Smokers to cough up more for cigarettes in New Year

The cost of cigarettes has gone up by one kuna (0.14 Euros).

Six brands from tobacco company TDR increased their prices on January 1 as a consequence of increased excise duties levied in October.

The company said that while it had maintained the prices of its products for two months, it was no longer able to do so.

In an anticipation of the price increases, TDR's CEO Davor Tomaskovic said last summer that the new excise duty increases will benefit neither the consumers nor the state. The changes would bring a decrease in revenue for the producers with consequences for the state budget. This would also contribute to a strengthening of the climate conducive to un-taxed (illegal) consumption, he warned.

Croatians smoke 484 million packets of cigarettes per year, or 9,700 cigarettes per smoker. If black market sales are added to official figures, the total numbers would double, the daily Jutarnji List writes.