From 1 February, there will be a rise in prices again. This time, cigarettes and tobacco products, which, according to estimates by the Ministry of Finance, would increase in price by only a few cents. However, the sellers affected by the increase are worried that the average box prices will rise by 30 cents. But that’s not all – another big rise in prices should come again in a year. Excise taxes are behind tobacco products, and it is part of a long-term plan for 2022 and 2023.
“The tax burden on smokeless tobacco products was the second lowest among the countries of the European Union in 2020. By raising rates, we are slowly approaching average prices in EU countries, ” explains its intentions by the Ministry of Finance. With the increase in prices, more money should come into the state coffers, namely about 179 million euros.
Smokeless alternatives as well
However, the final price increase is in the hands of producers. “Prices are set by manufacturers and, according to our estimates, cigarettes should increase by 0.30 euros from February 1. We do not yet have information from manufacturers about purchase prices about other tobacco products, ” Ľubomír Bača, General Manager of GGT for the portal, approached The truth. The company is the largest distributor of cigarettes, tobacco products and additional assortment intended for sale through newsagents and newsstands in Slovakia.
However, many companies saw a drop in sales last year, which they attribute to several factors. According to them, one of them is the announced price increase. However, by the end of March, consumers can still buy cigarettes at the original prices – until then, old stocks must be sold out. However, the increase will also affect smokeless tobacco products, such as chewing tobacco or tobacco heating equipment. They will go up by 21 percent from February and by 17 percent in 2023. The price increase will be almost the same as in the case of classic cigarettes. The cheapest package of smokeless filling will cost over 4 euros. In 2023, it will be around 4.3 euros.
However, bad news does not end for smokers. The European Commission is already preparing to amend the directive on the structure and rates of excise duty on tobacco products. This is especially true of e-cigarettes. “Many countries, including Slovakia, do not impose any excise duty on electronic cigarettes. For heated tobacco yes, but mostly milder than for traditional cigarettes. However, the European Parliament’s Committee on Cancer wants to close this gap and tax all tobacco more. “ concluded Barbara Zmušková from the Euractiv portal, stating that these changes should motivate smokers to give up their bad habit.
Another big increase in prices! From February, you will also pay extra for the bad habit: The prices of this product will go up rapidly