The market share of illegal cigarettes rose to 39% in the last two months, while the quantity of smuggled cigarettes available on the Pakistani market surged by 200%.
Up to 70 smuggled cigarette brands have reportedly entered the market in the last two months, and the market share of illicit cigarettes has climbed to 39%, Pakistan Tobacco Company has claimed.
In January, Pakistan Tobacco Company held a market share of 4.8 billion cigarettes. In February, that market share dropped to 2.6 billion cigarettes, and in March, it reached 1.8 billion cigarettes.
On the other hand, the illicit cigarette market share climbed from 2.8 billion cigarettes in January to 4.6 billion cigarettes in February and 4.8 billion cigarettes in March.
In the fiscal year 2022–2023, the tobacco sector paid a total of Rs 92 billion in taxes, and this fiscal year, the tobacco firm is projected to pay Rs 135 billion in taxes.
Since the cigarettes are being smuggled into Pakistan through Afghanistan and Iran, the international cigarette cartons do not include government-approved health warnings.
The income has only grown by 14% despite an excise duty increase of 20%.
