Cigarette prices have risen by at least ₹22 to ₹25 for every 10-stick pack following the activation of extra excise duties on Sunday.
High-end cigarettes measuring 76 mm will now see price increases of ₹50-55 per 10-stick pack, varying by brand. While producers have not yet released updated MRP labels, suppliers have started invoicing existing inventory to shopkeepers with a 40% GST rate, according to news agency PTI, citing wholesale distributors.
With wholesale hubs closed on Sunday, distributors anticipate that new inventory reflecting updated MRPs will be moved starting Monday.
Price of Wills Navy Cut, Gold Flake Lights, Wills Classic
A pack of Wills Navy Cut (76 mm), a widely consumed mid-sized brand currently retailing at ₹95, is projected to reach approximately ₹120 per pack. Meanwhile, 84 mm cigarettes like Gold Flake Lights and Wills Classic, currently priced at ₹170 per 10-stick pack, are expected to retail between ₹220 and ₹225.
Similarly, slim variants like Classic Connect (97 mm), priced at ₹300 for 20 sticks, will likely see an MRP of ₹350.
Suppliers expect manufacturers to deliver cigarette packaging with the revised MRPs toward the end of the month, as per the PTI report.
According to the All India Consumer Products Distributors Federation (AICPDF), there are roughly 8,000 to 9,000 tobacco stockists operating nationwide. However, distributors worry that these price surges could encourage smuggling and the spread of fraudulent goods, reported PTI.
The AICPDF, representing over 4.5 lakh distributors and 1.3 crore retail shops, warned that heavy tax hikes on legal “sin products” might damage traditional retail networks already struggling against quick commerce and online platforms.
“Tobacco products are among the few categories where small shopkeepers are still relevant. If this too is pushed into the hands of illicit networks, what will be left for honest retailers? This is not just about taxation-it is about survival,” AICPDF President D Patil said.
This additional excise duty and a health cess on pan masala, exceeding the maximum 40% GST, became effective on 1 February. These levies replace the previous 28% GST and compensation cess structure that had been applied to such goods since the GST launch on 1 July 2017.
Price of Filter and Non-Filter Cigarettes
Under this revised framework, short non-filter sticks (up to 65 mm) carry an added duty of ₹2.05 each, while filtered versions of the same length cost an extra ₹2.10 per stick. Medium cigarettes (65-70 mm) face a duty of ₹3.6-4 each, and premium 70-75 mm sticks incur about ₹5.4. The peak duty of ₹8.50 per stick is reserved for non-standard designs, which most mainstream brands avoid.
