ABU DHABI: Smokers are moving towards cheaper cigarette brands in the earliest indication of consumer trends monitored by the region’s tobacco industry since October’s 100 per cent sin tax came into force.
Whilst hiking up the price of cigarettes is seen by the World Health Organisation as one of the most effective methods of encouraging smokers to quit, one of the biggest tobacco companies claims it is failing to significantly reduce smoking in the GCC.
Premium brands such as Marlboro rose sharply from about Dh11 per packet to Dh22 overnight.
But with no minimum pricing, some cheap brands still sell for as little as Dh3 today.
Philip Morris International owns six of the world’s most popular brands, including Marlboro.
“It is still too soon to tell how many of consumers have decided to quit smoking,” said Tarkan Demirbas, area vice president for the Middle East at Philip Morris Management Services in Dubai.
“Certainly because of the tax, we have witnessed a shift in consumer behaviour towards buying cheaper brands.