The government may ban the sale of loose cigarettes before the announcement of the Union Budget 2023-24 to curb the sale and use of tobacco products, said reports. A Standing Committee of Parliament also recommended shutting down smoking zones at airports.
While making recommendations, the Standing Committee has observed that even after the implementation of the Goods and Services Tax (GST) regime, there hasn’t been increase in the tax on tobacco products. The committee has also highlighted the risk of cancer in those who smoke or chew tobacco.
As per current tax slabs, 53 percent tax is levied on cigarettes while smokeless tobacco attracts 64 percent tax. The World Health Organisation (WHO) has recommended Government of India that a 75 percent tax must be imposed on tobacco in the country.
Around 350,000 people die every year in India due to smoking cigarettes. India’s National Council of Applied Economic Research conducted a survey in 2018 that showed 46 per cent of the people who smoke were illiterate while 16 per cent were college going students.
