Poland was set to join the European Union. Colossal numbers of Poles were likely to start moving to and fro between Poland and the UK – we had decided to open our Labour market unconditionally, much to the utter disbelief of the Polish leadership.

Once those Poles started moving with the aim of getting richer faster, what would they get up to? I thought it worth analysing one possible source of income – illicit cigarettes.

Hence a telegram I sent to London warning them in very simple language that the UK’s multi-billion pound problems with the informal cigarette market was about to get a whole lot worse overnight.

I did this by spelling out in the simplest possible terms the economics for the average Pole of informal cigarette-selling, even within legal limits.

This telegram wittily called Smoking Ants – Coming Our Way? caused a minor sensation in the Cabinet Office. Officials scrambled to change the rules to limit the numbers of cigarettes which people from the new EU member states could bring into the UK duty-free.

And, thanks to the miracles of Freedom of Information, I am pleased to share this telegram with you today.

The FCO cheekily cut out a line or two on the grounds that UK relations with Poland might be adversely affected(!). But otherwise it’s just as I drafted it. A nice example (if I say so myself) of drawing senior attention to an unexpected new problem by delivering work written in a bold way which no-one can avoid reading.

Diplomatic Folly Note: look out for the amusing reference to ‘Trilateral’ at the end. That was a footling attempt by Tony Blair to set up an inner UK/France/Germany driving force within the EU, which collapsed in no time at all in the face of the obvious objections (not least those emanating from one S Berlusconi).

Thus:

SUBJECT: EU ENLARGEMENT: SMOKING ANTS, COMING OUR WAY?

SUMMARY

Incentives for Poles to make a reasonable living in the UK’s dodgy cigarette business. Policy contradictions.

DETAIL

As a non-smoking connoisseur of Balkan tobacco activities I recently met the local BAT team to talk about regional cigarette smuggling. Some striking conclusions.

The Big Picture

BAT have studied tens of thousands of discarded cigarette packets. They conclude that some 70 billion cigarettes are sold legally in Poland every year, with a further 20 billion smoked “illegally” (ie sold outside the official excise structure and smuggled into Poland).

A good proportion of this illegal trade is conducted by an army of “ants”, individuals who carry small quantities of cigarettes into Poland from points East. But up to 50% of the illegal cigarette business is well organised, involving hundreds of truckloads of cigarettes each containing up to 10 million “sticks”. [redacted]

The emergence of this lucrative illegal trade can be traced readily back to 2000, when Poland pushed up excise duties. Until then almost all the 90 billion cigarettes smoked in Poland each year were passing through normal procedures. Smuggling soared with these new higher duties.

Sharp price/tax/excise differentials as between Russia, Poland and Western Europe are set to continue. Currently a pack of cigarettes which costs 50 cents in Russia sells for 1.30 dollars in Poland and up to 8 dollars in the UK. These ratios will change somewhat in the coming years as Poland raises the effective price of a pack towards EU levels, thereby giving serious new local incentives to regional smugglers (one good truckload can generate a profit of 1.5 million dollars). BAT expect some 50 billion cigarettes per year to be smuggled from Russia to Western Europe; this generates a 5 billion dollar profit – more than double BAT’s own global annual pre-tax profit.

Implications for UK of EU Accession

BAT point out that as things stand every Polish citizen is allowed to bring legally into the UK 200 cigarettes a trip. But after accession this figure jumps to 3200 cigarettes per trip. A pack of Dunhill can be bought in Poland for about £1 and be sold in a UK pub for up to £3.00. Each Pole entering the UK can hope to make a quick profit on the cigarettes of £250 per trip, not to mention extra money by importing a few bottles of cheap vodka. With a return coach fare of £50 and monthly unemployment benefit here of about £80, it is not difficult for a poor Pole to work out what to do. Better to get involved with UK officialdom by filling in UK benefit forms, or make easy money sitting on a bus?

COMMENT

The scale of the illicit cigarette business caused by price/tax differentials as between the UK and continental Europe is obvious and well known. It is part of a global compound interest drama: as rich countries get richer, the absolute wealth we generate gives ever-growing and vast incentives for honest people and gangsters alike to “play the margins”. The cigarette price effects of EU enlargement is more of the same, albeit a great deal more of the same. But the upstream consequences of this illegality for the region are considerable.

Our Policy contains Contradictions. HMCE/HMT are looking at reducing the amounts of cigarettes which accession nationals can bring into the UK. Meanwhile we and our EU partners laboriously try to “train border guards and customs officials” on the EU’s Eastern Borders. But only a couple of truckloads of cigarettes inject more resources into corrupting these official structures than we are injecting into reforming them. The corrupted structures then can be exploited not only by cigarette smugglers but also by human traffickers, global drug dealers and even terrorists – serious security questions here.

The cost of all this is not on a scale to destabilise the whole of Polish society as has happened in Serbia, to the point of the assassination of the Prime Minister. But it is a serious and systemic obstacle to reform. Scope for a new, hard look (Trilateral or in another smaller group first?) at what else might be done on the strategic level?

* * * * *