Excise tax on cigarettes will increase 40 per cent next year, raising the average price per pack to UAH 23 (EUR 0.83), Interfax-Ukraine reported.

Ukraine currently collects a minimum EUR 16 in excise tax on 1,000 cigarettes compared with EUR 90 per 1,000 in the European Union, Interfax-Ukraine said. The hike in excise duties can be expected to raise the average pack price UAH 4.50 to UAH 5, the news agency reported, citing a spokesman for Japan Tobacco International Ukraine.