GNR police confiscated 60,380 illegal cigarettes of the Chesterfield, Slims Merlyn and Marlboro cigarette brands during a crack down on illegal merchandise in Portimão, which took place in the early hours of Sunday morning.
Should it have been sold the confiscated stash would be worth in the region of €11,000, police sources said.
The cigarettes were found during a routine goods check. GNR police pulled over a Spanish-registered car and found the contraband merchandise inside. Officers grew suspicious after seeing a large number of boxes claiming to contain Bulgarian biscuits.
Tax evasion on the smuggled goods has been estimated at around €8,700.
The vehicle was being driven by two foreign men, aged 29 and 44.