The Economics Of Tobacco In Lebanon: An Estimation Of The Social Costs Of Tobacco Consumption (Full Report) - Ifi Paper

Paper Produced as Part of the AUB Tobacco Control Research Group | April 2010
The Economics of Tobacco in Lebanon: An Estimation of the Social Costs of Tobacco Consumption (Full Report)Jad Chaaban, Nadia Naamani, and Nisreen Salti
Tobacco Control is currently being implemented in various countries worldwide. This is a result of the direct effect of tobacco smoking on health. Broadly speaking, Tobacco Control entails a ban on tobacco advertising both below and above the line,1 a ban on smoking in public areas, an increase in the tax on cigarette packs, and the placement of health warnings on cigarette packs. The extent of control varies from country to country. However, when any of these measures is adopted a decrease in cigarette consumption is expected, thereby reducing the prevalence of smokingrelated illnesses and ultimately smoking-related deaths. Lebanon has several pending laws for tobacco control however none are yet ratified and implemented. An excise tax is currently in place on imported tobacco, in addition to a tariff and the valueadded tax. These instruments generate some revenue for the government. However, it should be noted that tobacco also imposes a cost on the government. The cost of tobacco on the Lebanese economy has yet to be assessed. This paper aims to understand the Lebanese tobacco market and assess whether this market creates an overall revenue or cost to the Lebanese economy. This should inform the current legislative debate on passing a new law for tobacco control and help policymakers further understand the dynamics of the Lebanese market upon instating new policies.