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Excise hike drags Gallaher sales lower

Cigarette group Gallaher, which owns the Benson & Hedges and Silk Cut brands, says its Irish sales volumes fell in the first half of this year.

The company sold 1.4 billion cigarettes, down from 1.6 billion in the same period last year. Gallaher blamed the fall on the 50 cent increase in excise tax imposed in last December's budget.

In May, the company announced plans to close its manufacturing plant in Tallaght in Dublin with the loss of 121 jobs.

Gallaher says there are currently 14 claims against its companies in the Republic from people seeking damages for ailments claimed to have resulted from tobacco use or exposure to tobacco smoke.