Pakistan Needs Higher Tobacco Taxes to Discourage Smoking among Youth: SPARC

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In a concerted effort to combat the alarming rise in tobacco consumption across Pakistan, the Society for the Protection of the Rights of the Child (SPARC), alongside the Youth Advocates Against Tobacco (YAAT) clubs, held a significant event to commemorate World No Tobacco Day 2025. The event spotlighted the urgent need to protect young people from the harmful effects of tobacco and called for a critical increase in tobacco taxation to reduce smoking initiation among youth.

Read More: Youth Advocates Urge Government to Raise Tobacco Taxes to Reduce Consumption

The event served as a dynamic platform for youth voices, amplified through speeches, films, paintings, skits, rap songs, and podcasts—all denouncing the tobacco industry’s manipulative strategies targeting Pakistan’s young population. These creative outputs conveyed a powerful message: tobacco consumption is the single greatest threat facing the nation’s youth today.

“By channeling our voices and creativity, we are making the silent voices of tobacco’s victims heard loud and clear,” said a YAAT club representative. “Our performances reflect the real stories behind the statistics and call for immediate action to safeguard our generation.”

Dr. Khalil Ahmad Dogar, Program Manager at SPARC, emphasized the staggering health and financial toll of tobacco, stating, “Tobacco causes over 160,000 deaths annually and drains our healthcare system. Increasing taxes is a life-saving measure—especially for youth.”

He proposed a hike of Rs. 39 per cigarette packet in the Federal Excise Duty (FED) for FY 2025–26. Supporting this recommendation, recent data show that FED revenue growth in FY 2024–25 was just 4%, significantly below the 26% inflation rate over the same period. Despite a 22% increase in overall cigarette production, revenue gains were stunted due to a shift toward lower-taxed economy brands—now making up 95% of production, up from 87% the previous year.

“The industry’s narrative that illicit trade is the root of weak revenue is misleading,” Dr. Khalil stated.

He further added, tobacco companies have deployed deliberate tactics to evade higher taxation, including stockpiling premium brands before new tax rates take effect and illegally reclassifying premium brands as economy-tier to reduce their tax liability. For instance, Pakistan Tobacco Company cut the price of Benson & Hedges by over 70%, causing an estimated USD 24 million loss in tax revenue.

Ch. Muhammad Akram, Director of Punjab Group of Colleges, stressed the importance of educational institutions in shaping tobacco-free environments. “Through proactive engagement and wellness initiatives, we can foster a culture where tobacco use is neither accepted nor glamorized,” he said.

The event also celebrated individuals from academia, media, civil society, and the youth who are committed to building a tobacco-free Pakistan. Their collective efforts underscore the critical need for strong political will, higher tobacco taxes, and sustained public engagement to protect Pakistan’s young generation.

TaazaTaren
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