Thursday, February 2, 2017

The price of cigarettes stable, the tobacco roll-up –

The price of a packet of cigarettes will remain stable, with several brands that are the same price, despite the threats of the manufacturers to pass a tax on the distribution, when the price of rolling tobacco will increase, according to a decree published Thursday 2 February in the Official Journal. This new bill of prices shall enter into force on the 20th of February next.

As had been suggested on Tuesday the minister of Health, Marisol Touraine, the manufacturers have ultimately not raised the price of a package of cigarettes, despite taxes on the rise. Last January, two new taxes, one on the rolling tobacco and the other on the distribution, entered into force after the vote of the social Security budget in the fall.

It is the manufacturers, not the State, which set the retail price, “freely” as the law says. They just have to be certified by the government, which ensures that these rates are not lower than the cost price and all taxes.

According to the order of registration of the award published Thursday, several brands maintain their initial prices, or make modest increases. This is an example of a package of Winston or News blue that are all two for 6.50 euros. The various packages of Marlboro remain to be 7 euros. The package of Camel passes him, 6.90 to 7 euros.

“The increases will come later”

“Despite a tax hike, a manufacturer may very well decide not to pass, and stay at a lower price than its competitors to attract more customers”, said Tuesday the AFP a source close to the industry. For all that, “the increases will come later (…). I will not release it any no because increasing the price of tobacco it is important in terms of public health”, has hammered out Tuesday, Marisol Touraine.

roll-your own tobacco is also experiencing an overall increase. For example, a pot of the brand’s Country Flower passes 7.40 to 8.50 euros. In France, 80% of the price of tobacco is made up of taxes, 8,74% return to the tobacconists, and the balance to manufacturers.

The latest increase in tobacco prices in France date of mid-January 2014. She had brought the price of the package the least expensive at 6.50 euros and the most expensive, including the leading brand (Marlboro), at 7 euros.

(With AFP)


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