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

JTI to Build New Factory in Romania's Ștefăneștii de Jos,  Replacing Existing Bucharest Production Base - Completion Planned for 2027, Construction to Start in Weeks.
JTI to Build New Factory in Romania's Ștefăneștii de Jos, Replacing Existing Bucharest Production Base - Completion Planned for 2027, Construction to Start in Weeks.
JTI plans to build a new factory in Ștefăneștii de Jos, Romania, replacing its Bucharest production base. Scheduled for completion in 2027.
Nov.28 by 2FIRSTS.ai
Hanwha Securities: KT&G's Global Market Share Expected to Hit New High, Overseas Heated Tobacco Sales Projected to Grow 74%
Hanwha Securities: KT&G's Global Market Share Expected to Hit New High, Overseas Heated Tobacco Sales Projected to Grow 74%
KT&G predicted to reach all-time high global market share in 2025, with Q3 sales expected to surge 10%.
Oct.16 by 2FIRSTS.ai
Bremen Sees Active Illicit Trade in E-Cigarettes and Nicotine Pouches; Regulators Say ‘Nearly Every Inspection Finds Violations’
Bremen Sees Active Illicit Trade in E-Cigarettes and Nicotine Pouches; Regulators Say ‘Nearly Every Inspection Finds Violations’
Bremen’s state government warns of increasingly active illicit trade in e-cigarettes, snus, and nicotine pouches. Enforcement reports “violations in nearly every inspection,” with some disposable vapes exceeding Germany’s 2 ml e-liquid cap. Since 2024, authorities have recorded 54 violations in 255 checks, concentrated around the central station district and city center.
Oct.10 by 2FIRSTS.ai
Product | OXVA launches Artio 2 liquid-tobacco pod device, positioned as distinct from HNB and traditional flavored e-cigarettes
Product | OXVA launches Artio 2 liquid-tobacco pod device, positioned as distinct from HNB and traditional flavored e-cigarettes
OXVA has released its Artio 2 pod device featuring the Liquid Tobacco Intelligent (LTI) platform. It offers around 400 puffs per charge, pods equivalent to about 35 cigarettes, five tobacco and shisha flavors, and a 900mAh battery with 30-minute fast charging. The company positions the device as distinct from HNB and traditional flavored e-cigarettes.
Nov.27 by 2FIRSTS.ai
Russian State Duma passes first reading of bill to ban tobacco and e-cigarette sales at public transport stops
Russian State Duma passes first reading of bill to ban tobacco and e-cigarette sales at public transport stops
Russia's State Duma passes first reading of bill banning tobacco and e-cigarette sales at public transport stops. (20 words)
Oct.22 by 2FIRSTS.ai
UK to Implement e-cigarette Product Tax and Stamp Plan from October 1, 2026
UK to Implement e-cigarette Product Tax and Stamp Plan from October 1, 2026
HMRC announces e-cigarette tax stamp plan to combat illicit trade starting October 1, 2026 alongside VPD policy enforcement.
Nov.27 by 2FIRSTS.ai