Press Esc to close
Tuesday 21 October 2014
News updated at 9:57 PM IST
Weather
Max: 25.4°C
Min : 20.2°C
In Bangalore
Sunny day

ADB suggests 50 pc hike in fag price

New Delhi, Nov 21, 2012 , DHNS

India can save tens of lakhs of lives and simultaneously earn billions of dollars in revenue if the government increases cigarette price by 50 per cent by imposing additional taxes, the Asian Development Bank has suggested.

Public health workers for long have demanded a steep rise in taxes on tobacco, which may act as a deterrent for smokers.

The ADB study suggested that as many as 41 lakh lives could be saved if the price of cigarette is hiked by 50 per cent. The move will also generate an additional revenue of $ 2.2 billion for the government.


At present, India has 47.8 million smokers, of which 23.9 million are expected to die, going by medical evidence cited in the ADB report.

Asia houses five of the high tobacco-burden countries - China, India, Philippines, Thailand and Vietnam. A 50 per cent hike in price of cigarette, corresponding to 70-122 per cent tax enhancement, will lower the number of smokers by nearly 67 million and reduce tobacco related deaths by 27 million.

Ten million Indians will either not pick up smoking or quit following the price rise, claimed the survey, which excluded beedi and smokeless tobacco from its purview. The study was presented at the World Health Organisation's global tobacco control meeting at Seoul last week.

The Central government has done precious little to discourage smokers apart from a marginal increase in tax on cigarettes and preventing foreign direct investment in the tobacco sector, Bhavna B Mukhopadhyay, executive director of the Voluntary Health Association of India, told Deccan Herald.

Several states like Bihar, Goa, Himachal Pradesh, Jammu and Kashmir, Karnataka, Rajasthan and New Delhi have raised VAT on tobacco products by more than 20 per cent.

In his 2010-11 budget speech, then finance minister Pranab Mukherjee urged everybody to quit smoking. But barring a small hike in excise duty on cigarette, he did not take any significant action in the last two years to deter the public from picking up the deadly habit, Mukhopadhyay said.

Go to Top

Photo Gallery
A major fire that broke out in the crackers market in Faridabad...

A major fire that broke out in the crackers market in Faridabad...

On the eve of Diwali Renowned sand artist Sudarsan Pattnaik created a sand sculpture of Kali...

On the eve of Diwali Renowned sand artist Sudarsan Pattnaik created a sand sculpture of Kali...

Indian passengers rest on a crowded platform ahead of Diwali, the Hindu festival of lights...

Indian passengers rest on a crowded platform ahead of Diwali, the Hindu festival of lights...

Indian soccer player Peter Biaksangzuala, center, performs flips as he celebrates a goal...

Indian soccer player Peter Biaksangzuala, center, performs flips as he celebrates a goal...

Woman buying earthen lamps at a market ahead of the Diwali festival...

Woman buying earthen lamps at a market ahead of the Diwali festival...

School children paint their faces during Diwali celebrations...

School children paint their faces during Diwali celebrations...

A huge rangoli in front of Swaminarayan Temple...

A huge rangoli in front of Swaminarayan Temple...

Volunteers of Azad Hind taking out a procession to mark the Azad Hind Foundation Day...

Volunteers of Azad Hind taking out a procession to mark the Azad Hind Foundation Day...

Family members paying tribute to police martyrs during Police Commemoration Day...

Family members paying tribute to police martyrs during Police Commemoration Day...

TRS activists set affire chairs at the TDP office in Nalgonda...

TRS activists set affire chairs at the TDP office in Nalgonda...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bangalore - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523