The NGO noted that the National Kenaf and Tobacco Board manages retail sale licences, the health ministry is in charge of smoking bans and advertising regulations, the customs department manages duty control and tax stamping, and the Solid Waste Management and Public Cleansing Corporation manages waste.

“This fragmentation of jurisdiction leads to overlaps and resource constraints.

“MCTC proposes the coordination of enforcement powers at the local authority level, with a clear mandate and adequate resources.

“This integrated approach will reduce tax revenue leakages, combat non-duty-paid products and improve retailer compliance,” it said in a statement today.

MCTC said such coordination would strengthen the effectiveness of price increase policies, which are necessary to achieve the “endgame” target of reducing smoking prevalence to below 5% by 2045.

“Fiscal measures such as tax increases form part of the strategy to reduce demand for tobacco products.”

However, the lack of regular revisions to tobacco taxes over the past decade underscored the need for a sustained fiscal strategy to meet the 2045 smoking endgame target, it added.

Under the 2026 budget, the government announced an increase in tobacco excise duties effective Nov 1, 2025, resulting in an extra two sen per stick for cigarettes.

MCTC also addressed the perception that tax increases will automatically lead to higher levels of smuggling, citing a World Bank report which found that illicit trade is more closely linked to weaknesses in enforcement and governance rather than tax rates alone.

“Tax increases must be implemented in tandem with strengthening supply chain control and monitoring systems,” it said.