Seminar Demands Tobacco Price Increase in Upcoming Budget

Bangla Press Desk:  A national seminar titled ‘The Necessity of Effectively Increasing Taxes and Prices on All Tobacco Products in the Upcoming FY 2026–27 Budget for Protecting Public Health’ was organized by Development Organisation of the Rural Poor-DORP on Wednesday at the CIRDAP Auditorium in Dhaka, demanding effective taxation and price increases on tobacco products in the national budget for the fiscal year 2026–27 to safeguard public health.

The chief guest at the seminar was Munshi Alauddin Al Azad NDC, Secretary of the Ministry of Religious Affairs, according to a media release.

He said that tobacco products in Bangladesh remain significantly cheaper than essential commodities.

Referring to data from the Department of Agricultural Marketing, he noted that between 2021 and 2023, the prices of essential goods increased by 27 to 89 percent, whereas cigarette prices rose by only 6 to 15 percent during the same period.

As a result, tobacco products have become more accessible, particularly to youth and low-income populations, leading to an alarming increase in smoking rates that poses a major threat to public health.

He emphasized that to reduce these health risks, tobacco prices must increase at a rate higher than inflation and income growth.

Special guest Nahid Nowshad Mukul, First Secretary (VAT Monitoring and IT) of the National Board of Revenue, said that due to the current tobacco tax structure, the government is losing the opportunity to generate an additional Tk 44,000 crore in annual revenue.

Dr. Shafiun Nahin Shimul, Director of the Institute of Health Economics at the University of Dhaka, presented the keynote paper.

He pointed out that Bangladesh currently has a four-tier cigarette pricing system—low, medium, high, and premium—with nearly 90 percent of cigarettes sold belonging to the low and medium tiers.

He proposed merging the low and medium tiers in the upcoming fiscal year and setting the minimum retail price at Tk 100 per 10-stick pack, Tk 150 for the high tier, and Tk 200 for the premium tier, while maintaining a 67 percent supplementary duty across all tiers and imposing a specific tax of Tk 4 per pack.

Md. Akhtaruzzaman, Director General of the National Tobacco Control Cell, said that Bangladesh has the highest tobacco use rate in South Asia at 35.3 percent, and nearly 200,000 people die prematurely every year from tobacco-related diseases.

The welcome speech at the seminar was delivered by AHM Noman, Founder and CEO of DORP, while the concluding remarks were delivered by Mohammad Nurul Amin.

The session was moderated by Mohammad Jobayer Hasan.

Among others present were Md. Mostafizur Rahman, former Chairman of BCIC, Jeba Afroza, and other distinguished guests.