Smoking can become even more expensive in Russia, the Ministry of Health warns. The World Health Organization offers Russia to raise the excise tax on tobacco seven times. In accordance with the WHO requirements, the average price for a pack of cigarettes will be 238 rubles ($7.5) by 2020. Current prices range from 30 to 80 rubles per pack ($1-3).
Not only ordinary smokers, but also the Ministry of Finance were left dissatisfied with the move. The department proposes to slow down the growth of excise taxes after 2016. The math is simple. One can not allow a greater gap in retail prices on tobacco with partners in the Customs Union. According to the Ministry of Finance, such actions will trigger the flow of contraband from neighboring countries. Agreements on these issues between members of the Customs Union already exist, and before 2016, the growth rate of excise duties shall not exceed 28%.