Price per pack of cigarettes: tax, margin and increase

Cigarette prices in France have risen steadily for years as part of a government effort to reduce smoking. The “price of cigarettes in France has been increasing steadily for many years,” mainly because of strict national policies.

Prices are first suggested by manufacturers and importers, who include production and distribution costs, business margins, and taxes. However, the final amount must be approved by French authorities before it becomes official. Once accepted, “it must be applied uniformly across the country,” meaning tobacconists cannot change prices, offer discounts, or create promotions.

The cost of a cigarette pack is divided into three parts: the manufacturer’s share, the tobacconist’s margin, and state taxes. Manufacturers receive “roughly 15% of the retail price,” while sellers earn “between 8% and 10%.” The largest part comes from taxes, which “represent about 75% to 80% of the price of cigarettes.”

A major part of this taxation is excise duty, which is based mostly on the quantity of tobacco produced or imported rather than its sale value. It uses “a mixed formula that combines a percentage of the retail price with a fixed amount per quantity of tobacco.” If this amount is too low, the state applies a minimum tax. Tobacco products are also subject to VAT, already included in the final price.

By January 2026, “the average price of a pack of 20 cigarettes in France reached around 12.50 to 13 euros.” Some premium brands cost more than 13.50 euros, while cheaper ones are slightly below this level. Since the early 2000s, when packs cost around three euros, prices have climbed sharply, showing France’s long-term plan to discourage smoking.

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