This section provides everything you need to effectively communicate all of the negative impacts of tobacco, showing how it’s deteriorating our economies and our health.
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The healthcare costs of smoking in Indonesia far exceed the annual revenue in 2019 of Rp7.4 trillion from tobacco taxation.
In Indonesia, the total healthcare costs of smoking attributable disease in 2019 was between Rp17.9 trillion to Rp27.7 trillion, equal of 0.1 % to 0.2% of Indonesia’s GDP.
Tobacco consuming households spend on average 2.7% of the monthly budget on tobacco, but poor families spend more (3%) of their monthly budget on tobacco than wealthy families (1.8%) in Pakistan.
On average in Pakistan, people are willing to pay up to Rs 35.80 per stick or Rs 716 (US$ 4.5) for a pack of 20 cigarettes. The price of a pack of Marlboro in Pakistan is US$ 1.55, almost three times lower than what customers are willing to pay. No cigarette brand in Pakistan sells at Rs 716 or more.
Tobacco tax increases remain the least implemented of the most cost-effective tobacco control policies
Tobacco tax increases remain the least implemented of the most cost-effective tobacco control policies. In 2018 only 38 countries, covering 14% of the global population, had sufficiently high tobacco taxes.
Total economic costs of tobacco use in India during 2017–2018 equals INR 1773.4 billion (US $27.5 billion), equal to 1.04% of India’s GDP.
Direct costs make up 22% and indirect costs make up 78% of the total. 74% of the total economic cost are due to smoking, and 26% of the costs is from smokeless. Excise revenue from 2016-2017 amounts to 12.2% of the total economic cost in 2017-18.
Tax share is a good indicator of how poorly governments are performing on cigarette tax policies. Very low taxes consistently translate into low prices in most countries, exacerbating the ongoing tobacco epidemic or, as is the case in some low-prevalence countries, representing a likely harbinger of enormous burdens from tobacco-attributable diseases in the not-so-distant future.
Tobacco consumption disproportionately affects the poor who stand to benefit the most from health protective measures.
A 2019 report from the United Kingdom found that Imperial Brands, British American Tobacco (BAT), Philip Morris International (PMI), and Japan Tobacco (JT) are paying minimal corporate taxes.
Another 2019 report found that in 2016 BAT shifted nearly $1bn in pre-tax profits from Lower Middle-Income Countries to the UK where BAT paid almost no corporate income tax. The report estimates just Bangladesh, Indonesia, Kenya, Guyana, Brazil and Trinidad and Tobago stand to lose nearly $700 million in tax revenue by 2030 from the financial maneuvering of British American Tobacco if business continues as usual.
Country-Level Data on Economic Costs of Tobacco: Includes data from around the world exposing the damage down to national economies due to tobacco.
Country-Level Data on Price of Cigarettes Vs. Other Household Goods: Includes data from around the world showing how cheap tobacco is compared to other products.
The most sold brand of cigarettes became more affordable, or the affordability remained constant, in 97 countries between 2016 and 2018.
Higher tobacco prices encourage cessation among existing tobacco users, prevent initiation among potential users, and reduce the quantity of tobacco consumed among continuing users.
Tobacco use costs the world over 1.4 trillion USD in health care costs and lost productivity, equivalent in magnitude to 1.8% of global GDP.
Cigarettes are currently more affordable in high-income countries than in low- and middle-income countries.
Between 2001 and 2014, the price of cigarettes decreased in low income countries while tobacco consumption increased.
Given income growth and little or no increases in tobacco taxes, the affordability of tobacco products has increased in many low- and middle-income countries over the years.
The medical expenses and loss of earnings associated with tobacco-related illnesses contribute to pushing millions of households into financial crisis and deeper poverty every year.
There were about 100 million deaths from tobacco in the 20th century. If current patterns persist, tobacco will kill some 1 billion people in this century.
Tobacco-related illnesses and premature mortality negatively impact the economy. Lost economic opportunities due to sick workers and premature deaths during prime productive years are particularly severe in developing countries where tobacco use is high and growing.
Fast-growing countries with suboptimal tobacco tax policy face particularly great tobacco control challenges.