Rajya Sabha members demand crackdown on misleading tobacco, liquor ads

Several Rajya Sabha members urged the government to halt what they called “misleading” advertisements for tobacco, liquor and related products, citing the high number of deaths linked to cancers and other diseases, according to media reports.

The discussion took place during the debate on the Central Excise (Amendment) Bill, 2025, which was introduced in the Upper House after clearing the Lok Sabha. The bill aims to allow the government to impose higher excise duty on tobacco products once the GST compensation cess ends, stabilising taxation on items considered harmful.

BJP MP Sanjay Seth raised concerns over rising tobacco consumption and the increase in cancer, heart and lung diseases. Citing a World Health Organisation report, he said about 1.35 million people die each year in India from such diseases. Seth criticised surrogate advertising, where companies promote tobacco or liquor under the guise of soda or water brands. “Our government should stop such advertisements immediately,” he said, also suggesting that a part of the revenue be earmarked for cancer research and awareness.

BSP MP Ramji echoed the demand, urging an immediate halt to ads promoting gutkha as pan masala. He called for a ban on film actors endorsing such products and proposed mandatory licensing for sellers of gutkha and cigarettes, similar to rules for liquor vendors.

Under the bill, the government would gain flexibility to raise the central excise duty after the GST compensation cess, currently applied on all tobacco products, expires. At present, tobacco is taxed at 28% GST plus varying cess rates.

The proposal includes an excise duty of 60-70% on unmanufactured tobacco. Excise on cigars and cheroots is set at 25% or Rs 5,000 per 1,000 sticks, whichever is higher. Cigarette excise would range from Rs 2,700 to Rs 11,000 per 1,000 sticks, depending on length and filter type, while chewing tobacco would be taxed at Rs 100 per kg.

AIADMK’s M. Thambidurai supported the bill but said state governments must receive their fair share of revenue.

Congress MP Jebi Mather Hisham backed the use of higher taxation to curb tobacco use but argued that the ‘hidden objective’ of the government was to offset revenue losses from GST. She cited estimates that more than one million deaths annually in India are caused by tobacco use, about 2,500 each day.

BJP MP and former Union minister Bhagwat Karad also supported the bill, saying its purpose is to stabilise tobacco taxation and strengthen the government’s health policy to reduce cases of cancer, heart disease and lung disease.