Pres insists he isn’t taking U-turn on cigarette tax, but is making ‘necessary’ changes

President Dr. Mohamed Muizzu insisted on Monday that he isn’t taking a U-turn on his strict stance on tobacco products, but is making “necessary changes” to the import duty on cigarettes.

Back in 2024, President Muizzu’s administration increased the import duty on cigarettes and beedi from MVR 3 to MVR 8 per stick, and the ad valorem tax from 50 percent to 100 percent.

But during a press briefing on Sunday, Homeland Security Minister Ali Ihusan said the administration was considering lowering the import duty to MVR 4 per stick at the recommendation of the World Health Organization (WHO).

When questioned about this decision during his weekly press briefing on Monday, President Muizzu insisted that his administration’s policy on tobacco remained unchanged.

“We are not taking a U-turn. This, in no way, is a U-turn. And neither has our policy changed,” he said.

In addition to doubling the tax on cigarettes, President Muizzu’s administration also introduced a ban on vapes and e-cigarettes, and a smoking ban on the post-2007 generation.

Speaking to reporters, President Muizzu noted that the generation smoking ban introduced last year was the first of its kind in the world.

He said that the tobacco control measures were part of larger preventive healthcare policies being implemented by his administration.

He added that the administration was engaged in talks with WHO and other health organizations regarding strengthening tobacco control measures, and also changing the import duty on cigarettes.

“Therefore, our discussions depend on the recommendation of experts and relevant international organizations. That is organizations like the WHO. Especially the WHO. Therefore, we will be looking into their recommendations and their research in this,” he said.

President Muizzu said that a decision on changing the import duty on cigarettes will be taken after through consideration.

The anti-smoking measures has earned Maldives global recognition, with a World No-Tobacco Day Special Recognition Award from the World Health Organization (WHO) for President Muizzu, and a Integrity Award from the Global Center for Good Governance in Tobacco Control (GGTC) for the Maldives.

Despite the global recognition for the measures, the ban on vapes and the subsequent doubling of import duty on cigarettes has created an illegal market where vapes and cheaper brands of cigarettes are being smuggled in and sold in the Maldives. This has also resulted in the loss of millions of Rufiyaa in import revenue.