KAMPALA, Uganda — The Uganda Tobacco Taxation Coalition has petitioned Parliament to implement a 300 percent tax hike on locally manufactured cigarettes, arguing that current levies are too low to discourage smoking.
Aziz Agaba, the coalition programs manager, presented the proposal to the Finance Committee during a hearing on the 2026/27 tax amendment bills. Agaba told lawmakers that locally produced cigarettes account for more than 90 percent of the market share and that minor tax increases fail to generate significant revenue or reduce consumption.
The committee, chaired by Amos Kankunda, heard that the current proposed 10 percent excise tax increase is insufficient to address the health risks associated with tobacco use. Agaba said such a small adjustment is ineffective at lowering tobacco-related mortality and illness.
Coalition member Marble Musinguzi noted that with a projected national income growth rate of 7 percent, cigarettes are becoming more affordable. She said that for excise taxes to work, they must significantly raise retail prices to ensure they are no longer accessible to casual users.
The coalition, which comprises various civil society organizations, argues that tripling the tax is a necessary step to reduce the burden of noncommunicable diseases in the country.
