Cigarette prices across India have surged sharply following the implementation of additional excise duty and a new tax structure on tobacco products that came into effect from February 1, pushing up retail prices across popular brands and categories.
Distributors said cigarette packs are now costlier by at least ₹22 to 25 for a pack of 10 sticks, with premium and long-length cigarettes seeing steeper hikes depending on size and brand. While manufacturers are yet to officially notify revised maximum retail prices (MRPs), wholesalers have already begun billing retailers under the new tax regime, news agency PTI reported.
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Wills Navy Cut
As per trade estimates, mid-sized cigarettes such as Wills Navy Cut (76 mm), which earlier sold at around ₹95 for a pack of 10, are expected to retail at close to ₹120 per pack. Premium cigarettes of the same length are likely to be priced between ₹50 and ₹55 higher per pack of 10 sticks than earlier.
Wills Classic, Gold Flake
Longer cigarettes in the 84 mm category, including popular brands such as Gold Flake Lights, Wills Classic and Wills Classic Milds, are expected to see a sharp jump in prices. These packs, earlier priced at around ₹170 for 10 sticks, are now expected to retail in the range of ₹220 to ₹225, the report stated.
{{/usCountry}}Longer cigarettes in the 84 mm category, including popular brands such as Gold Flake Lights, Wills Classic and Wills Classic Milds, are expected to see a sharp jump in prices. These packs, earlier priced at around ₹170 for 10 sticks, are now expected to retail in the range of ₹220 to ₹225, the report stated.
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Classic Connect
Slim cigarettes have also not been spared. Classic Connect (97 mm), which was earlier priced at ₹300 for a pack of 20 sticks, is expected to carry a new MRP of around ₹350, according to distributors.
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Under the revised tax regime, short non-filter cigarettes (up to 65 mm) will attract an additional duty of about ₹2.05 per stick, while short filter cigarettes of the same length will be charged around ₹2.10 per stick. Medium-length cigarettes (65-70 mm) will face an extra levy of ₹3.6 to ₹4 per stick, and long premium cigarettes (70-75 mm) around ₹5.4 per stick. A higher duty of ₹8.50 per stick applies only to non-standard or unusual cigarette designs, the report noted.
(With inputs from PTI)