Oh, here we go again.
British American Tobacco (BAT) Malaysia announced that effective today, the retail selling prices (RSP) of its 20-stick premium and aspirational premium packs will be raised from RM12 to RM13.50 (+12.5%) and RM10.50 to RM12 (+14.3%), respectively. We know what you’re thinking – “Again?!”
The last time BAT announced an increase of cigarette prices was sometime in September, citing “costs to produce and distribute each stick of cigarette escalating due to mounting inflationary cost pressure”. But BAT quickly reverted to old prices 2 weeks after, explaining that “the move was for the tobacco player to remain competitive”. This time, however, the reason for the price increase is due to the impact of an increase in excise duty.
As such, a pack of 20 Lucky Strike and Rothmans International would be sold at RM14 while a box of Dunhill, Benson & Hedges, or Kent will now be sold at RM13.50. As for Peter Stuyvesant, it’ll now cost RM12 per pack.
Other cigarette manufacturers affected include JT International (JTI) Malaysia and Philip Morris International (PMI) Malaysia, both legally bound to raise their pack prices (by a minimum of 70 sen). However, it is not known yet if the hikes these other manufacturers will impose will be of a similar amount.