The use of tobacco takes a serious toll on the financial resources as yearly economic losses linked with its use have surpassed Rs700 billion.
The Pakistan Institute of Development Economics (PIDE) has called for immediate reforms to control tobacco and has urged that smokeless tobacco and new products be brought under the tax net.
According to the report, weak enforcement and outdated laws have turned tobacco use into a serious public health crisis. Tobacco consumption claims the lives of 164,000 Pakistanis each year, while the financial losses amount to nearly 1% of the country’s GDP.
PIDE also highlighted that over the past decade, economic losses from tobacco have increased by 31%. The availability of cheap cigarettes is severely affecting young people, and the lack of effective regulation of smokeless tobacco has led to increased consumption.
The institute recommended introducing taxes on smokeless tobacco and new products, providing cessation facilities, helplines, and free therapy to help people quit. It also noted that illegal cigarette trade accounts for nearly one-third of the national market.
PIDE warned that further delays in policy implementation could lead to even greater loss of lives and economic damage.
