Dhaka, April 8 -- A new report by Policy Exchange Bangladesh has warned that the country's tobacco taxation system has reached its "structural limit", calling for urgent reforms to prevent a potential plateau in revenue collection.

The study report, titled 'Optimizing tobacco taxation system for greater revenue collection in Bangladesh', finds that the long-standing ad valorem tax structure is showing signs of "revenue fatigue", where higher tax rates are yielding diminishing returns.

Hasnat Alam, economist and senior manager at Policy Exchange Bangladesh, presented the report at a workshop held at the Economic Reporters Forum (ERF) auditorium on Tuesday.

ERF President Doulot Akter Mala presided over the event, while General Secretary ...