Pakistan

Tobacco Tax Now to Protect Health and Schools

The Pakistan National Heart Association (PANAH), joined by civil society groups and public health experts, has called on the government to introduce a tobacco tax and higher levies on sugary drinks and other ultra-processed products rather than imposing deeper cuts to health and education budgets.

Speaking on behalf of PANAH, General Secretary Sana Ullah Ghumman warned that sweeping reductions in development spending and recent fuel price hikes tied to rising global tensions risk long-term harm to human development and the economy. He said a tobacco tax and similar measures on harmful products offer a practical way to mobilise revenue while reducing the burden of preventable disease.

Pakistan is confronting a serious non-communicable diseases crisis, with NCDs accounting for nearly 58% of deaths and more than 33 million adults living with diabetes. The country spends approximately USD 2.6 billion each year on diabetes care alone, a cost Ghumman noted is double the IMF instalment Pakistan receives. These illnesses also reduce workforce productivity through absenteeism and premature mortality, undermining economic output.

PANAH and health experts emphasised that tobacco tax and sugary drinks tax policies are supported by international evidence: higher prices lower consumption, improve health outcomes and generate government revenue. They pointed out that current tax receipts from industry are only a fraction of the public cost of the diseases these products cause, and that focused health taxation can protect vulnerable households most affected by inflation and fuel price rises.

The coalition urged the government to adopt progressive health taxation that targets non-essential, harmful products rather than shifting the fiscal burden onto ordinary citizens by cutting essential services. Implementing a robust tobacco tax alongside measures on ultra-processed products would help safeguard public health, strengthen fiscal resilience and preserve investments in education and healthcare for Pakistan’s future.

PANAH called for immediate action from policymakers to prioritise public health and economic stability by taxing harmful products and avoiding disproportionate cuts to development spending.

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