Tobacco prices in Spain are set to increase in 2025, following the elimination of the VAT reduction on food products and the implementation of new tax regulations. While the food sector is not the only one affected by these changes, smokers, who represent 22.1% of Spaniards over the age of 15 according to the INE, will also feel the impact of the price hikes.
New Prices for Cigarettes and Tobacco Products
As per Article 4 of Law 13/1998, of May 4, on the Regulation of the Tobacco Market and Tax Regulations, tobacco products will see a cost increase this year. Following the regulations that came into force on December 21, the new prices for packs of cigarettes, rolling tobacco, pipe tobacco, and cigars for 2025 have been established, with some cigarette packs now costing up to ten euros.
The list of new prices for various cigarette brands includes:
- Desert Gold Blue: €4.55
- Dunhill International: €6.90
- Lucky Strike Blue: €5.65
- Pall Mall International Red: €6.20
- Rothmans Blue: €6.65
- Vogue Super Slims Blue: €6.90
- Winfield Red: €8.00
E-Cigarette Tax Delayed Until April
While the tax on e-cigarettes and other tobacco-related products was initially set to take effect on January 1, the Spanish Government has decided to postpone its implementation until April 1, 2025. This delay aims to provide "a greater margin for the adaptation of this tax figure," according to a statement from the Ministry of Finance.
The vaping industry and its consumers in Spain will have a brief reprieve from the new taxes, but the impending changes highlight the ongoing efforts by governments to regulate and tax these products. As the cost of traditional tobacco products continues to rise, it remains to be seen how these price increases will impact the demand for e-cigarettes and other alternative nicotine delivery systems.
