Critical analysis of tobacco taxation policies in Pakistan after two decades of FCTC: Policy gaps and lessons for low- and middle-income countries

Haleema Masud; Sharifah Sekalala; Paramjit Gill; Oyinlola Oyebode

doi:10.18332/tid/173389

Critical analysis of tobacco taxation policies in Pakistan after two decades of FCTC: Policy gaps and lessons for low- and middle-income countries

Tob Induc Dis. 2023 Nov 24:21:156. doi: 10.18332/tid/173389. eCollection 2023.

Authors

Haleema Masud¹, Sharifah Sekalala², Paramjit Gill³, Oyinlola Oyebode¹

Affiliations

¹ Wolfson Institute of Population Health, Queen Mary University of London, London, United Kingdom.
² School of Law, University of Warwick, Coventry, United Kingdom.
³ Warwick Medical School, University of Warwick, Coventry, United Kingdom.

Abstract

Introduction: Tobacco taxation remains a poorly used intervention to control tobacco use in many low- and middle-income countries (LMICs) including Pakistan even after two decades of FCTC adoption. This study identifies gaps and implementation challenges in the current Tobacco Taxation and Pricing Policies (TTPP) in Pakistan, and highlights key policy implications and lessons for LMICs to strengthen tobacco control measures.

Methods: We used qualitative document analysis to examine the policy documents to assess the TTPP against the WHO Framework Convention on Tobacco Control (FCTC) guidelines for the implementation of Article 6 of the FCTC. In addition, we used secondary data on tobacco tax and prices to assess the impact of TTPP on tobacco affordability in the country.

Results: Although Pakistan taxes raw tobacco, cigarettes and other tobacco products (cigarillos, cigars, cheroots), the existing TTPP falls below the WHO FCTC requirements of: uniform tax level, simple tax structure and 70% share of excise tax in the price of a product's pack; among others. There are also multiple issues in tobacco tax administration such as lack of monitoring. This is leading to the availability of highly affordable tobacco products in the country.

Conclusions: Pakistan does not have a clear strategy on using tobacco taxation and prices as a public health tool in the country. Existing TTPP face dual issues of flawed structure and poor administration translating into highly affordable tobacco products and low revenues in the country. There is a need to introduce multisectoral tobacco control policies in countries like Pakistan in the context of the tobacco sector political economy.

Keywords: Article 6; FCTC; tobacco control; tobacco pricing; tobacco tax.