ITC is first to hike cigarette prices post budget; makes them 10-20% dearer

Price increase brought on by spike in National Calamity Contingency Duty announced in Budget

Following the hike in the National Calamity Contingency Duty (NCCD) announced in the Union Budget this year, market leader ITC increased cigarette prices by 10-20 per cent across some of its brands in all of its markets. 

A rise in NCCD escalates taxes on cigarettes. Manufacturers have the option to either pass it on the consumer or absorb it. 

"Prices of a number of brands have been revised," an ITC spokesperson said.

This is the first hike in cigarettes after the Budget.

Sources said while the American Club Cool Fresh Taste saw the minimum hike of 10 per cent, from