Japan hikes cigarette tax

JAPAN has imposed a 40% tax increase on cigarettes, effectively raising the price on most brands by a third, to curb smoking.

The finance ministry said the increase, which lifted the popular Mild Seven brand price to €3.56 per pack, will raise €553m over the first year.

However, officials at the health and finance ministries say the primary goal is to encourage smokers to quit.

Japan Tobacco, the world’s third-largest tobacco maker, said 36.6% of Japanese men smoked, down from about 50% a decade ago. The rate among women is 12.1%.