Increase prices of cigarettes and other tobacco products through specific taxation

Staff Reporter: Increasing the prices of tobacco products through effective taxation discourages the youth to start tobacco use as well as encourage the existing users, particularly those financially vulnerable, to quit. To achieve a tobacco-free Bangladesh, the prices of cigarettes and other tobacco products should be increased through specific taxation, bringing these products beyond the purchasing power of the masses. MPs, economists, journalists and public health experts expressed such views on Monday during a virtual roundtable, jointly organized by PROGGA (Knowledge for Progress) and Anti-Tobacco Media Alliance (ATMA), titled ‘Tobacco Tax and Price Measures for a Tobacco-Free Bangladesh: Reality and the Way Forward’. As PROGGA presented its budget proposals for FY 2021-22′ during the event, its estimation says implementation of such proposal would encourage 1.1 million adult smokers to quit, prevent premature deaths of 390,000 existing smokers and 400,000 youths. The proposals regarding supplementary duty, health development surcharge and VAT on cigarettes would also earn the government an additional BDT 3400 crore in revenues.
During the roundtable, Saber Hossain Chowdhury MP, the Chairman of the Parliamentary Committee on Environment, Forestry and Climate Change, said, “Each year before budget, we raise our demands to increase tobacco taxes. Unfortunately, the national budget never reflects our demands. Our Honorable Prime Minister voiced her vision for a tobacco-free Bangladesh considering all such aspects. Those who are putting obstacles in the way need to be identified.” Eminent economist and the convener of the National Anti-Tobacco Platform, Dr. Qazi Kholiquzzaman Ahmad said, “It is quite frustrating for us to find NBR saying increase in tobacco taxes would harm the poor. The reality is quite the contrary. Increase in tobacco taxes benefits the poor the most.” Professor Dr. A A M S Arefin Siddique, Chairman of Bangladesh Sangbad Sangstha (BSS) and former Vice-Chancellor of Dhaka University, said, I hope those involved in formulation of national budget would incorporate at least some of these demands. Additional Director-General of Directorate General of Health Services (DGHS) Prof. Dr. Meerjady Sabrina Flora opined that reducing the affordability and use of cigarettes through tax increases allows the people, particularly the poor, to spend more on nutrition and other necessities. Dr. Nasir Uddin Ahmed, former Chairman of National Board of Revenue (NBR), said, One of the major impediments in realizing such proposals in the national budget is the government’s investment in British American Tobacco Bangladesh (BATB) as well as tobacco industry’s influence on NBR.
Prominent Journalist and Editor-in-Chief of TV Today Mr. Monjurul Ahsan Bulbul said, “Materializing a commitment made by the Honorable PM requires additional effort from those in policymaking level. Unfortunately, we cannot find any such effort in this case. Abdul Quayum, Associate Editor of the Daily Prothom Alo, said, “Use of bidi and cigarettes causes diseases and thus increases medical expenses which, in turn, makes the poor even poorer. Dr. Syed Mahfuzul Haque, National Professional Officer, World Health Organization (WHO) said, “We want to raise taxes on tobacco products so that it reduces the affordability of these products among the poor demographic and also discourages the youth to start its use.” The Research Director of Bangladesh Institute of International and Strategic Studies (BIISS), Dr. Mahfuz Kabir, Md. Mostafizur Rahman, Lead Policy Advisor for Campaign for Tobacco-Free Kids (CTFK), Bangladesh also gave speeches.
The event was hosted by Nadira Kiron, Co-convener, ATMA. The budget proposals were presented by Md. Hasan Shahriar, Project Head, Tobacco Control, PROGGA. Among those present were also Mortuza Haider Liton, Convener, ATMA, ABM Zubair, Executive Director, PROGGA and representatives of anti-tobacco organizations and media outlets.