Science

42% cigarette tax increase would result in 66mn fewer smokers

11 Jan 2017 | By Abheet Sethi

A Rs.55 increase in excise tax per packet of cigarettes could lead to nearly 66 million fewer adult smokers globally, according to a World Health Organisation (WHO) and US National Cancer Institute report.

Higher taxes would cause a 42% increase in the average retail price of a packet of cigarettes, increasing revenue by $140 billion.

Smoking rates could decline by nearly a tenth.

In context: Higher-taxes could lead to 66 million fewer smokers

11 Jan 201742% cigarette tax increase would result in 66mn fewer smokers

226mn smokers live in poverty around the world

There are over 1.1 billion tobacco users in the world, aged 15 and above. 80% of all smokers live in low- or medium-income countries while around 226 million smokers live in poverty.
Tobacco use costs world $1 trillion

Kill 6mn peopleTobacco use costs world $1 trillion

Money collected by higher taxation could be used to reduce the burden of diseases such as cancer and heart ailments.

Tobacco consumption adds $1 trillion to the global socio-economic annually in the form of health expenses and lost productivity.

As many as 6 million people die annually from tobacco use, which could increase to around 8 million by 2030.

Tobacco control5 companies control 85% of cigarette market

Nearly $269 billion was generated by governments around the world from tobacco excise taxes in 2013-14. However, less than $1 billion of this was invested in tobacco control.

Market power of tobacco companies has increased in recent years, complicating tobacco control efforts.

In 2014, 85% of the global cigarette market was held by 5 tobacco companies. Policies at limiting their market power remains untested.

Over 2 crore Indian youths start smoking every year

An estimated 35% of Indian adults consume tobacco in India. Over 5,500 youths start smoking everyday.