Proposed budget contradicts commitment towards tobacco-free Bangladesh: BTCA

The Bangladesh Tobacco Control Advocates (BTCA) has expressed deep concern over the proposed national budget for FY 2026–27, alleging that it prioritises the interests of the tobacco industry over public health protection and tobacco-use reduction efforts.

According to the organisation, the government's decision to bring nicotine pouches, heated tobacco products (HTPs), e-cigarettes, and vape products under the tax regime effectively legitimises these products, creating new public health risks and exposing millions of young people to nicotine addiction.

The remarks were made in a joint press statement issued on Friday and signed by BTCA Convener Iqbal Masud and Moderators Sushanta Sinha, Syeda Ananya Rahman, Farhana Jaman Liza, Samiul Hasan Sajeeb, Abu Raihan, and Ibrahim Khalil.

In the statement, BTCA leaders said the government has repeatedly pledged to build a tobacco-free Bangladesh, yet several provisions in the proposed budget directly contradict that commitment.

Public health experts have long advocated for banning emerging tobacco and nicotine products, including e-cigarettes, vapes, nicotine pouches, and heated tobacco products. Instead, the government has reportedly removed provisions related to banning such products from the proposed amendment to the tobacco control law and brought them under the tax structure, effectively allowing their legal entry into the market.

BTCA warned that this move could place millions of adolescents and young adults at risk of developing nicotine addiction. The organisation argued that while the decision may generate short-term revenue, it is likely to increase long-term healthcare expenditures and economic losses resulting from tobacco-related illnesses, reduced productivity, and premature deaths.

The statement further noted that the proposed increase in cigarette prices remains inadequate from a public health perspective. Around 75% of cigarettes sold in Bangladesh belong to the low-tier segment, yet the price of these cigarettes has been increased by only Tk2 per pack. Given the current inflationary environment, BTCA believes this increase will have little to no impact on reducing tobacco consumption.

The organisation also criticised the government's failure to adopt a specific excise tax in addition to the existing ad valorem tax system, despite repeated recommendations from public health experts.

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According to BTCA, this omission will not only deprive the government of potential revenue but also allow tobacco companies to exploit loopholes in the tax structure and earn excessive profits.

BTCA described the minimal increase in low-tier cigarette prices, the lack of significant tax hikes on bidis, zarda, and gul, and the effective legalisation of new nicotine products as a backward step in tobacco control efforts.

However, the organisation welcomed several initiatives included in the proposed budget, such as the introduction of QR codes on cigarette tax stamps, the implementation of a digital track-and-trace system, and stronger monitoring of the tobacco supply chain.

BTCA said these measures could help curb tax evasion and enhance government revenue if implemented effectively.

The organisation urged the National Board of Revenue (NBR) and the government to review the proposed budget in light of recommendations from public health experts and introduce necessary amendments that place public health at the forefront of fiscal policy.