Cigarette tax hike in September’17 led to rampant use of smuggled tobacco in Thailand costing the local market.
While the smuggled tobacco costs only Bt10, the retail price of a packet of cigarettes is Bt60, which directly increased the use of contraband.
Association director Waraporn Namat reported in a Nida Poll it commissioned, that half of Trang, Phatthalung, Satun, Songkhla, Yala, Pattani and Narathiwat’s market was filled with smuggled smokes and the reason was the hike in cigarettes.
Songkhla Provincial Administrative Organisation was able to collect only Bt7.2 million cigarettes tax in the first four months where otherwise it collected Bt12.2 million during the same period last year.
This clearly shows that this hike has impacted the country’s revenue in a huge way and an increase again this October, from Bt60 to Bt70 or Bt80 would result to absolute downfall of local markets.
Source : Nation
Content : LovePattayaThailand