Classic Connect, Gold Flake Super Star now more expensive: ITC hikes cigarette prices again
ITC raises prices of Classic Connect and Gold Flake Super Star cigarettes
Theindiapostdaily.com – Consumers buying selected ITC cigarette brands are facing another increase in retail prices as the higher tax burden on tobacco products reaches the market. Revised-price packs of Classic Connect and Gold Flake Super Star have begun appearing with dealers, following multiple price adjustments made by the company this year.
The latest changes come after tobacco taxation was revised from 1 February. Cigarettes were moved into the 40% GST category, while a fresh additional excise-duty framework was also introduced. The combined charges have increased costs for cigarette manufacturers, particularly for products differentiated by length and the presence of filters.
Classic Connect pack rises by ₹38
A 20-cigarette pack of Classic Connect is now priced at ₹428, compared with its previous price of ₹390. The ₹38 jump works out to a 9.74% increase for a pack.
This is not the first revision for the brand in recent months. Classic Connect had earlier moved from ₹300 to ₹360 in February and subsequently rose to ₹390 before reaching the current level.
For regular buyers, the sequential increases are more noticeable than a single change at the retail counter. A product that sold for ₹300 at the start of the earlier round of revisions is now priced ₹128 higher per 20-stick pack.
Gold Flake Super Star sees a sharper percentage increase
Gold Flake Super Star has recorded a larger percentage rise in the newest revision. Its 10-cigarette pack now carries a price of ₹89, up from ₹79. That adds ₹10 to the purchase price, equivalent to an increase of 12.66%.
The brand had also seen an earlier increase during February, when its price moved from ₹59 to ₹70. The latest price takes the product ₹30 above that earlier level.
Although the rupee increase on a smaller pack may appear modest, the percentage impact is significant for consumers who purchase such packs frequently. The revised pricing also illustrates how taxation and subsequent manufacturer adjustments can affect different cigarette formats at different rates.
What changed in tobacco taxation
The tax changes that took effect on 1 February placed cigarettes and other tobacco products under a 40% GST rate. In addition to GST, cigarettes are subject to a new additional excise-duty structure.
The extra duty ranges from ₹2,050 to ₹8,500 for every 1,000 cigarette sticks. The applicable rate depends on the length of the cigarette and on whether it is filtered. These duties are charged over and above GST, increasing the total tax component in the final consumer price.
Longer cigarettes and filtered variants are especially exposed to the revised duty structure. When companies choose to transfer these higher costs to consumers, the effect is reflected directly in the maximum retail price printed on packs entering shops.
The same 40% GST bracket includes several other products besides cigarettes. These include Pan Masala, aerated water with added sugar, carbonated beverages, mid-size and large cards, motorcycles with engines above 350 CC, aircraft intended for personal use, and pleasure yachts. Cigarettes, however, also face the additional duty based on their physical specifications.
Why repeated revisions matter to consumers
Retail price increases can emerge in stages because older inventory may continue to be sold until distributors and shops receive packs carrying the updated price. As fresh stock enters the supply chain, buyers may see both old and new prices for a limited period, depending on local inventory.
For smokers, the immediate implication is a higher recurring expense. The impact will vary based on the number of packs purchased and the brand or format chosen. The latest revisions also underline the importance of checking the printed price on each pack, as brand-specific increases need not be identical across the market.
Manufacturers face a balancing act when taxes rise: they can absorb part of the additional cost, adjust pack pricing, or make a combination of such decisions. In this instance, the revised prices for Classic Connect and Gold Flake Super Star indicate that higher tax costs have been passed on to buyers.
Mixed reaction online
The price increases prompted varied responses on social media. Some users reacted with humour about the rising cost of smoking, while others welcomed higher prices as a potential deterrent.
“Inflation doesn't let us live in peace, nor does it let us smoke in peace,” wrote one user.
“Now, even making a mistake in sorrow has become expensive,” quipped another user.
Others argued that regular price increases could make smoking less accessible.
“I totally support this price hike. Increase prices every month. Make it so expensive that people find it difficult to smoke,” one user commented.
Not everyone believed pricing would alter consumer behaviour.
“This will change nothing. Smokers will smoke anyway,” came from another response.
Another post focused on the way tax costs move through the market to purchasers.
“The government asks money from companies, and ITC is passing it on to customers. That’s how it works. The n=biggest fools are the customers because there’s no value for money,” posted another user.
For now, the revised prices of ₹428 for Classic Connect and ₹89 for Gold Flake Super Star reflect the latest phase of a broader shift in the cost of cigarettes following the revised GST and excise-duty regime.
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