https://twitter.com/home https://www.facebook.com/Shabbir.Hussain191By Shabbir Hussain
ISLAMABAD, March 21 (Diplomatic Star): The Society for the Protection of the Rights of the Child (SPARC) and the Social Policy and Development Centre (SPDC) have urged the government to increase the Federal Excise Duty (FED) on cigarettes by Rs. 39 per pack in the upcoming fiscal year.
The recommendation, presented at the launch of the Tobacco Fact Sheet 2025, is expected to generate an additional Rs. 67.4 billion while discouraging tobacco consumption and promoting public health.
Nelson Azeem, Parliamentary Secretary for NHSR&C, stressed the grave health and economic consequences of smoking, calling it a national challenge that cannot be ignored.
Dr. Shazia Sobia Aslam Soomro, MNA, urged the government to prioritize the tax increase in the 2025-26 budget, emphasizing its potential to support economic growth and save lives.
Muhammad Asif Iqbal, Managing Director of SPDC, highlighted that the proposed hike would generate Rs. 58.2 billion from FED and Rs. 9.2 billion from GST, funds that could enhance healthcare, education, and child welfare.
He cited the 2023 tax increase, which led to a 19% decline in cigarette consumption and boosted tax revenue from Rs. 179 billion in 2022-23 to Rs. 298 billion in 2023-24.
Mirza Nasiruddin Mashhood Ahmad, Special Secretary NHSR&C, revealed alarming statistics, noting that 160,000 annual deaths in Pakistan are linked to tobacco use, with 31.6 million adult tobacco users and 1,200 children aged 10–14 taking up smoking daily.
WHO representative Dr. Waseem Saleem pointed out that the lack of tax increases since February 2023 has made cigarettes more affordable amid inflation.
He criticized multinational companies for exaggerating illicit market shares and evading taxes, costing Pakistan Rs. 7 billion in 2024-25 due to illegal brand switching.
Dr. Shabana Saleem, Director General Health NHSR&C, emphasized the need for regular tobacco tax hikes to protect youth, citing the significant economic burden of smoking on Pakistan’s GDP. Dr. Khalil Ahmad Dogar, Program Manager at SPARC, reaffirmed that past tax increases successfully reduced cigarette consumption while increasing tax revenue.
Prof. Dr. Matiur Rehman of Health Services Academy highlighted that globally, tobacco kills 8 million people annually, with Pakistan’s economic burden on smokers aged 35+ estimated at PKR 615.07 billion.
Key representatives from FBR, Finance Ministry, civil society, and lawmakers also attended the event, discussing taxation policies to combat Pakistan’s tobacco crisis.
