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

IQOS Global Flagship Space to Open in Tokyo Ginza as PMI Expands Consumer Experience Strategy
IQOS Global Flagship Space to Open in Tokyo Ginza as PMI Expands Consumer Experience Strategy
Philip Morris Japan (PMJ) announced that it will open “IQOS Flagship Ginza” in Tokyo on September 4, 2026. The location will become the first global flagship space for PMI’s IQOS brand. PMJ said the venue will target adult smokers aged 20 and above and combine product experiences, community engagement and local cultural elements. The design will incorporate Japanese natural aesthetics and traditional craftsmanship. The launch reflects PMI’s broader strategy of strengthening consumer engagement through experiential retail and brand spaces. The existing IQOS Store Ginza is scheduled to close on August 30, 2026.
Jul.21
Germany Plans Tobacco Tax Hike, With Cigarette Prices Nearing €12 Per Pack by 2030
Germany Plans Tobacco Tax Hike, With Cigarette Prices Nearing €12 Per Pack by 2030
Germany plans to raise tobacco taxes over the coming years, potentially pushing the average price of a 20-cigarette pack to about €11.78 by 2030. The proposal also covers fine-cut tobacco, cigars, pipe tobacco and e-cigarette liquids.
Jul.14
Nicotine Pouches Lead U.S. Tobacco Growth as Vape Sales Decline
Nicotine Pouches Lead U.S. Tobacco Growth as Vape Sales Decline
New convenience store industry data show nicotine pouches have become the primary growth driver in the tobacco category, with oral nicotine sales rising nearly 30% over the past year while vape sales declined.
Business
Jun.05
Product | Geek Bar Expands Meloso Lineup With the Launch of Meloso Max 2
Product | Geek Bar Expands Meloso Lineup With the Launch of Meloso Max 2
Geek Bar has added Meloso Max 2 to its official product lineup, further expanding its disposable vape portfolio. As the latest generation of the Meloso series, the new device introduces upgrades in endurance, device interaction and industrial design while reinforcing Geek Bar’s strategy of offering differentiated disposable products across multiple usage scenarios.
Jun.26
PMI Partners With Italian Tenor Andrea Bocelli to Launch “Believe. Further” Platform
PMI Partners With Italian Tenor Andrea Bocelli to Launch “Believe. Further” Platform
Philip Morris International (PMI) and Italian tenor Andrea Bocelli have launched “Believe. Further,” a multi-year communications platform targeting cultural, institutional and business audiences in Europe, as PMI says smoke-free products accounted for 43% of its net revenues as of the first quarter of 2026.
Jul.01
BofA: U.S. Nicotine Market Splits as Vapor Sales Fall 17.2% and Oral Tobacco Rises 5.8%
BofA: U.S. Nicotine Market Splits as Vapor Sales Fall 17.2% and Oral Tobacco Rises 5.8%
According to Investing.com citing Bank of America scanner data for the four weeks ending May 30, U.S. nicotine category performance was mixed, with cigarette, vapor and cigar sales declining while oral tobacco sales rose 5.8%.
Jun.10