Pakistan Government Increases Tobacco Tax to Address Public Health Crisis

Regulations by 2FIRSTS.ai
Apr.18.2024
Pakistan Government Increases Tobacco Tax to Address Public Health Crisis
Pakistan government raises tobacco taxes to address public health and revenue pressures, with research showing impact on smoking habits.

According to a report by Daily Times on April 18, the Pakistani government has decided to increase taxes to address the dual pressures of public health and revenue generation.

 

A study released a few months ago by the academic researchers and professionals of "Capital Calling" showed that for every 94 smokers, one quit smoking after an increase in tobacco prices. The report highlighted that government decisions to raise taxes are a key strategy for addressing public health issues and revenue deficits.

 

The Federal Board of Revenue (FBR) of Pakistan has increased the tax on the first tier of tobacco from 130 rupees (0.47 USD) to 330 rupees (1.19 USD), resulting in a net increase of 154%. This decision by the FBR is aimed at increasing revenue for the current fiscal year from 148 billion rupees (5.3 billion USD) to 200 billion rupees (7.2 billion USD).

 

This study was conducted in major cities including Islamabad, Rawalpindi, Lahore, and Peshawar. The surveyed smokers commonly expressed that the financial burden of purchasing cigarettes is becoming increasingly heavy, leading them to prioritize spending on food and basic needs such as their children's education. The report further adds that over the past seven years, due to lobbying by multinational tobacco companies for low tax policies, Pakistan has potentially lost up to 567 billion Pakistani rupees (2.04 billion US dollars) in revenue.

 

Furthermore, there is evidence to suggest that if the government further increases federal consumption taxes on the tobacco industry, cigarette sales in Pakistan will further decrease in the coming months.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Qnovia’s Heat-Free Inhalable Nicotine Replacement Therapy Posts Positive First-in-Human Data, Advances FDA and MHRA Filings as Funding Expands
Qnovia’s Heat-Free Inhalable Nicotine Replacement Therapy Posts Positive First-in-Human Data, Advances FDA and MHRA Filings as Funding Expands
U.S.-based medical startup Qnovia Inc. reported positive results from its first-in-human clinical trial of RespiRx, an inhalable nicotine replacement therapy (NRT) device designed to support smoking cessation.
Innovation
Feb.24
France’s ANSES Report Reframes the Vape Debate: Harm Reduction Confirmed, Regulatory Barriers Rising
France’s ANSES Report Reframes the Vape Debate: Harm Reduction Confirmed, Regulatory Barriers Rising
France’s top health agency has confirmed that vaping is less harmful than smoking — but not risk-free — reshaping the country’s regulatory trajectory. As Paris withdraws a proposed vape tax and debates stricter ingredient, emissions and youth-protection rules, the ANSES report signals not prohibition, but tighter technical oversight. For manufacturers, retailers and EU policymakers, France may be previewing Europe’s next phase of nicotine governance.
Special Report
Feb.23
Heated tobacco brand DIITO launches in Mongolia
Heated tobacco brand DIITO launches in Mongolia
A new heat-not-burn (HNB) brand, DIITO, has commenced promotional activities in the Mongolian market. The device features an integrated display panel and supports dual heating modes, "RELAX" and "RUSH." Investigations reveal that DIITO’s local promotion closely overlaps with RELX’s official distribution channels. Furthermore, the DIITO trademark is held by the UK-based REAZEN TECH LIMITED, a company that also manages the e-cigarette brand FASTA.
Jan.16 by 2FIRSTS.ai
Arizona Moves to Tighten Vape Supply-Chain Enforcement, Targeting Illicit Products
Arizona Moves to Tighten Vape Supply-Chain Enforcement, Targeting Illicit Products
Arizona state Sen. Shawnna Bolick introduced SB 1397 to curb illicit vapes by tracing product origins, intercepting illegal shipments, and cracking down on retailers that violate state law. The proposal would require manufacturers to hold a state license to sell in Arizona, with fines up to $10,000 for unlicensed sales.
Jan.30 by 2FIRSTS.ai
Dalton, Georgia considers new licensing rules and caps for vape shops
Dalton, Georgia considers new licensing rules and caps for vape shops
Dalton, Georgia is weighing a proposal to require city licenses for vape shops, limit how many can operate within city limits, and impose a 1,000-foot buffer for new shops from schools and other community facilities. City officials say the ordinance would not eliminate existing vape shops outright, though some may be impacted if ownership changes or licenses expire.
Feb.05 by 2FIRSTS.ai
South Dakota Senate Committee Advances Bill Tightening Nicotine Retail Rules
South Dakota Senate Committee Advances Bill Tightening Nicotine Retail Rules
South Dakota Senate Bill 221 (SB 221), which seeks to regulate the retail sale of nicotine products, has passed the Senate Health and Human Services Committee with a unanimous 7–0 recommendation. The bill was significantly amended, expanding from three to nine pages and shifting its focus from vapor products alone to all nicotine products.
Regulations
Feb.22