Classic, Gold Flake, Marlboro Cigarette Prices Expected To Increase From February 1

The Indian government has announced that cigarette prices across the country will rise starting February 1, 2026 following significant changes to the taxation framework on tobacco products. Under the new rules, a separate excise duty will be levied in addition to the existing Goods and Services Tax (GST), marking a major adjustment in cigarette taxation after years of stable rates. New Excise Duty Structure Explained Previously, cigarettes were primarily taxed through GST and a value-based levy. The revamped system imposes a specific excise duty per 1,000 sticks, which varies according to whether the cigarette is filtered or non-filtered and its length including the filter. As a result: Short non-filter cigarettes (up to 65 mm) will face a lower duty per stick. Filtered and longer cigarettes (above 65 mm) will attract progressively higher duties. Some non-standard or uniquely designed sticks fall under the highest levies. The excise duty ranges from about ₹2,050 to ₹8,500 per 1,000 sticks, meaning the added tax per cigarette increases with size and category. Impact on Popular Brands The new tax regime is expected to affect mid-to-premium cigarette segments more sharply. Longer and premium variants — often including well-known brands — will likely see higher price increases…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups