Tax policies for tobacco industry in Lao PDR

Type Journal Article - Southeast Asia Tobacco Control Alliance. Bangkok, Thailand
Title Tax policies for tobacco industry in Lao PDR
Author(s)
Publication (Day/Month/Year) 2008
URL http://seatca.org/dmdocuments/Tax Policies for Tobacco Industry in Lao PDR .pdf
Abstract
The economy of Lao PDR is dominated by agriculture. In 2000, more than 52% of its GDP at current prices was originated from the agricultural sector. The contribution of industry and services was around 23-24%. However, the share of agriculture in GDP went down to slightly over 50% in 2001. At the same time, those of industry and services both went up to around 24%. This trend has continued in the following years. In 2006, the share of agriculture went down to around 42%, while those of industry and services went up to more than 31% and 25%, respectively. With regards to tobacco and tobacco products, a similar trend could be observed. Tobacco harvested area was found to decrease over the period while cigarette production significantly increased. This was probably caused by higher tobacco yield and more importation of tobacco leaves.

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