President Ratifies Law Halving Cigarette Import Duty to MVR 4

President Dr Mohamed Muizzu ratified the 20th Amendment to the Export-Import Act on , bringing into force changes that halve the import duty on cigarettes and exempt smoking cessation products from import duties.

The amendment, which was passed by the parliament on Wednesday, 1 July, came into effect immediately following its ratification and publication in the Government Gazette the following day.

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Under the revised law, the specific import duty on cigarettes, beedis and consumables for heated tobacco products has been reduced to MVR 4 per stick, alongside an ad valorem duty of 30 percent.

The amendment also removes import duties on nicotine gum, nicotine patches and other products specifically manufactured to help people quit smoking.

The legislation reverses part of the tobacco tax changes introduced in November 2024, when the specific import duty on cigarettes was increased from MVR 3.30 to MVR 8 per stick, contributing to a sharp rise in retail cigarette prices.

The government has said the latest changes were introduced based on advice from the World Health Organization (WHO) and are intended to support smoking cessation while reducing demand for illegal and unregulated tobacco products. The government has also continued broader tobacco control measures, including a generational tobacco ban, a ban on the import and sale of vapes, and the launch of a national tobacco control campaign.