Tobacco manufacturers emphasize the dangers of tax increases

The July planned increase in excise duty announced by the government shocks the participants of the Hungarian tobacco industry – said the tobacco manufacturers.

Sánta János, the President of the Hungarian-owned tobacco company, the Continental Dohányipari Zrt. was interviewed by MTI on the situation.
The president among others said that it is conceivable that not the government really, but rather some of the larger tobacco companies would be interested in the higher tax rate in Hungary. The harsh tax increase would cause problems to all participants of the tobacco industry, but the capital-intensive foreign companies are confident that they will survive the market crash, and they will be able to re-start production on the domestic market free of smaller domestic participants. (MTI)