WHO challenges illicit tobacco trade numbers in Pakistan, says trade share is 23%
The latest report by the world health body debunks myths and the tactics employed by multinational tobacco companies to evade taxes

Islamabad: The World Health Organization (WHO) has contradicted claims by multinational tobacco companies regarding the illicit cigarette trade, revealing that the actual figure in Pakistan stands at 23 percent.
“Overall, the illicit trade of cigarettes in Pakistan accounted for 23.1% of the total trade. Locally produced cigarettes without a stamp of the tax authority are considered illicit products and account for 10.4% of the total number of packs,” said WHO study titled “Study on Incidence of Illicit trade of cigarettes in Pakistan: A case study for Islamabad Capital Territory”.
It further said that, in terms of the number of packs with counterfeit tax stamps as a percentage of total packs, it is 1.9%, and smuggled cigarettes account for 10.7% of the total consumption.
The latest report by the world health body has debunked myths and the tactics employed by multinational tobacco companies to evade taxes.
In the past, there had been several studies on the volume of illicit trade in Pakistan but they were conducted before the Track and Trace System was enforced in the country (July 2022). These studies found that illicit trade market in Pakistan ranges from 9 to 17% but they did not estimate the extent of the counterfeit issue, according to the WHO.
The report quoted data from Pakistan Bureau of Statistics (PBS) and said that tax evasion on domestically produced cigarettes in 2015-16 amounted to Rs.53.8 billion. An amount of Rs. 38.9 billion (72.7%) was evaded by the legitimated sector by under-reporting the production and Rs. 14.6 billion (27.3%) was evaded, it added.
“The most effective way to reduce tobacco consumption is to increase the price of tobacco products through higher taxes. In Pakistan, the cigarette industry claims that higher taxes trigger illicit trade, claiming smokers do not quit and opt for non-duty-paid cigarettes because they cost less,” the study said.
The world’s top health body emphasized that the prices of tobacco products in Pakistan should be increased by taxing the tobacco industry.
Anti-tobacco activists are pressing the government to raise tobacco taxes to 70% of the retail price, in line with WHO guidelines, to combat the alarming rate of tobacco consumption particularly among the youth.
Malik Imran Ahmed, Country Head of the Campaign for Tobacco-Free Kids (CTFK), said, "With over 60% of the population comprising youth, it's crucial for the government to protect them from the ills of tobacco use," he said, “as the move is expected to generate additional revenue, surpassing Rs 200 billion by year-end,”

Why do we twitch in our sleep?
- 3 گھنٹے قبل

Govt committed to change nation's destiny, says PM Shehbaz
- 17 گھنٹے قبل
Champions Trophy: Australia thrash England by five wickets
- 21 گھنٹے قبل

IHC nullifies Section VII of Finance Act 2015, declares it unconstitutional
- 18 گھنٹے قبل

Atif Aslam's surprise performance on London streets
- 20 گھنٹے قبل

PM announces to establish university in Rajanpur, cancer hospital in DG Khan
- 19 گھنٹے قبل

US urges backing of ‘simple’ resolution as Trump calls for Putin-Zelensky talks
- 13 گھنٹے قبل

From Miami's hot streak to Denver's turnaround: Top post-All-Star break runs
- 4 گھنٹے قبل

Agent: Lakers wrong in failing Williams' physical
- 17 گھنٹے قبل

Trump fires top US general in unprecedented Pentagon shakeup
- 20 گھنٹے قبل

The Playbook, Inning 7: Fantasy baseball managers must adjust to real-life trends
- 4 گھنٹے قبل

LeBron 'defies' age with another historic 40 in win
- 17 گھنٹے قبل