5 months ago
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Shares of cigaret and baccy merchandise makers ITC, Godfrey Phillips and VST Industries dropped connected Friday (January 2, 2026) morning, extending their erstwhile day's decline, aft the authorities imposed an further excise work connected specified products effectual February 1.
ITC's banal tumbled 5.11% to ₹345.35 — its 52-week debased — connected the BSE.
The banal of Godfrey Phillips India declined 4.58% to ₹2,184.60.
Shares of VST Industries besides dipped by 2.56% to ₹248.60.
On Thursday, Godfrey Phillips India tanked 17.09% to settee astatine ₹2,289.65 connected the BSE. Shares of ITC tumbled 9.69% to extremity astatine ₹363.95 and VST Industries dipped 0.60% to ₹255.15.
The Finance Ministry has notified amendments to the Central Excise Act imposing an excise work of ₹2,050-8,500 per 1,000 sticks based connected cigaret length, effectual February 1. This work volition beryllium implicit and supra 40% GST.
The Ministry has besides notified the Health and National Security Cess Act, levying cess connected the manufacturing capableness of cookware masala-related businesses from February 1.
The full taxation incidence connected cookware masala, aft taking into relationship 40% GST, volition beryllium retained astatine the existent level of 88%.
The revised taxation operation replaces the existing authorities of 28% GST, on with a compensation cess connected baccy and related products.
