Due to the lack of clarity over graphic health warnings on tobacco products, The Tobacco Industry has been facing losses to the tune of Rs 350 crore per day. As many as 45 million people in the country are affected by the ambiguity on the issue related to health warning. Farmers suicides in states like AP, Telangana and Karnataka have increased because of the same reason.
This situation is only paying way for illegal imports of tobacco products upto 90 percent. While the legal cigarette industry accounts for only 11 percent of the total tobacco sales because of the high taxation, tax-evaded illegal imports claim the major share and they don't even have health warnings on the packs.
India has become a hub for smuggled cigarettes after retailers began relying on illegal tobacco products for livelihood.
While the size of pictorial warnings on tobacco products is up to 31 percent globally, Parliament Committee and Health Ministry recommended pictorial warning to the extent of 50 percent and 85 percent respectively. Legal tobacco makers aren't happy as it makes eventually there will be hardly any space left on the cigarette packet for branding.
This situation is only paying way for illegal imports of tobacco products upto 90 percent. While the legal cigarette industry accounts for only 11 percent of the total tobacco sales because of the high taxation, tax-evaded illegal imports claim the major share and they don't even have health warnings on the packs.
India has become a hub for smuggled cigarettes after retailers began relying on illegal tobacco products for livelihood.
While the size of pictorial warnings on tobacco products is up to 31 percent globally, Parliament Committee and Health Ministry recommended pictorial warning to the extent of 50 percent and 85 percent respectively. Legal tobacco makers aren't happy as it makes eventually there will be hardly any space left on the cigarette packet for branding.