Taxation & illicit trade study to encounter TI arguments
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Tobacco Control Cell, Ministry of National Health Services, Regulations and Coordination, Pakistan
Publication date: 2019-03-26
Tob. Prev. Cessation 2019;5(Supplement):A127
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Our research study report in November 2018 to assess the volume of sale of illicit cigarette brands in Islamabad Capital Territory (ICT) and test the recent claims mostly made by the tobacco industry that the market share of illicit brands in Pakistan has risen exponentially due to high tobacco taxes and now stands at 43.7% percent of the total cigarette market, on the base of this data, in 2017-18 Government introduce 3rd Tier of low tax rate. We conducted a House Hold survey to quantify the burden of illicit trade in ICT to encounter the TI claim. Our evidence base findings reveal the illicit trade is 15.8 % .The study also shows that the TI has shifted her brands into 3rd tier which has 80% market share, in result 50% decrease in revenue & increase in consumption.