Morocco Raises Cigarette Prices, Local Brands Most Affected

The increase varies between 1 and 3 dirhams, depending on the brands. The price of a pack of Gauloises Sweet and Gauloises Blend cigarettes has increased by 3 dirhams, reaching 32 dirhams, while that of Marquise, one of the best-selling in Morocco, has recorded an increase of one dirham (Marquise Lights) to 3 dirhams (Marquise Box FF), reports Le360. The prices of Davidoff brand products (Classic, Gold, Violet Super Slims and Boudoir Menthol) have increased by one dirham, standing at 42 dirhams per pack.

A circular from the Customs and Indirect Taxes Administration (ADII) sets the new prices of cigarettes and announces the withdrawal from the market of certain brands such as Maghreb, certain Fortuna products (FF, Blue and Red), Marquise (Menthol and Gold FF), MQS (FF and Lights) and Mustang, as well as the Heets heated tobacco brand (Sienna Selection, Sun Pearl or Summer Wave).

The 2022 Finance Act had planned a reform of the Domestic Consumption Tax (TIC) on tobacco, with progressive taxation for the period 2022-2026. The revision of the taxation methods aims to generate additional revenue for the Treasury and reduce the substantial price gap between low-cost cigarettes and premium brands. The taxation plan defined in the 2022 Finance Act provides for an increase in the specific portion of the TIC from 100 dirhams in 2022 to 550 dirhams in 2026. As for the minimum collection on a total of 1,000 cigarettes, it should increase from 710.2 dirhams in 2022 to 953 dirhams in 2026.