Malaysia

Updated May 2013

Tax

Total tax rate as a % of Retail Price: 48%Screen Shot 2556-07-03 at 9.15.36 PM

Impact on Revenue

Government revenue from tobacco tax 2005 – 2011 (figures in USD)*
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*Country customs department and Ministry of Finance Data 2010-2012

Cigarette Price (2012)

Most popular foreign brand is Dunhill’s 20 costs 3.32 USD per pack.  Despite the government’s introduction of a minimum price for cigarettes to induce a reduction in smoking, it was reported that British American Tobacco (BAT) engaged in price-cutting in November 2009 by lowering the prices of its popular brands including Pall Mall.

Adult smoking prevalence in Malaysia was estimated in 2010 to be around 21.5% (43.6% among males and 1.6% among females). The 2009 Global Youth Tobacco Survey found that 19.5% of 13 to 15-year-olds use some form of tobacco products with 18.2% smoking cigarettes and 9.5% using other tobacco products.

In 2004, the total smoking-attributable cost of three tobacco-caused diseases (chronic obstructive pulmonary disease, ischemic heart disease, and lung cancer) amounted to around USD 790.47 million or equivalent to 16.49% of the National Health Expenditure or 0.74% of the country’s GDP. The burden on health-care providers was estimated at USD 533.77 million, and the total health-care costs were projected to increase from USD 790.47 million in 2004 to USD 1.03 billion in 2010 or a 31% increase over the next 6 years.

In 2002, smoking accounted for 25% of all deaths. In 2006, smoking- caused diseases accounted for at least 15% of hospitalized cases and about 35% of hospital deaths. 

Projected health-care costs for 3 smoking-related diseases in Malaysia (in MYR), 2004-2010
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Source:

ASEAN Tobacco Tax Report Card

ASEAN tax report