Import duty hike on cigarettes, vapes comes into effect with ratification of amendment

President Dr. Mohamed Muizzu, on Thursday night, ratified the 19^th amendment to Export-Import Act of the Maldives – effectively doubling the import duty on cigarettes and vapes.

Parliament passed the amendment at Thursday’s sitting with an overwhelming majority of 71-8.

The government-backed bill was submitted by North Mahchangolhi MP Ibrahim Mohamed.

The amendment increases the tax on cigarettes and other tobacco products, as well as the tax on e-cigarettes and vapes until a planned ban kicks in. 

The new import duty rates on tobacco and related products under the amendment are as follows:

General tobacco and prepared tobacco products: 200 percent duty on all items in this category, excluding specific items listed below.

• Cigarettes: 50 percent duty, plus MVR 8 per cigarette.
• Bidi (traditional cigarettes): 50 percent duty, plus MVR 8 per bidi.
• Flavored chemicals used in electronic cigarettes and other tobacco products: 50 percent duty, plus MVR 8 per millilitre.
• Heated tobacco products and consumable tobacco sticks: 50 percent duty, plus MVR 8 per stick.

It also introduces a 200 percent important duty for electronic machinery, equipment and parts including electronic cigarettes, vaping devices, and tobacco heating products.

The amendment is effective from today, November 1^st.

Notably, President Muizzu announced his decision to ban the import and sale of vape in the Maldives on October 14^th.

The President, in a post on X, said he had instructed to ban the import of vaping devices and parts of such devices starting from November 15^th and instructed all relevant authorities to undertake all efforts necessary to ban the use, possession, production, sale, advertisement and free distribution of vapes starting from December 15^th.

On October 15^th, President Muizzu announced his decision to double the import duty on cigarettes and beedi – a measure he said is designed to discourage smoking.