Morocco Set to Raise Cigarette Prices in April

Based on the recommendations that the commission is about to submit to the Minister of Economy and Finance, prices should vary between one and two dirhams per pack as of April 1st. For the first time, the commission has carried out a price control of each brand distributed on the Moroccan market in order to avoid any manipulation.

The prices proposed by the commission take into account the annual increases in the domestic consumption tax (TIC) and their compatibility with the prices proposed by the operators, it is pointed out. As for the importers, they are protesting against this new increase in cigarette prices, the second since the beginning of the year.

The commission has also updated the list of cigarettes sold in Morocco by removing those that do not comply with the provisions of law 46-02 relating to the regime of raw and manufactured tobacco in Morocco. These measures aim to avoid freezing prices, particularly for premium cigarettes, and to get importers to assume the gradual increase in the TIC.

The tobacco sector players and the Ministry of Economy and Finance have signed a progressive taxation agreement as part of the reform of the tax system specific to this type of mass consumer product for the period from 2022 to 2026. The collection of the TIC should bring in 12.5 billion dirhams to the State in 2025 and 13.7 billion dirhams next year.