4 Price Tiers, 12 Price Points inspires smokers in Bangladesh: PROGGA Survey

Tobacco companies are marketing 53 cigarette brands across 12 distinct price points under the guise of the government approved four price tiers, creating ample opportunity for consumers to switch brands according to their affordability. In the low tier alone, cigarettes are available at eight different prices.

The highest-priced brand in this tier is sold at BDT 90, which is nearly identical to the medium tier’s starting price of BDT 92. These findings were revealed through a rapid survey conducted among 80 retailers across eight divisional cities in the country by the non-governmental research and advocacy organization PROGGA (Knowledge for Progress) in September 2026.

Anti-tobacco advocates have long demanded that the number of cigarette price tiers be gradually reduced from four to one, preventing consumers from opting for cheaper brands or switching according to their affordability when prices rise.

Global evidence suggests that a single price tier can maximize the impact of tobacco tax and price increases, particularly by encouraging young people and low-income consumers to quit smoking and discouraging smoking initiation. However, in Bangladesh, with cigarettes currently available at 12 different price points, tax and price increases are failing to achieve their full potential in reducing cigarette consumption. This is largely attributable to the existing flawed cigarette tax structure.

Analysis of the survey data reveals that by using the phrase “and above” to each price tier, the government has effectively granted companies the flexibility to utilize price ranges. For instance, the low tier is designated as “BDT 65 and above”, while the medium tier is set at “BDT 92 and above”. In other words, companies can market cigarettes in the low tier at any price point ranging from BDT 65 to BDT 91, while the existing structure allows them to market different brands at numerous price points across the tiers, all the way up to the premium tier.

The survey recommends eliminating the “and above” provision from the price tiers, setting a single price point for each tier, and gradually reducing the number of tiers to one to maximize the impact of tobacco tax and price increases.