The central question of this study was to determine the relationship between tobacco taxation and tobacco consumption in Bosnia and Herzegovina (BiH). This report is the frst of its kind, providing a comprehensive examination of the tobacco industry in (BiH) and an estimate of the impact of tobacco price on consumption.
Tobacco consumption continues to be prevalent among a large percentage of BiH citizens. According to ofcial statistics, more than 40% of the country’s adults, about 1,200,600 people, consume tobacco product on a daily basis. Thus, BiH is among the top 10 countries in the world for cigarette consumption, after Montenegro, Belarus, Lebanon, Macedonia, Russia, Slovenia, Belgium, Luxembourg, and China (MarketWatch, 2014).
Smoking prevalence in BiH is close to 40% with a signifcant diﬀerence between men (46.9%) and women (28.5%). The gender gap has diminished over time, as the smoking prevalence has been increasing among women. Tobacco use among females, as well as among youth, is possibly a response to an increasing level of tolerance towards smoking in BiH. Among youth, tobacco use prevalence for girls (9.7%) is signifcantly lower than boys (15.5%).
Disparities in smoking follow noticeably diﬀerent patterns across social classes. There is a strong socioeconomic gradient in smoking, with more fnancially secure people in BiH less likely to smoke. Additional factors that likely contribute to the high level of smoking prevalence in BiH are an easy access to tobacco products, their aﬀordability, and diﬀerent forms of illicit trade of tobacco.
National Study on Economic of Tobacco and Tobacco Taxation – Bosnia-Herzegovina - download here.