New prices of cigarettes across all categories

The government has proposed to increase the prices of all types of cigarettes in the new 2026-27 fiscal year budget. At the same time, it has been decided to impose a 350 percent supplementary duty on nicotine granules and nicotine pouches. This will significantly increase the tax burden on tobacco and tobacco products.

Finance Minister Amir Khasru Mahmud Chowdhury made this proposal while presenting the budget in the National Parliament on Thursday (June 11).

In his budget speech, the Finance Minister said that the new tax structure on tobacco products has been proposed to maintain a balance between increasing revenue collection and protecting public health. The government's goal is to discourage smoking and at the same time increase state revenue.

According to the budget document, the minimum retail price of cigarettes in four tiers has been revised—

Low tier: Tk62 per 10 sticks (currently Tk60)

Medium tier: Tk92 (currently Tk80)

High tier: Tk160 (currently Tk140)

Ultra-high/premium tier: Tk210 (currently Tk185)

As a result, the price of cigarettes will increase in each tier. Especially in the mid and premium segments, the price increase will be comparatively higher.

If the new structure is implemented, the low tier will increase by Tk2 per pack, the mid tier will increase by Tk12, the high tier will increase by Tk20 and the premium tier will increase by Tk25.

Along with cigarettes, a supplementary duty of 350 percent has been proposed on nicotine granules and nicotine pouches. If this decision is implemented, the prices of these products will also increase drastically.