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Date created: 26 October 2016

A market investigation by The Business Standard found that virtually every cigarette brand is being sold above its printed MRP, because cigarette companies sell to distributors at or virtually at the MRP itself, leaving no margin for retail sellers Highlights: Cigarettes widely sold above government-set Maximum Retail Prices across Bangladesh Retailers overcharge because distributors sell near official retail prices Government may lose over Tk4,000 crore annually in tax revenue Single-stick cigarette sales significantly increase illegal price markups Authorities acknowledge overpricing but enforcement remains weak and complaint-driven Experts urge wholesale pricing reforms and stricter market monitoring Despite clear legal provisions that prohibit retailers from charging more than the Maximum Retail Price (MRP) printed on product packaging, cigarettes continue to be sold above the government-set price across Bangladesh, a long-running practice that experts say is depriving the government of thousands of crores of taka in revenue while enriching the distribution chain

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