Tobacco consumption rising alarmingly

Experts suggest more taxes on tobacco products

The market for tobacco products may get a boost of up to Tk. 30,000 crore in the 2016-17 fiscal year on the basis of surcharge from their legal sales.

In the 2015-16 fiscal year, the total value of the market was estimated at Tk. 25,000 crore, said Muhammad Ruhul Quddus, coordinator of the National Tobacco Control Cell.

He told The Independent that the market can go beyond control unless further taxes are slapped on tobacco products and mass awareness is developed.

According to PROGGA, an anti-tobacco campaign group, the number of adolescent boy and girl smokers along with users of different tobacco products have increased alarmingly.

At least 7 per cent of young people between 13 and 15 years have become addicted to smoking.

The government realises only 1 per cent surcharge on tobacco products, earning only Tk. 250 crore on this count in the 2015-16 fiscal year. The government realises this amount for the development of the healthcare sector.

According to Prof. Abu Azam of the National Cardiovascular Institute and Hospital, the consumption a high quantity of tobacco leads to malnutrition, lack of interest in physical labour, and high blood pressure. All these eventually lead to non-communicable diseases. Besides, air pollution, poverty, illiteracy, unplanned urbanisation and changes in lifestyle add to the rise in such diseases, he added.

In its report titled "Impact of Tobacco related illness in Bangladesh in 2007", the World Health Organisation (WHO) said at least 57,000 people die because of tobacco consumption every year in Bangladesh.

ABM Zubair, executive director of PROGGA, said it would be an effective step if the government raises the prices of tobacco products through taxation. This would discourage young people and other users from using tobacco products, he added.

PROGGA said taxes on tobacco products should be increased by 25.95 per cent on every packet of 10 sticks of cheap cigarettes in the 2017-18 fiscal year. Tax slabs for high-quality cigarettes must be increased by 49.60 per cent and those of premium quality by 82 per cent, it mentioned.

ABM Zubair  recommended imposition of an excise duty of Tk. 16 on  on every 20 grams of smokeless chewing tobacco products like zarda and gul. He also recommneded that their retail prices be fixed at Tk. 32.

According to NBR sources, the country’s annual VAT and supplementary duty on the tobacco sector stands at Tk. 13,000 crore. Of this, 98 per cent comes from cigarettes, 2 per cent comes from bidi, and 1.5 per cent and 0.5 per cent comes from like zarda and gul.

Former NBR member Aminur Rahman has said that the National Board of Revenue gets 10 per cent of its revenue from the tobacco sector. It has made tobacco companies very powerful and influential, leading to the NBR conceding to many of their unjust demands, he noted.

There should be a social platform againstto promote the fight against tobacco consumption, he added.

Syed Mahfuzul Huq, the professional officer of the WHO in Bangladesh, said there was no other option other than increasing the prices of tobacco products to reduce the consumption of smoking and slash the number of smokers.

Citing different research findings across the world, Huq said with the tax hike on cigarettes by 10 per cent, the sales also declined by 8 per cent.

Noted economist Dr Quazi Kholiquzzaman told The Independent that there was no alternative other than increasing taxes on tobacco products. Besides, the price slabs on taxation on cigarettes should be withdrawn. Since people would change their brand if the prices go up, prices of all the tobacco products must be raised to reduce their consumption, he added.

The state Minister for health and family welfare, Zahid Malek, said the government is continuing with its efforts to curb the use of tobacco products considering the issue of public health.

Prime Minister Sheikh Hasina has already announced that the country would be free of tobacco by 2040.

“We are working towards such a future,” Zahid Malek added.

 

Tobacco consumption rising alarmingly

Experts suggest more taxes on tobacco products

The market for tobacco products may get a boost of up to Tk. 30,000 crore in the 2016-17 fiscal year on the basis of surcharge from their legal sales. In the 2015-16 fiscal year, the total value of the market was estimated at Tk. 25,000 crore, said Muhammad Ruhul Quddus, coordinator of the National Tobacco Control Cell. He told The Independent that the market can go beyond control unless further taxes are slapped on tobacco products and mass awareness is developed. According to PROGGA, an anti-tobacco campaign group, the number of adolescent boy and girl smokers along with users of different tobacco products have increased alarmingly. At least 7 per cent of young people between 13 and 15 years have become addicted to smoking. The government realises only 1 per cent surcharge on tobacco products, earning only Tk. 250 crore on this count in the 2015-16 fiscal year. The government realises this amount for the development of the healthcare sector. According to Prof. Abu Azam of the National Cardiovascular Institute and Hospital, the consumption a high quantity of tobacco leads to malnutrition, lack of interest in physical labour, and high blood pressure. All these eventually lead to non-communicable diseases. Besides, air pollution, poverty, illiteracy, unplanned urbanisation and changes in lifestyle add to the rise in such diseases, he added. In its report titled Impact of Tobacco related illness in Bangladesh in 2007, the World Health Organisation (WHO) said at least 57,000 people die because of tobacco consumption every year in Bangladesh. ABM Zubair, executive director of PROGGA, said it would be an effective step if the government raises the prices of tobacco products through taxation. This would discourage young people and other users from using tobacco products, he added. PROGGA said taxes on tobacco products should be increased by 25.95 per cent on every packet of 10 sticks of cheap cigarettes in the 2017-18 fiscal year. Tax slabs for high-quality cigarettes must be increased by 49.60 per cent and those of premium quality by 82 per cent, it mentioned. ABM Zubair recommended imposition of an excise duty of Tk. 16 on on every 20 grams of smokeless chewing tobacco products like zarda and gul. He also recommneded that their retail prices be fixed at Tk. 32. According to NBR sources, the countrys annual VAT and supplementary duty on the tobacco sector stands at Tk. 13,000 crore. Of this, 98 per cent comes from cigarettes, 2 per cent comes from bidi, and 1.5 per cent and 0.5 per cent comes from like zarda and gul. Former NBR member Aminur Rahman has said that the National Board of Revenue gets 10 per cent of its revenue from the tobacco sector. It has made tobacco companies very powerful and influential, leading to the NBR conceding to many of their unjust demands, he noted. There should be a social platform againstto promote the fight against tobacco consumption, he added. Syed Mahfuzul Huq, the professional officer of the WHO in Bangladesh, said there was no other option other than increasing the prices of tobacco products to reduce the consumption of smoking and slash the number of smokers. Citing different research findings across the world, Huq said with the tax hike on cigarettes by 10 per cent, the sales also declined by 8 per cent. Noted economist Dr Quazi Kholiquzzaman told The Independent that there was no alternative other than increasing taxes on tobacco products. Besides, the price slabs on taxation on cigarettes should be withdrawn. Since people would change their brand if the prices go up, prices of all the tobacco products must be raised to reduce their consumption, he added. The state Minister for health and family welfare, Zahid Malek, said the government is continuing with its efforts to curb the use of tobacco products considering the issue of public health. Prime Minister Sheikh Hasina has already announced that the country would be free of tobacco by 2040. We are working towards such a future, Zahid Malek added.