The Sri Lanka Alcohol and Drug Information Centre (ADIC) has called on the Government to take immediate action to reduce the health and environmental harm caused by tobacco and alcohol consumption, urging authorities to resist pressure from multinational tobacco companies. The appeal was made in a recent communique issued by the ADIC.
Executive Director of ADIC, Sampath De Seram highlighted the alarming impact of tobacco and alcohol on public health in Sri Lanka. De Seram said that non-communicable diseases (NCDs) are the leading cause of death globally, accounting for 83% of all deaths in Sri Lanka. “Cigarettes and alcohol are not ordinary consumer items, and authorities must regulate their prices to discourage consumption,” De Seram said. He said that alcohol consumption results in approximately 15,000 untimely deaths annually, while smoking claims around 20,000 lives each year. “Thousands more suffer from serious illnesses due to alcohol and smoking,” De Seram added.
The ADIC executive also referenced a recent warning by the US Surgeon General, Dr. Vivek Murthy, who raised concerns about the link between alcohol and cancer. Dr. Murthy said that alcohol is a well-established preventable cause of cancer, responsible for approximately 100,000 cases and 20,000 deaths annually in the United States alone. He called for updated health warnings on alcoholic beverages to reflect the cancer risk.
In Sri Lanka, the economic and health costs associated with alcohol use were substantial, with an estimated Rs. 237 billion spent in 2022 on alcohol-related healthcare costs. However, the revenue generated from alcohol taxes amounted to only Rs. 165.2 billion. ADIC’s findings also revealed that a 20% increase in alcohol tax in 2023 led to a reduction in alcohol consumption by 8.3 million litres, alongside a rise of Rs. 11.6 billion in alcohol tax revenue. Similarly, cigarette sales dropped by 18% in 2023, and the Government collected Rs. 92.9 billion in cigarette taxes, though the healthcare costs related to smoking reached a staggering Rs. 214 billion.
De Seram said that in 2022, the daily expenditure on alcohol and cigarettes amounted to Rs. 1.21 billion, with Rs. 510 million spent on arrack, Rs. 180 million on beer, and Rs. 520 million on cigarettes. Despite the tax hikes, De Seram criticised the system, saying that cigarette and alcohol companies continue to profit significantly, even with increased taxation.
According to a UNDP-sponsored study on alcohol and cigarette consumption in Sri Lanka, the World Health Organization has recommended that the Government adopt scientifically analysed tax increases for both substances. Such measures, De Seram said, could significantly reduce the harm caused by these products while enhancing excise tax revenue.
