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Taxes as a share of cigarette price [1]

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Date: 2025-05

Rationale

Purpose of this data collection is to monitor the price of tobacco and nicotine products. Monitoring prices of those products helps estimate the burden of applicable indirect/consumption taxes to those products. This also helps monitor change in affordability of those products over time.

Definition

Prices were collected of the most sold brand of cigarettes (pack of 20 sticks).

Primary collection of price data in this report involved surveying two types of retail outlets from the capital city of each country, defined as follows:

Supermarket/hypermarket: chain or independent retail outlets with a selling space of over 2500 square metres and a primary focus on selling food/beverages/tobacco and other groceries. Hypermarkets also sell a range of non-grocery merchandise. Kiosk/newsagent/tobacconist/independent food store: small convenience stores, retail outlets selling predominantly food, beverages and tobacco or a combination of these (e.g. kiosk, newsagent or tobacconist) or a wide range of predominantly grocery products (independent food stores or independent small grocers).

Prices were collected in the local currency in each country. The prices were also converted in international dollars at purchasing power parity (PPP) using the International Monetary Fund (IMF)’s World Economic Outlook implied PPP conversion rates for 2022. Prices were also converted in US$ at official exchange rate using IMF’s exchange rate conversion of national currency per US$, end of period data for July 2022.

Method of measurement

Prices provided in different quantities (or volume sizes for e-liquids) were standardized to 20 sticks for cigarettes and Heated Tobacco Products (HTPs).

Prices in local currency were divided by the IMF’s World Economic Outlook implied PPP conversion rates for 2022 for the conversion in international dollars at purchasing power parity (PPP).

Prices in local currency were also divided by the IMF’s exchange rate conversion of national currency per US$ end of period data for July 2022 for the conversion in US$ at official exchange rates.

Limitations

In most countries, national level brand-specific price statistics were not available, thus the retail price data were collected from one supermarket/hypermarket or kiosk/newsagent/tobacconist/independent food store usually in the capital city of the country (where survey respondents were mostly located), therefore potentially not being nationally representative.

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[1] Url: https://ourworldindata.org/grapher/taxes-as-a-share-of-cigarette-price

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