The Rationale Behind Raising Cigarette Taxes
Islamabad: Public health advocates stress the urgent necessity of raising tobacco taxes, emphasizing that smoking is inflicting considerable economic losses on Pakistan, amounting to Rs 615.07 billion annually, equivalent to 1.6 percent of the nation's GDP.
The Society for the Protection of the Rights of the Child (SPARC) underlined the importance of these measures in funding vital public services such as healthcare and in creating significant revenue streams to bolster the economy.
Malik Imran Ahmed, CTFC Country Head, underscored the crucial role of raising cigarette taxes as a means to combat smoking.
He also emphasized the substantial economic toll of smoking in Pakistan, totaling Rs 615.07 billion (US$3.85 billion), representing 1.6 percent of the nation's GDP. Importantly, the economic ramifications of smoking far surpass the revenues generated by the tobacco industry, thereby widening the gap annually.
He additionally referenced findings from an international survey indicating that the cumulative annual economic burdens linked to smoking-induced illnesses, alongside the three primary non-communicable diseases, collectively amount to 10% of Pakistan's GDP, with figures of 1.6% and 1.15% respectively. This concerning pattern underscores the pressing necessity to elevate the yearly cigarette tax to alleviate strain on Pakistan's GDP, demanding prompt governmental intervention.
Dr. Khalil Ahmed, SPARC's program manager, expanded on the broad-ranging effects of increased cigarette taxes. Underscoring the significant influence of tobacco-related health issues on children and marginalized groups, Dr. Khalil stressed the critical necessity for proactive steps to address these issues. He maintained that through heightened cigarette taxes, the government can successfully reduce smoking rates among the youth, consequently safeguarding their health and overall welfare.
Dr. Khalil reiterated that increasing taxes on cigarettes is not solely a fiscal strategy but a moral obligation. By rendering cigarettes less affordable for economically disadvantaged youth, policymakers can interrupt the cycle of addiction and preempt the onset of smoking-related diseases.

