SPARC asks govt to prioritise increasing taxes on cigarettes

ISLAMABAD: The Society for the Protection of the Rights of the Child (SPARC) on Friday asked the government to prioritise increasing taxes on cigarettes instead of raising taxes/levies on utilities like electricity/gas.

In a media interaction on Friday, the SPARC shared statistics highlighting the significant burden tobacco use imposes on Pakistan, both in terms of public health and economic costs.

Malik Imran Ahmad, Country Head of the Campaign for Tobacco-Free Kids (CTFK), stated that Pakistan faces a considerable challenge in combating the tobacco menace. He also presented statistics showing a high prevalence of tobacco use in the country, with 31.9 million adults (15 years and above) consuming tobacco products, accounting for about 19.7% of the adult population.

He further added that tobacco-related illnesses, such as cancer, diabetes, and heart diseases, contribute to over 160,000 deaths annually in Pakistan. These deaths not only affect individuals but also have broader impacts on families, communities, and the healthcare system.

Malik Imran proposed an immediate 30% FED increase in 2024, which can recover 19.8% of costs, narrowing the gap between health burdens and tax revenues. This tax proposal represents a clear win-win in terms of health and revenue for the government and the people of Pakistan.

Moreover, the recently initiated track & trace system on cigarettes is expected to reduce counterfeiting, restrain tax evasion, and maintain accountability.

Dr Khalil Ahmad, Programme Manager at SPARC, highlighted that low cigarette prices are the reason why children and youth initiate smoking. He added that smoking-related illnesses and deaths incur substantial economic costs, amounting to 1.6% of Pakistan GDP each year.

These costs encompass healthcare expenses, productivity losses due to illness and premature death, as well as other indirect economic impacts. Additionally, he addressed that the tobacco epidemic requires comprehensive strategies encompassing public health interventions, strong tobacco control policies, and awareness campaigns.

Copyright Business Recorder, 2024