Taxation policy impact on tobacco sales in Argentina
 
More details
Hide details
1
Centro de Estudios de Estado y Sociedad (CEDES), Argentina
Publication date: 2018-03-01
 
Tob. Induc. Dis. 2018;16(Suppl 1):A120
 
KEYWORDS
WCTOH
 
TOPICS
Download abstract book (PDF)

ABSTRACT
Background:
In the last 10 years the increase in purchasing power in Argentina without a strong tobacco taxation policy led to an increase in cigarettes affordability. But in April 2016 a presidential decree increased from 60% to 75% the tobacco internal tax (excise tax) that generated an increase in cigarettes prices by 50%. The objective of this study was to describe the evolution of cigarettes sales during the last 10 years, particularly in 2016 after the price increase.

Methods:
Official data from the Ministry of Agriculture on cigarettes sales was analyzed. Trends from 2006 to 2017 were considered for the analysis.

Results:
In 2006 1,993 million of 20 cigarettes packs were sold reaching 2,031 million in 2015. During that period a peak of 2,188 million was reported in 2011 (when national tobacco control law was enacted). Since then, reductions of 0.7-2.4% were observed annually. In 2016, 1,794 million of 20 cigarettes packs were sold, representing a reduction of 11.7% compared with 2015. In 2016, an average of 149.5 million packs was sold monthly compare with a monthly average of 169 million in 2015. May 2016 (after the increase) was the month with fewer sales with 98.6 million.

Conclusions:
Cigarette sales were affected by the tobacco tax increase in Argentina, showing responsiveness to price variations. The enactment of a taxation national law could add sustainability to this successful strategy.

eISSN:1617-9625