Taxing Health: The Risks of Lower GST on Beedis

Health experts have strongly criticized the Indian government's decision to reduce the Goods and Services Tax (GST) on beedis from 28 percent to 18 percent, while other tobacco products are taxed at 40 percent. This move could exacerbate India's tobacco-related health problems, particularly among poor and vulnerable communities.

Beedis, the most commonly smoked tobacco product in India, pose serious health risks, including cancers, respiratory illnesses, and heart conditions. Prominent oncologist Dr. Vishal Rao warns that the tax disparity may increase beedi consumption among lower-income populations, intensifying preventable health crises.

Experts emphasize the need for uniformly high taxes on all tobacco products to deter consumption. They urge the government to align taxation policies with global recommendations to protect public health and mitigate the economic impacts associated with tobacco-related diseases.