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"This increase seems lower than our and street expectations, so a positive for ITC and other cigarettes companies," he said adding "cigarettes companies will need only low single-digit hike of around 2 to 3 per cent, which is not much of an issue, given three years of hardly any increase in prices for the consumer, will be easily absorbed by consumer." Advertisement Following the announcement in the Budget 2023-24, excise duty on filter cigarettes of length more than 70 mm but not exceeding 75 mm will go up to Rs 630 per 1,000 sticks from Rs 545 per 1,000 sticks

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Basis for the Special Cess Article 271: This Article gives Parliament the power to impose a surcharge or cess (an additional tax on a regular tax) for a specific purpose