Cigarette Prices Soar: 'Bigger the Cigarette, Higher the Price' Rule Applies From Today

• Union Finance Minister Nirmala Sitharaman's budget announcement coincides with a significant hike in cigarette and pan masala prices.
• The central government has imposed excise duty on tobacco and tobacco products, effective February 1st.
• Excise duty is now directly linked to cigarette length and filter presence; longer cigarettes incur higher taxes.
• Specific tax rates are outlined: small non-filtered (up to 65mm) at 2.05 rupees, small filtered (up to 65mm) at 2.10 rupees, medium (65-70mm) at 3.6-4 rupees, large (over 70mm) at 5.4 rupees, and king size up to 8.5 rupees.
• The Narendra Modi government classifies tobacco products as 'sin goods,' making them more expensive under the new GST framework.

Why It Matters: Cigarette and pan masala prices increase significantly today due to new excise duties based on cigarette length.