New Delhi, Feb. 10 -- The Tobacco Board has urged the union government to reconsider the recent hike in excise duties on cigarettes, warning that the move could sharply increase illicit trade and severely impact millions of tobacco farmers, workers and small retailers across the country.
In a letter to Finance Minister Nirmala Sitharaman and Commerce and Industry Minister Piyush Goyal, Tobacco Board Chairman Yashwanth Kumar Chidipothu said the excise duty increase notified on December 31, 2025, has resulted in an effective price rise of nearly 60 per cent in real terms, causing widespread distress across the tobacco value chain.
According to the Board, Flue-Cured Virginia (FCV) tobacco farmers have raised serious concern that the sharp ta...