Malaysia Plans Minimum Cigarette Prices

Source from:  tobaccoreporter.com Oct 29, 2008 10/30/2008

The Malaysian government plans to impose a price floor for all cigarettes as part of efforts to check smoking habits, especially among youths, reports the Bernama news agency. "According to a study by the World Bank, taxes on tobacco and cigarette prices are the most effective strategy in controlling the use of tobacco, especially by the younger generation," said Health Minister Datuk Liow Tiong Lai. Liow said the minimum price would be determined by taking into account all taxes imposed by the government and the profit made by the cigarette industry. The minimum price would be adjusted each time there is a change in taxes, he added. Under the regulations, retailers found guilty of selling cigarettes below the minimum price could be fined up to RM10,000 ($2,792) or sentenced to jail not exceeding two years or both, he said. Enditem