South Africa’s (SA) Finance Minister, Enoch Godongwana, has announced increases in tobacco and alcohol excise duties in line with inflation, during the 2026 Budget Speech delivered in Cape Town.
The so-called “sin taxes”, levied on non-essential items, are aimed at discouraging excessive consumption while raising additional revenue for the state. The adjustments also include excise duties on electronic nicotine and non-nicotine delivery systems.
Detailing the changes, Godongwana said the tax on a pack of 20 cigarettes will increase from R22.81 ($1.44) to R23.58 ($1.48). Pipe tobacco will rise by 28 cents ($0.02) per 25 grams, while cigarette tobacco increases by 87 cents ($0.05) per 50 grams.
Excise duties on alcoholic beverages will also rise in line with inflation. A 340 millilitre can of beer or cider will increase by 8 cents ($0.01), a 750 millilitre bottle of wine by 15 cents ($0.01), and a 750 millilitre bottle of spirits by R3.20 ($0.20).
Godongwana said certain tax increases were unavoidable as government works to stabilise public finances while maintaining essential services
–ChannelAfrica–
