Skip to content
Monday, June 29
  • 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 55 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

  • 2nd T20I: Vaibhav Sooryavanshi misses out again as India win toss, opt to bowl first against Ireland; Prince Yadav, Suryansh Shedge make debut
  • 14,000 Km, 23 hours, pure compassion: How the IAF raced across continents to deliver aid to Venezuela
  • ‘Do better look inwards and act against terrorism’: India rejects Pakistan’s Karachi blast blame
  • Aarogya Setu 2.0 to be launched; Centre’s other digital initiatives for inclusive healthcare soon
  • Mirzapur: The Movie unveils new looks of Jitendra Kumar, Abhishek Banerjee and Ravi Kishan ahead of big-screen release

Latest News

2nd T20I: Vaibhav Sooryavanshi misses out again as India win toss, opt to bowl first against Ireland; Prince Yadav, Suryansh Shedge make debut

international media news
June 29, 2026

India captain Shreyas Iyer won the toss and elected to bowl first against a confident Ireland side i

14,000 Km, 23 hours, pure compassion: How the IAF raced across continents to deliver aid to Venezuela

international media news
June 29, 2026

‘Do better look inwards and act against terrorism’: India rejects Pakistan’s Karachi blast blame

international media news
June 29, 2026

Aarogya Setu 2.0 to be launched; Centre’s other digital initiatives for inclusive healthcare soon

international media news
June 29, 2026

Latest News

2nd T20I: Vaibhav Sooryavanshi misses out again as India win toss, opt to bowl first against Ireland; Prince Yadav, Suryansh Shedge make debut

international media news
June 29, 2026

14,000 Km, 23 hours, pure compassion: How the IAF raced across continents to deliver aid to Venezuela

international media news
June 29, 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