It is estimated that more than 10,00,000 people die each year due to tobacco use in India
world over 60,00,000 people die annually due to tobacco use
Given this there are three broad objectives of the study:
- To examine the micro and macro impact of tobacco consumption
- To examine the effectiveness of various fiscal control measures to tobacco consumption
- To design market support mechanism for crop diversification and livelihood question
The first objective examines the direct as well as indirect costs of rising burden of diseases due to tobacco consumption at household and macro level against the economic benefits in terms of employment, revenue generation etc. The second objective intends to analyze the tax structure particularly the impact of increasing taxes on reducing consumption. Among other things this will discuss the tax rate for smoke and smokeless tobacco, impact of various exemptions provided to different forms of tobacco and its impact on production etc. The last objective is crucial as it proposes to create evidence on alternative cropping pattern and economic benefits which are equally profitable for discouraging farmers growing tobacco. Excluding farmers the market supply mechanism would also work for providing alternatives for traders etc involved in the production and supply chain.