The government has significantly raised the price of tobacco products, including cigarette and bidi, which is a major public health concern in Bangladesh, in a bid to restrain tobacco consumption and surge revenue collection.
In the proposed budget, the price of ten-stick packet of premium segment cigarette increased from Tk 105 to Tk 123 of which the government will get 65 percent as supplementary duty, 15 percent as VAT and 1 percent as health development surcharge.
If the proposed budget is implemented, for example, the retail price of 20-stick premium segment cigarettes will increase to Tk 246 form Tk 210.
The price of every 10 sticks of high segment cigarette is set at Tk 93, up Tk 18 from the previous price.
“Considering the health-risk and harmful effects of tobacco products and to maintain compliance with global anti-smoking policy, we are committed to reduce the use of tobacco,” said Finance Minister AHM Mustafa Kamal today.
Consumers will have to buy a 10-sticks medium segment cigarette packet at Tk 63, which is now available at Tk 48.