KARACHI: By remaining steadfast to its Feb 2023 decision of hiking the Federal Excise Duty (FED) on cigarettes, the government can earn Rs364 billion from the tobacco sector in the fiscal year 2023–24.
These views were expressed in a press release issued by SPARC, an organization which strives for curbing tobacco use among youngsters.
According to SPARC, the additional revenue earned through the FED on cigarettes can be spent on strengthening public health infrastructure.
Campaign for Tobacco-Free Kids (CTFK) Country Head Malik Imran says higher tobacco taxes could not only help generate additional revenue, but also curb tobacco consumption, as per World Health Organization (WHO) recommendations.
He warns that the tobacco industry is trying hard to undo the great work done by the government to safeguard children and low income groups against the harmful impact of tobacco.
He suggests that the government can stabilise the economy and provide relief to the citizens as long as it doesn’t get sidetracked by the deceptive campaign of the tobacco industry.
Dr Ziauddin Islam, Former Technical Head, of Tobacco Control Cell, Ministry of Health, says that despite spending millions on misinformation campaigns, the lies of the tobacco industry have been fully exposed.
He accused the tobacco industry of front-loading and abrupt changes in production, to avoid tax hikes and influence tax policy.
He alleged the industry has also presented overblown figures of illicit trade, to pressurise the government into withdrawing the FED.
Presenting data, he said more than 170,000 people die due to tobacco use every year, adding that annual economic burden of tobacco use totals up to Rs615 billion, which is 1.6 percent of Pakistan’s GDP.
Khalil Ahmed Dogar, Program Manager at SPARC, says on average, Pakistani smokers spend 10pc of their monthly income on cigarettes, while around 1,200 Pakistani children between the ages of 6-15 years start smoking every day.
He says the sale of cigarettes to minors and in the vicinity of educational institutions remains a constant worry for the health activists in the country.