In blatant disregard for the Federal Excise Act, multinational tobacco companies operating in Pakistan have introduced low-priced cigarette variants as they continue to find new ways to jeopardize public health.
The Federal Excise Act, 2005, expressly prohibits manufacturers or importers from introducing a new cigarette brand variant at a lower price than the existing variant within the same brand family.
But a number of multinational companies have found new ways to blatantly violate the rules.
Pakistan Tobacco Company, a subsidiary of multinational British American Tobacco, has introduced a new product, Capstan International, at a price of Rs164.
"This, prima facie, is a clear violation of the law. The existing brand is by the name of Capstan by Pall Mall, sold at Rs. 212," said Dr. Aman Khan, Director, Waseela Foundation.
He said that Philip Morris International, another multinational, had not only violated the act but also the law that prohibits cigarette manufacturers from reducing retail prices from the level adopted on the day of the announcement of the latest budget.
Philip Morris, which owns Marlboro, has introduced a new brand that goes by the name “Crafted by Marlboro,” attracting a lower tax levy as this has been placed in Tier 2, which is again illegal and a violation of Pakistani laws.
“The principle behind increasing taxation is to make cigarettes more expensive, while these two multinationals are finding new ways of abusing Pakistani laws,” he said.
Malik Imran, from Tobacco Free Kids, said no company is allowed to sell any product below the price set by the government in the Federal Excise Act 2005.
As calls for swift action grow louder, the spotlight is on the government to enforce existing regulations and safeguard public health from the detrimental impact of multinational tobacco companies prioritizing profits over well-being.