Tobacco-related economic losses five times greater than tobacco tax revenue

Economic losses stemming from tobacco use, including healthcare costs, lost productivity, and premature deaths, are five times greater than the tax revenue collected from tobacco products.

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Deputy Minister of Health Tran Van Thuan speaks at the workshop

This was heard at yesterday’s workshop to publicize the harmful effects of e-cigarettes and heated tobacco products organized by the Ministry of Health. At the event, Deputy Minister of Health Tran Van Thuan said that after more than 10 years of implementing the Law on Prevention of Tobacco Harms and tobacco control measures, the rate of active smoking among adults in Vietnam has decreased but is still in the group of countries with the highest rate of smokers in the world when the smoking rate among adult men in our country is 41.1 percent.

The estimated economic losses resulting from both active and passive smoking, which includes expenses related to medical examination and treatments, as well as the decline in labor productivity due to health issues and premature mortality linked to smoking, is estimated to represent 1.14 percent of the Gross Domestic Product (GDP), amounting to over VND108,000 billion. It is important to highlight that this expenditure is five times greater than the income generated from tobacco taxation.

At the same time, Vietnam is facing an increase in new tobacco users, mainly e-cigarettes and heated tobacco products, especially among young people. In 2019, about 2.6 percent of Vietnamese students aged 13-17 used e-cigarettes, but in 2023, the survey results in 11 provinces and cities increased to 8.4 percent.

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