Vietnam to allow import cigarettes, cigars upon WTO accession

Vietnam will permit its enterprises to import cigarettes and cigars when it joins the World Trade Organization (WTO), expectedly late this year, according to local newspaper Saigon Liberation on Monday.

Now, cigars and cigarettes produced in Vietnam are subject to special consumption tax of up to 55 percent. The maximum tax will increase to 65 percent in 2008.

According to statistics released by Vietnam's Health Ministry in late 2005, over 50 percent of local men and around 3 percent of local women smoke cigarettes. Smoking causes 30,000-40,000 deaths in the country each year.

Vietnam, whose population currently is more than 83 million, is trying to reduce the number of smokers by imposing higher taxes on tobacco products, restricting investment in cigarette production, and raising public awareness in this regard.

Source: Xinhua