Bhutan’s government announced it will roll out a revised tax framework on alcohol, tobacco, and related products early next year as part of efforts to curb non-communicable diseases. The changes include steep excise duties to nicotine products, including Nu 10 ($0.11) per cigarette stick, Nu 40 ($0.44) per cigar, and Nu 1,500 ($16.50) per kg of chewing tobacco. E-cigarettes and vapes will face a 100% excise tax along with customs and GST charges. The government will also tighten regulations by revising the Tobacco Control Rules to explicitly cover newer products like heated tobacco and vapes.
Health Minister Lyonpo Tandin Wangchuk said the move is part of a multisectoral strategy involving education, trade, law enforcement, and civil society. Alongside taxation, the ministry is planning stricter advertising controls and public campaigns to discourage harmful consumption.
