Opposition in RS calls for govt initiative to check tobacco use

New Delhi, Dec 4 (PTI) Several opposition MPs on Thursday expressed concern in the Rajya Sabha that the government is focusing on increasing revenue from tobacco, rather than initiating strong public health measures to control its use.

Participating in a discussion on a bill seeking to levy more excise duty on tobacco products, members also asked the government to put a check on surrogate advertisements on tobacco products.

The Central Excise (Amendment) Bill, 2025, passed by the Lok Sabha on Wednesday, was moved in the Upper House on Thursday by Minister of State for Finance Pankaj Choudhary.

Speaking on the Bill, Congress deputy leader in the Rajya Sabha Pramod Tiwari said the bill should have been sent to a Parliamentary panel for scrutiny.

Tiwari said the bill is silent on tobacco farmers and labourers who work in the sector.

He said the money earned through levying excise duty on tobacco should be spent on health care to help tobacco-affected people.

"Withdraw the Bill and send it to a committee, so that the excise can be spent on those impacted by tobacco," he added.

He also warned that it may increase the illegal trade of tobacco products.

TMC MP Sagarika Ghose said the bill is a pure and simple revenue move, and it is not for a public health reform.

"This bill is a pure and simple revenue move; it is not a public health reform. It is a move to profiteering on taxes," Ghose said.

"What are you doing from a public health perspective?... Just by raising taxes it is not going to discourage people from smoking or consuming tobacco products. People who are addicted to tobacco or who consume tobacco products will consume them anyway, even if you keep raising taxes," she pointed out.

She also wanted to know if any steps were being taken by the government to discourage surrogate tobacco advertisements.

"We have seen that the government is not taking any steps to control pan masala and tobacco advertisements that are being done by celebrities and influencers across the media. What is the government doing to control these kinds of advertising?" she questioned.

She said global best practices show that tobacco taxes are most effective only when paired with strong public health interventions.

"Therefore, this bill is a pure and simple revenue move. It is not a public health reform. This is a revenue move to profiteer from taxes. It is not a public health reform," she added.

Ghose also said the Centre owed West Bengal around Rs 2 lakh crore.

Noting that tobacco addiction is a major problem faced by the country, DMK MP R Girirajan said instead of taking steps to reduce its consumption, the government is imposing taxes.

"It will only lead to more avoidance of tax as opposed to revenue collection. The middle class, all over the country, is very unhappy that they are paying the majority of taxes, and that they are not getting any tax deduction," he added.

He said India is the only country where the super-rich and super taxpayers have several concessions, while the individual salaried class people are "penalised more".

"A higher share of cess and surcharge restricts the fiscal space available to the states by reducing the divisible pool. That undermines federal fiscal equilibrium and may impair states' ability to invest in essential public services, like education, health and family welfare," he said.

Girirajan also said that the Centre owed around Rs 2 lakh crore to Tamil Nadu.

AAP MP Sandeep Kumar Pathak questioned the vision of the government.

"Would you want to stop tobacco products gradually and save lakhs of lives, or the amount of tax you generate is making you happy, which is around three per cent of the total revenue generated... It also provides jobs to many," Pathak said.

"We need to dissect and thoroughly investigate this... If the government keeps public health as a primary concern, it should make it clear," he added.

There is a massive revenue loss due to tobacco-related health issues, he added.

"The question arises if it can be totally banned...The liquor ban in Gujarat has totally failed; it is delivered at home. Same with Bihar... No matter if your intentions are good... You have to see whether it works or not," he said.

"Your intention is not clear; it looks like you are doing this just for revenue generation." BJP MP Arun Singh said that under the NDA regime, the share of taxes given to states has increased.

"During the UPA, 32 per cent of the taxes were given to states...Our government decided to give 42 per cent to states," he added.

He said that as far as health is concerned, the BJP government "does not need to learn from UPA", and mentioned government schemes like Ayushman Bharat.

"Congress never thought people should get clean water." The Central Excise (Amendment) Bill will replace the GST compensation cess, which is currently levied on all tobacco products like cigarettes, chewing tobacco, cigars, hookah, zarda, and scented tobacco. Currently, a 28 per cent GST plus cess at a varied rate is levied on tobacco.

The bill proposes to levy an excise duty of 60-70 per cent on unmanufactured tobacco. Excise on cigars and cheroots is proposed at 25 per cent or Rs 5,000 per 1,000 sticks, whichever is higher.

Cigarettes, not having filters, and of length not over 65 millimetres, will attract duty of Rs 2,700 per 1,000 sticks and Rs 4,500 per 1,000 sticks for length over 65 millimetres but not exceeding 70 millimetres. PTI AO SKC CS BAL BAL