Egyptians have to pay a higher price to satisfy their enjoyment of smoking in the next three years.
Egyptian representatives are approved by the new Sunday law representatives, adding minimum and maximum price thresholds to cigarettes each year, starting November 5 this year.
Changes raise the highest retail price for local cigarettes for sale less than EGP38.88 (US $ 0.78). Cigarette prices between EGP38.88 and EGP56.44 (US $ 1.14) now fall within a new EGP48 to EGP69 (US $ 1.39). Imported cigarette brands used to be sold until EGP56.44, raised in EGP69.
The law also introduces a significant tax change in alcoholic beverages, moving from a percentage system to a specified structure fixed. Taxes are currently being issued based on alcohol content, with an annual increase of 15 percent for three consecutive years.
The price increases about government efforts to extend the tax base and raise public revenues among continuing financial pressures.
Egypt has a high number of smokers, even if the central agency for public stirring and statistics (capmas), recently announced World No-Tobacco Dayestimated 14.2 percent of the Egyptians aged 15 and older (approx 10.3 million people) smokers.
The number has decreased from 17 percent of the CapMAS survey ‘2021/2022.
CAPMAS ‘2023/2024 Revenue and Spending Egyptian households spent an average EGP12,900 (approximately US $ 260) every year of smoking. It was noticed that as wonderful families spent a lot of money to smoking, the poorest households had a heavier relative.
The highest average expenditure is recorded in the rich income bracket, which dissolves EGP16,200 (US $ 327) per year spent on EGP8,500 (US $ 171.5) obscure. That means smoking a larger part of the total expenditure for poorer families, up to 10.2 percent income for the lowest brackets.
As per capma, the minimum monthly wages in Egypt is EGP6,000 (US $ 121).
Eastern Company Sae, where the global investment in UAE holds obtained by 30 percent stake In September 2023 for US $ 625 million, Egyptian cigarette manufacturer and one of the largest in the world.
