Taiwan Tobacco and Liquor Corporation Introduction
The monopoly on tobacco and alcohol in Taiwan originated during the Japanese colonial period. In the 14th year before the Republic of China (1898), the Governor-General of Taiwan not only maintained the existing opium monopoly but also expanded the scope of monopolies by implementing the monopolies on salt and camphor. In January of the 11th year before the Republic of China (1901), the original Taiwan Pharmaceutical Factory, Taiwan Salt Administration, and Taiwan Camphor Bureau were merged to establish the "Tobacco and Alcohol Monopoly Bureau of the Governor-General of Taiwan." The Governor-General of Taiwan further included cigarettes and alcoholic beverages into the monopoly system in the 7th year before the Republic of China (1905) and the 11th year (1922), and in 1942, matches, weights, and measures were also brought under the monopoly. By 1943, petroleum was defined as a monopolized product. Therefore, the monopolized products before Taiwan's retrocession included eight items: cigarettes, alcoholic beverages, opium, salt, camphor, matches, petroleum, and weights and measures. The Tobacco and Alcohol Public Sales Bureau was an organization responsible for the production, transportation, and marketing of tobacco and alcohol, meeting the demand of the public and implementing the laws governing the monopoly on tobacco and alcohol. Affiliated institutions, tobacco and alcohol distribution units, and licensed retailers were spread across Taiwan, creating a well-established marketing network. Profits from the public sales bureau were paid into the national treasury, fulfilling dual economic and fiscal responsibilities; over the years, it has achieved performance, and the profits collected have consistently occupied a pivotal position in the national tax revenue. According to the "Temporary Regulations for the Adjustment of Functions and Organization of the Taiwan Provincial Government," the Tobacco and Alcohol Public Sales Bureau was transferred to the Ministry of Finance, the central governing body for public enterprises, on July 1, 1999, continuing to execute administrative management and production and sales of tobacco and alcohol. In recent years, in response to globalization and liberalization, the government has discussed abolishing the tobacco and alcohol monopoly and opening up production, subsequently announcing the "Tobacco and Alcohol Control Act" and the "Tobacco and Alcohol Tax Act," which were implemented starting January 1, 2002, abolishing the monopoly system and returning tobacco and alcohol to a tax system. The "Taiwan Tobacco and Liquor Corporation Act" was passed by the Legislative Yuan on April 25, 2002, and was promulgated by the President on May 15, 2002, leading to the transformation of the Tobacco and Alcohol Public Sales Bureau into the "Taiwan Tobacco and Liquor Corporation" on July 1, 2002. Source: Official website of Taiwan Tobacco and Liquor Corporation
