VAST-Ghana recommends immediate increases in tobacco, alcohol prices

VAST-Ghana has urged the government to significantly increase taxes on tobacco and alcohol products to curb consumption and generate revenue for public health initiatives. In a policy brief submitted to the Ministry of Finance, the organization recommends raising the specific excise tax on cigarettes from GH₹0.28 to GH₹1.00 per stick, a move that would ensure total taxes account for at least 75% of the retail price.

The group also advocates for increasing the tax on Akpeteshie (local gin) from 20% to 40% and restructuring alcohol taxation to be based on alcohol by volume (ABV), with a minimum specific duty per liter of pure alcohol. These measures would align Ghana’s tax regime with World Health Organization recommendations and international best practices.

VAST-Ghana argues that higher taxes would reduce consumption, particularly among vulnerable populations such as children and the poor, while generating sustainable revenue for health programs. The organization further calls for a digital tax stamp system to combat illicit trade in tobacco products and for the Ghana Revenue Authority to automatically adjust tobacco taxes annually for inflation and economic growth.

By targeting tobacco and alcohol—two major risk factors for non-communicable diseases such as cancer, heart disease, and liver cirrhosis—these policies offer a double dividend: improving public health and strengthening the nation’s fiscal position.