New Delhi, Jan. 1 -- Shares of cigarette companies ITC and Godfrey Phillips slumped up to 6% in Thursday's trade (January 1), after the government imposed excise duty on cigarettes effective next month onwards.

The excise duty will be imposed in the range of Rs.2,050-8,500 per thousand sticks based on the length of the products, a Finance Ministry order said in an order late on Wednesday.

Following this announcement, ITC shares cracked as much as 4.14% on the BSE to hit the day's low of Rs.386.30. At the same time, Godfrey Phillips shares tumbled 8% to Rs.2540.15.

Additionally, a block deal in ITC shares further pressured the stock, according to multiple media reports. CNBC TV-18 reported that 4.03 crore shares (0.31% equity) worth Rs....