Turkish Smokers Hit with Double Price Whammy

Source from:  Tobacco Reporter 01/08/2015

Smokers in Turkey have been hit with a double whammy as some tobacco companies have taken the opportunity of a tax hike to increase their own prices, according to a story in the Daily Sabah.

Tobacco companies increased the tobacco prices on Monday in response to the tax increase, which came into effect on January 1.

And mostly they put prices up by TL0.50 a pack when the tax increase - from 82 percent to 83 percent - was TL0.40.

But it is the Turkish Finance Ministry that will make the highest profit from the increased prices.
Based on the level of cigarette sales in 2014, the ministry will collect nearly TL1.9 billion from the imposition of the new tax.

With the increases in place, the retail price of the cheapest cigarette on the Turkish market is TL5.00, while that of the most expensive product is TL10.50. Enditem