TOBACCO: A price increase scheduled for the month of November.
TOBACCO: A price increase scheduled for the month of November.

TOBACCO: A price increase scheduled for the month of November.

While the cigarette pack must increase to 10 euros by 2020, the government is already planning an increase for the month of November. Indeed, the price of the packages should increase to 7,10 euros.


IN NOVEMBER, THE PACKAGE OF CIGARETTE WILL PASS TO 7,10 EUROS


Puzzle among the tobacco giants. Bercy is about to write to them to ask them for a new price list for their packets of cigarettes and roll-your-own tobacco jokes. These prices, which could jump even if tobacco companies are free to freeze them or increase them slightly, should come into force at tobacconists on November 6.

The government, which wants to harmonize the price of packages to 7,10 euros at the end of the year and 10 euros at the end of 2020, must publish at the beginning of the week a decree increasing the minimum collection. This is the minimum amount of consumption duty that tobacco companies must pay, regardless of the level of taxes.

 The increase is much greater than that expected by manufacturers. According to our information, the minimum collection will indeed increase to 231 euros for 1 cigarettes and 000 euros for 177 kg of rolling tobacco. It will thus have jumped by 1% in 10, the maximum increase authorized by law.
Some manufacturers assure that the floor price thus suggested by the government, which cannot impose it, would go from 6,60 to 7,33 euros, beyond the 7,10 euros targeted by the Minister of Health. At Agnès Buzyn's office, this calculation is refuted. If the tobacco companies are so surprised by the extent of the increase in the minimum collection, it is because they chose, in January, to lower their turnover by package, by not passing on the additional taxes created by the previous government. To recover, they must therefore increase prices more than what the new minimum of perception implies. But some may see them approaching that of Marlboro (7 euros today). The latter is indeed less affected by the increase in the minimum perception than the cheaper brands. Many could play it safe while waiting for the consumer rights hikes promised by the government for March 2018.
Com Inside Bottom
Com Inside Bottom
Com Inside Bottom
Com Inside Bottom

Source of the article:http://www.lefigaro.fr/conjoncture/2017/09/25/20002-20170925ARTFIG00064-tabac-hausse-de-prix-programmee-le-6novembre.php

About the Author

Having a training in communication specialist, I take care on the one hand social networks Vapelier OLF but I am also editor for Vapoteurs.net.