Skip to content
Sunday, April 26
  • About Us
  • Contact Us
  • Advertise with us
  • Login
  • Add Post
  • Account
  • Dashboard
International Media News

International Media News

International Media News

International Media News

International Media News

  • Home
  • India
  • World
  • Business
  • Entertainment
  • Sports
  • Editors choice
  • Gallery
    • Image
    • Video-gallery
  • Home
  • India
  • World
  • Business
  • Entertainment
  • Sports
  • Editors choice
  • Gallery
    • Image
    • Video-gallery
Home>>Business>>Cigarette, Gutkha Prices Set To Rise From 1 February 2026; FAIFA Urges Govt To Roll Back Steep Tax Hike
Business

Cigarette, Gutkha Prices Set To Rise From 1 February 2026; FAIFA Urges Govt To Roll Back Steep Tax Hike

international media news
January 3, 2026 43 Views0

 The Federation of All India Farmer Associations (FAIFA) on Friday urged the government to roll back the notified excise rates on tobacco products and revise them to revenue-neutral rates, to disincentivise smuggling, and support domestic agriculture. 

A stable taxation framework, FAIFA noted in a statement, is necessary to sustain farmer incomes, protect employment across the value chain, and align economic policy with long-term public health goals.

 
 

The Ministry of Finance notification ‘Chewing Tobacco, Jarda Scented Tobacco and Gutkha Packing Machines (Capacity Determination and Collection of Duty) Rules, 2026’ has imposed an excise duty of Rs 2,050-Rs 8,500 per 1,000 sticks, depending on cigarette length, effective February 1.

FAIFA said such a steep hike in taxes would force domestic manufacturers to raise prices of finished goods, which will lead to a drop in sales, hurting farmers supplies in return. This could cause a glut in the tobacco crop market in the near term, it added.

“While announcing GST 2.0 on September 4, 2025, Government had assured that in the case of tobacco products, GST would be charged at 40 per cent of the retail sales price, while the overall incidence of tax would be kept unchanged,” said Murali Babu, President, FAIFA.

He further added that the farming community across India has been holding on to this assurance of revenue neutrality and had welcomed the government’s decision to rationalise GST by restructuring rates and doing away with the 12 per cent slab, which helped reduce prices.

Appealing to the government, FAIFA leaders stressed that India’s legal cigarette prices are already among the least affordable globally when measured against per capita income, as reflected in World Health Organization’s (WHO) affordability index.

Current steep increase will render legal products unaffordable to a huge section of consumers, accelerating consumer migration to illegal channels, it argued. FAIFA appealed to the government to ensure that taxation policies do not punish those who have always remained within the law.

Share:

Previous Post

Ducati Launches Panigale V4 R In India At Rs 84.99 Lakh: Check Key Specs Of This Track-Focused Superbike

Next Post

Missing BJP Leader’s Body Found In Pond After Five Days In Bengal’s East Midnapore

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recent News

  • Citadel Season 2 trailer: Priyanka Chopra, Richard Madden are back for a high-stakes mission – release date out
  • UN experts raise alarm over forced conversions and marriages of minority girls in Pakistan
  • CSK signs ex-MI star as Ayush Mhatre’s replacement ahead of El Classico MI vs CSK IPL 2026 game
  • ‘Records will be broken this time’: PM Modi on Bengal voting, lauds ECI for largely peaceful polls
  • PM Internship Scheme 2026: Get Rs 9,000 monthly stipend, Govt enhances eligibility criteria

Latest News

Citadel Season 2 trailer: Priyanka Chopra, Richard Madden are back for a high-stakes mission – release date out

international media news
April 24, 2026

Citadel is finally returning for its second season after a three-year hiatus and the shelving of two

UN experts raise alarm over forced conversions and marriages of minority girls in Pakistan

international media news
April 24, 2026

CSK signs ex-MI star as Ayush Mhatre’s replacement ahead of El Classico MI vs CSK IPL 2026 game

international media news
April 24, 2026

‘Records will be broken this time’: PM Modi on Bengal voting, lauds ECI for largely peaceful polls

international media news
April 24, 2026

Latest News

Citadel Season 2 trailer: Priyanka Chopra, Richard Madden are back for a high-stakes mission – release date out

international media news
April 24, 2026

UN experts raise alarm over forced conversions and marriages of minority girls in Pakistan

international media news
April 24, 2026

Popular Categories

  • India
  • World
  • Business
  • Entertainment
  • Sports

Quick Links

  • About Us
  • Contact Us
  • Advertise with us
  • Login
  • Add Post
  • Account
  • Dashboard
All Rights Reserved © International Media News | Website By - Hurl Technologies Pvt. Ltd. | WordPress Theme Ultra News