Fighting smoking by increasing the cost. The technique has been well known in France for several years. Germany, until then, privileged land of Alsatian smokers follows the movement. Since January 1, the pack of cigarettes has increased by an average of 10 cents with a tax increase decided by the country.
An increase that should not really suit French border residents. Still need to see this increase. Etienne, a 50-year-old who, like many, regularly crosses the Rhine in the direction of Kehl to stock up, doesn’t see the difference. “I always pay my cartridges around fifty euros”. He is indeed lucky. “We can still sell our stocks of cigarettes with the old prices. Price changes will happen over time and it depends on brand to brand. Some will change the price, some will reduce the number of cigarettes in the package”, assures Nadia, a Franco-German tobacconist based in Kehl.
It’s my retirement that will pass there
Ten cents. It seems little. But this is a first increase before a succession of others. Indeed, package will change from 7.20 to 7.70 by 2026.“Since 2015, there had been no tobacco tax increase. So this is the first time in seven years that this has happened. It is important because it is a political choice.”
Political choice or not, the pill is struggling to pass to Fanny, a French retiree. “Seriously? But it’s my retirement that’s going to be spent there. I smoke a pack a day and I come to buy a cartridge every week. It’s a drug you know, but now, with this news, I have to reduce and maybe I’m quitting,” sighs the 64-year-old woman.
Successive increases that do not impress Hugo, 20 years old. “It’s not the money that will make me stop. I’m sure that cigarettes will always be more expensive in France than in Germany. I would live in Brittany, I would say to myself that with this increase abroad, I would stop smoking, but there being from Strasbourg, it’s impossible. I would stop one day, but for my health”.
In the meantime, and despite these announced increases, the cigarette pack is still 30% cheaper in Germany. But, if the worst scenario happens, namely the alignment of German and French prices, Mickaël, another Frenchman is even considering “parallel markets” to keep smoking.
A tax on e-cigarette liquids
With the rise of the cigarette pack, there is a great novelty that this time will not necessarily please consumers of electronic cigarettes. From July 2022, cash will also be taxed for the first time. “The vial should go in July from four euros to 5.60 euros. This tax increase will also increase until 2026, until it reaches 7.20 euros. For a buyer of liquid, it will be less worth it to go to Germany to stock up”, says Arthur Lindon of the European Consumer Center in Kehl.