|
Govt
‘inhales’ Rs. 4b from smokers in first half
CTC
boosts Jan-to-June 2008 revenue to Treasury to Rs. 23.2 b
The
government has recorded an increase of Rs 3.9 Billion Rupees
in revenue from the legal cigarette manufacturers, for the
first six months ended 30th June 2008, mainly attributed to
the excise led price increases and declining volumes of illegal
and counterfeit products in the local market.
Ceylon Tobacco Company (CTC) stated that government Revenue
from the tobacco industry has increased from Rs.19.3 Billion
during the six months ended 30th June 2007 to Rs. 23.2 Billion
during the same period 2008. However, industry volumes continue
to decline, largely driven by the reduction in the number
of consumers and their average daily consumption levels. During
the period under review CTC’s total sales volume declined
over the same period last year reflecting the impact successive
price increases in 2007/2008 and the effect of tobacco regulations
imposed in Dec 2006.
Raids and detections carried out by Customs, Excise officials
and Police to minimise the availability of counterfeit and
illegal cigarettes, has paid dividends with a better return
to the Government. The estimated volumes of these illegal
products mainly “Gold Seal” have seen a drop during
the period under review. The authorities carried out more
than 130 raids during the first six months of year 2008 and
over Rs.120 million worth of counterfeit and smuggled cigarettes
were confiscated and destroyed.
The
Company continues to invest in its flagship community project;
Sustainable Agricultural Development Programme (SADP) which
is targeted at poverty alleviation and has over the last two
years touched the lives of over 2200 families in rural Sri
Lanka unfolding a simple formula to achieve sustainable development
through their own effort.
|
