Governments collect nearly $270 billion in tobacco excise tax revenues each year

By the end of the year, an additional tax of 100 per cent will be applicable on tobacco products in the UAE, making them dearer.

The price increase is expected to make cigarettes less affordable for youngsters and blue-collar workers, according to a health official.

"This is a welcome step and I am hoping that the price increase will make people think twice about buying cigarettes," said Dr Wedad.

She said that the UAE is an open country with people at different levels of incomes. "This price increase will at least deter the youth from buying because they depend on pocket money," she said.

She also said that the blue-collar workers, who send money back to their families back home, will also be affected with this increase. "Even if the increase is marginal, it will make a difference."

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However, she said the impact cannot be expected immediately. "Steps to further the health of people including exercise and tobacco control take at least five to 10 years to show results." She said that curbing tobacco use was among the 2021 goals set out by the government.

Besides, an increase in taxes, the GCC-wide tobacco control committee is mulling the readiness of applying plain packaging to cigarette packs to make it unappealing to smokers.

"After Australia recently won the case against tobacco companies, we are now again reconsidering plain packaging as an option," said Dr Wedad.

She said soon the six gory pictures currently on the tobacco products will also be changed.

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Dr Oleg Chestnov, WHO's assistant director-general for NCDs and mental health, said: "One of the least used, but most effective, tobacco control measures to help countries address development needs is through increasing tobacco tax and prices."

Governments collect nearly $270 billion in tobacco excise tax revenues each year, but this could increase by over 50 per cent, generating an additional $141 billion, simply from raising taxes on cigarettes by just $0.80 per pack (equivalent to one international dollar) in all countries.

Source: Khaleej Times