close
Sunday July 14, 2024

Cigarettes sale declines owing to awareness

By INP
April 26, 2024
This representational image shows smoke emanating from a cigarette. — Unsplash/File
This representational image shows smoke emanating from a cigarette. — Unsplash/File

Islamabad: A study has witnessed major decline in retail volume sales of cigarettes in Pakistan due to higher taxes and awareness amongst cigarette consumers of the potential health risks caused due to smoking.

The Euro monitor report has revealed the retail volume sales decreased by 1% in 2022, resulting in the sale of 60 billion sticks annually, the sale was set to decrease by 2% over the forecast period to 55 billion sticks. Pakistan Tobacco Company was the leading player in 2022, with a retail volume share of 71% in the market, the report added.

The WHO advocates for robust tax measures to reduce tobacco consumption, citing the effectiveness of a 10% increase in tobacco prices typically leads to a 4% decrease in overall tobacco consumption in high-income countries and up to an 8% decrease in low- and middle-income countries. A study by the Pakistan Institute of Development Economics (PIDE) highlights the dire consequences of smoking-related diseases and deaths, with costs amounting to Rs615.07 billion in 2019, equivalent to 1.6% of the GDP.Meanwhile, the International Monitory Fund (IMF) has recently, suggested applying a single-tier tax structure on all international and national cigarette brands.