Tobacco Stocks Plunge: Godfrey Phillips Dips 17% Amid New Excise Duty

• Tobacco stocks, including Godfrey Phillips and ITC, plummeted after new excise duties and health cess were notified.
• Godfrey Phillips India plunged 17.09% to ₹2,289.65; ITC tumbled 9.69% to ₹363.95, hitting a 52-week low.
• New duties on pan masala and tobacco products, and a cess on biris, are effective February 1 (or Feb 1, 2026 for biris).
• The Finance Ministry's December 31, 2025 notifications introduce an MRP-based valuation and additional excise duties.
• Gutkha faces 91% additional excise duty; chewing tobacco and jarda-scented tobacco 82%; cigarettes ₹2,050-₹8,500 per 1,000 sticks.

Why It Matters: New government excise duties and health cess caused a significant drop in tobacco company stock prices.