Positive political changes created scope for effective cigarette taxation: Discussants

The recent dramatic political changes in Bangladesh have created scope of formulating pro-people policy and implementing those. Anti-tobacco activists should take this opportunity to ensure prices of cigarettes are raised significantly, and effective taxes are imposed on those raised prices.

This is required to safeguard the citizens of the country, especially the youth, from the harm caused by cigarettes. High smoking prevalence is a significant threat to public health as well as to the macroeconomy of the country. Discussants at a roundtable session titled “Effective Cigarette Taxation to Safeguard Public Health and Economy” held on Thursday (17 October 2024) at CIRDAP auditorium, Dhaka.

The session was organized by the non-government think tank Unnayan Shamannay, with the organization’s Emeritus Fellow and eminent economist Dr. A. K. Enamul Haque as the session Chair. Eminent public health professionals, university teachers, civil society leaders and university students were present as discussants.

Public health experts present at this discussion were- eminent public health professional Dr. Halida Hanum Akhter, former IEDCR Chief Scientific Officer Dr. Mushtaque Hossain, BSMMU Professor Dr. Md. Atiqul Haque and Associate Professor Dr. Khalquzzaman. The National Char Alliance Member Secretary Zahid Rahman, and BAPA Joint Secretary Md. Aminur Rasul represented civil society organizations.

Dr. Khalequzzaman emphasized initiating dialogue between civil society organizations, the NBR and other authorities to ensure effective cigarette taxation well ahead of the preparation of the National Budget for FY2025-26. The supplementary duty on low-tier cigarettes should be raised to match the same on other higher-tier cigarettes. The speakers at the roundtable rationalized this proposal by pointing out that the younger cigarette users are mainly using low-tier cigarettes. They further added that because of not raising cigarette prices in alignment with rising per capita income and inflation, cigarettes are becoming increasingly affordable in Bangladesh. Therefore, they urged the policymakers to not go for the ‘business as usual’ approach in the next fiscal year, when setting cigarette prices. Dr. Haque pointed out that the Bangladesh Government is losing BDT 6,600 crore annually because of not ensuring effective cigarette taxation. He then added that by ensuring effective cigarette taxation, the government will not only improve public health but also can mobilize additional revenue. Participants in the discussion informed that their recommendations will be forwarded to respective top officials of the government within the shortest possible time.