The government has been urged to incentivise the farmers to encourage them shifting from tobacco farming to other produce.
Economists and policymakers put forward the recommendation at a pre-budget discussion on Thursday, also stressing on the need for raising the duties and prices of all forms of tobacco products in the upcoming budget for the next fiscal year (FY 2024-25).
They also urged the government to impose effective tax rates to make the country tobacco-free by 2040.
Unnayan Shamannay organised the event in the city. Its chairman and former governor of Bangladesh Bank Atiur Rahman gave the welcome address, raising the demand for the price hike of cigarettes in all three categories: low, medium, high and premium.
The organisation sought the retail price of low-end cigarettes to increase to Tk 60 from existing Tk 45, medium to Tk 80 from Tk 67 and, high and premium to Tk 170 from Tk 150.
This is the high time to speak up as the next budget is nearer and the lawmakers have a role to pass pro-people and effective anti-tobacco laws, said the former BB Governor.
He further pointed out that if the effective taxation proposals for FY 2024-25 are realised, the use of cigarettes will decrease by 9 per cent while revenue earnings from cigarette sales will increase by 28 per cent.
Cigarette prices in Bangladesh are still less compared to other countries despite a higher duty on tobacco goods in effect in the country, Abdullah Nadvi, research director of Unnayan Shamannay, said in his presentation.
He also showed that the proposed duty hike would generate additional revenue.
Lawmaker Md. Aolad Hossain said that despite tobacco being an agricultural product, it kills people.
The tobacco companies pay incentives to farmers to encourage them in tobacco farming and bear any possible loss. Therefore, the government should also support the farmers by giving incentives, subsidies and training on other food grains and agri products to help them shift from harmful tobacco farming, he suggested.
Lawmaker Tarana Halim (woman reserved seat) stressed the need for enforcing the existing law and fine the ones smoking in an open place. Despite the law in effect, we don't see its implementation, she lamented.
Prof M. Abu Eusuf, Department of Development Studies, and Muhammad Shahadat Hossain Siddiquee, Department of Economics, University of Dhaka, also spoke at the event.
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