Maldives' Tobacco Tax reset highlights need for balanced taxation and stronger action against illicit trade, say experts
New Delhi, Aug. 6 -- As illicit cigarettes account for over one-fourth of India's cigarette market, tobacco taxation must be backed by stronger enforcement to safeguard both public health and government revenues
The Maldives' decision to reduce cigarette import duty by 50% after a surge in illicit tobacco trade has renewed debate over how governments can balance tobacco taxation with effective enforcement. Public health and policy experts say the development reinforces an important insight for India: tobacco taxation delivers the best outcomes when supported by strong enforcement, robust supply-chain monitoring and sustained action against illicit trade.
The Maldives recently reduced cigarette import duty from MVR 8 to MVR 4 per pack af...
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