Why India wants to ban sale of loose cigarettes

November 26, 2014 02:22

Indias ministry of health is set to prohibit the sale of loose cigarettes, which would be a big blow to tobacco companies because an overwhelming 70% of the cigarettes sold in India are loose.

The proposal to ban the sale of single sticks was made by an internal panel to the healthy ministry. The ministry has accepted the recommendations of the committee and a draft note for cabinet has been circulated for inter ministerial consultation, Health Minister J P Nadda said in a statement in the upper house on Tuesday.

Many smokers in India, including minors and students, prefer buying loose cigarettes because they are much more affordable than the whole pack.

The government increased the excise duty on cigarettes in the range of 11% and 72%, depending on the length of the stick, in this years budget. Despite this hike, cigarettes are still much cheaper in India compared to Western countries.

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