TBT DESK

To advocate for effective taxation and price increases on tobacco products in the upcoming national budget for FY 2026–27, Ahsania Mission Youth Forum for Health and Wellbeing organized a press conference today (April 28, 2026) at the auditorium of Dhaka Ahsania Mission in the capital.

Speakers at the press conference stated that the easy availability of tobacco products in Bangladesh has led to an alarming rise in tobacco use among youth and low-income populations. Each year, nearly 200,000 people die prematurely due to tobacco-related diseases, accounting for more than 18% of total deaths in the country. To prevent these premature deaths, it is crucial to make tobacco products unaffordable for young people, which can be achieved through effective taxation and price increases.

They further highlighted that although the government earns around BDT 40,000 crore annually in revenue from the tobacco sector, the economic loss caused by tobacco-related health and environmental damages amounts to approximately BDT 87,000 crore—about 115% higher than the revenue generated. There is no alternative to effective taxation on tobacco products to reduce this socio-economic burden.
The press conference also noted that, compared to essential commodities, tobacco products remain relatively cheap. Due to the lack of price adjustments in line with inflation and income growth, tobacco products continue to be within the reach of young people, limiting the effectiveness of tobacco control efforts.

Marzana Muntaha, Coordinator of the Youth Forum, said that the four-tier cigarette pricing structure makes low-cost cigarettes easily accessible, thereby encouraging tobacco use among youth. She proposed that in the FY 2026–27 budget, the lower and medium tiers of cigarettes be merged, with prices set at BDT 100 per 10-stick pack, BDT 150 for the high tier, and BDT 200 for the premium tier. She also called for maintaining a 67% supplementary duty across all tiers, along with the imposition of a specific tax of BDT 4 per pack.

Another Youth Forum member, Tasnia Tanzim Sara, stated that if the proposed tax increase is implemented, around 500,000 adult smokers would be encouraged to quit, and more than 300,000 young people would be prevented from initiating smoking. As a result, approximately 185,335 premature deaths among youth could be averted.

She further added that implementing this tax structure could enable the government to generate over BDT 85,000 crore in tobacco tax revenue—an increase of about BDT 44,000 crore compared to the previous fiscal year. This additional revenue could play a vital role in strengthening the health sector and addressing tobacco-related diseases.