Malaysia raises cigarette prices

Oct 4, 2010, 2:57 GMT

Kuala Lumpur - Cigarette prices went up by over 7 per cent in Malaysia while the health department warned its staff that those who smoke would not be eligible to receive the excellence performance awards, The Star reported Monday.

Effective Monday, a 20-cigarette pack now costs 10 ringgit (about 3.2 dollars), up from 9.30 ringgit previously. It is the highest increase so far, as previously prices rose moderately between 10 and 30 sens.

Malaysia imposes high taxes on cigarettes in a bid to get smokers to kick the habit.

The Federation of Sundry Goods Merchants' Association president Lean Hing Chuan told the newspaper the price increase is expected to cut sales by 10 per cent. He predicted smuggling activities would rise.

Already one in three cigarettes sold in this country is illegal. Because no tax is paid, smuggled cigarettes sell for between 3 and 3.5 ringgit.

Meanwhile, the Kedah state health department director Dr Marzukhi Mohamed Isa has informed all the 13,000 department staff that those who smoke would not be rewarded.

'Thirty per cent or 3,900 of our 13,000 department personnel are smokers. As staff representing a health department, they should act as role models. Thus, I hope that they will quit smoking,' he was quoted saying.

Read more about Malaysia Health