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Effective tobacco taxation needed to protect public health: Anee

Shahid Uddin Chowdhury Anne says higher tobacco taxes must be included in FY27 budget


Published : 20 May 2026 05:05 PM | Updated : 20 May 2026 05:09 PM

Water Resources Minister Shahid Uddin Chowdhury Anne said effective taxation on tobacco products in the upcoming national budget for FY2026–27 is necessary to protect public health and reduce tobacco-related diseases.

Referring to the BNP’s electoral commitment to controlling non-communicable diseases caused by tobacco use, the minister said the government remains committed to achieving that goal.

He added that the issue of increasing taxes and prices on tobacco products to help build a healthy, safe and tobacco-free Bangladesh would be raised in parliament and at relevant policymaking levels.

The minister made the remarks while speaking as chief guest at a seminar titled “Need for Effective Tax and Price Increases on Tobacco Products to Control Tobacco-Induced Non-Communicable Diseases for Protecting Public Health”, organised by Dhaka Ahsania Mission in Dhanmondi on Wednesday.

Former Bangladesh Chemical Industries Corporation chairman Mostafizur Rahman and Additional Secretary of the Health Services Division Sheikh Momina Moni attended the seminar as discussants.

Presenting the keynote paper, Prof Dr Shafiun Nahin Shimul, director of the Institute of Health Economics at University of Dhaka, said Bangladesh currently follows a four-tier cigarette pricing structure, with nearly 90 percent of cigarette sales concentrated in the low and medium tiers.

He said the low prices and easy availability of tobacco products, including zarda, gul and bidi, are increasing tobacco use, particularly among youth and low-income groups.

To address the issue, he proposed merging the low and medium cigarette tiers and fixing the minimum retail price of a 10-stick cigarette pack at Tk 100, while setting prices for high-tier and premium-tier cigarettes at Tk 150 and Tk 200 respectively.

He also proposed maintaining a 67 percent supplementary duty across all cigarette tiers alongside a specific tax of Tk 4 per pack.

According to the presentation, implementation of the proposed tax reforms could discourage more than 372,000 young people from initiating smoking and prevent over 185,000 premature deaths among youths in the long term.

The proposed measures could also generate approximately Tk 85,000 crore in tobacco-sector revenue, around Tk 44,000 crore higher than the current fiscal year, he added.

Sheikh Momina Moni said Bangladesh has the highest tobacco use rate in South Asia at 35.3 percent, resulting in nearly 200,000 premature deaths annually from tobacco-related diseases.

She added that tobacco-related health and environmental damage in 2024 amounted to nearly Tk 87,000 crore — more than double the revenue generated from the sector.

The additional secretary said effective tobacco taxation aligned with inflation and income growth could significantly reduce the burden of tobacco-related diseases while also ensuring sustainable financing for health sector reforms.

The seminar was chaired by President of Dhaka Ahsania Mission Prof Dr Golam Rahman.

Among others, Deputy Director of the organisation’s health sector Mukhlesur Rahman, Vice President SM Dr Khalilur Rahman, Tobacco Control Project Coordinator Shariful Islam and representatives of the Ahsania Mission Youth Forum also spoke at the programme.