Cigarette Price Update: Significant news has emerged for cigarette smokers—their pockets are set to take a hit. Smokers will now have to spend more than before to buy cigarettes. ITC Limited has increased the price of its ‘Gold Flake Premium’ cigarettes by ₹10 per pack, which will significantly affect consumers. This marks the second price hike for this brand this year. Cigarette manufacturers are currently grappling with higher taxes and mounting pressure on sales within the legal cigarette industry.
Consequently, consumers will now have to pay ₹135 instead of ₹125 for a single pack. However, for those addicted to cigarettes, such price increases are unlikely to have much of an impact. According to reports, cigarette packs reflecting the new pricing are expected to reach warehouses by the last week of November 2026, after which they will gradually begin to appear in the market.
Have the prices of individual cigarettes also increased?
While the price of a 10-cigarette pack has gone up, it remains unclear whether the price of an individual cigarette has also increased. If it has, consumers would effectively be paying an extra rupee per cigarette; however, no official confirmation has been provided regarding this.
Why are cigarette prices rising?
A key reason behind the hike in cigarette prices is the government’s adjustment to taxes on tobacco products. A new tax regime—comprising a 40% GST and an additional excise duty—came into effect on February 1, 2026, increasing the tax burden on manufacturers. As a result, ITC is adjusting the prices across its various brands.
Impact on Consumers’ Pockets
Gold Flake is one of the best-selling cigarette brands in India. Although an additional cost of ₹10 per pack might seem insignificant, it could increase the monthly expenditure of daily smokers by ₹300 to ₹600. For ITC, passing the tax burden on to consumers could help maintain the company’s profit margins. Market experts believe that other tobacco manufacturers might also consider raising the prices of their cigarette brands in the near future. Stock with the new printed price of ₹135 has now begun to reach retail outlets.