Morocco: the 2027 draft budget schedules five years of cigarette tax increases

Morocco is preparing a second wave of tobacco tax increases. Draft finance law no. 60-26 for 2027, approved by the Government Council on 20 October 2026 and presented to Parliament on 23 October, sets the domestic consumption tax (TIC) on cigarettes year by year, from 2027 to 2031. The minimum tax on a pack of 20 would rise from 19.06 DH in 2026 to 26.92 DH in 2031, an increase of +41%.

The bill extends the plan launched by the 2022 finance law, which ends this year. It also doubles the tax on e-cigarettes. Here is what the draft provides, what the first plan has already done to prices, and what we do not know yet.

What the draft provides for cigarettes

In Morocco, the TIC on cigarettes combines three elements: a fixed part per 1,000 cigarettes, a proportional part calculated on the retail price excluding VAT and the fixed part, and a minimum levy, a tax floor that applies when the first two parts fall short of it. The draft raises all three every 1 January:

Per pack of 20, the minimum tax would rise from 19.06 DH in 2026 to 20.50 DH in 2027, 21.94 DH in 2028, 23.52 DH in 2029, 25.22 DH in 2030 and 26.92 DH in 2031. The fixed part would rise from 11 DH to 12.90 DH per pack in 2027, and to 21.06 DH in 2031, almost double its 2026 level.

Cheap cigarettes on the front line

The government states three goals: raise revenue, narrow the price gap between cheap and premium cigarettes, and protect health in line with WHO recommendations. The first plan already targeted the cheapest packs. Between 2022 and 2026, it raised the fixed part from 100 to 550 DH per 1,000 cigarettes and the minimum from 710.2 to 953 DH, while cutting the proportional part from 67% to 56.5%. A larger fixed tax weighs more, in proportion, on a cheap pack.

The official prices published by Moroccan customs show it. Between 2021 and 2026, a pack of Chesterfield went from 22 to 29 DH (+32%) and L&M from 26 to 30 DH, while Marlboro gained only 1.50 DH, from 38 to 39.50 DH (+4%). The gap between the two brands shrank from 16 to 10.50 DH.

The new schedule pushes in the same direction. In 2031, the minimum tax alone (26.92 DH) would equal 93% of the current price of a pack of Chesterfield (29 DH), before VAT and the retailer's margin. The cheapest brands will therefore have to rise sharply. Premium brands, already taxed above the minimum, will mostly follow the increase in the fixed part and the proportional rate.

The tax on e-cigarettes doubled

The 2025 finance law created a TIC of 50 DH per disposable e-cigarette. The 2027 draft raises it to 100 DH per unit on 1 January 2027 and extends it to all e-cigarettes, disposable or refillable, with or without nicotine, and to their components such as cartridges and tanks. The government points to products designed to avoid the tax, sold as separate parts, and to the risks flagged by the WHO among young people.

How much will a pack cost in 2027?

The draft sets taxes, not prices. In Morocco, retail prices are published by customs in circulars: the list in force on 1 January 2026 is dated 30 December 2025. The new 2027 prices will only be known when the next list is published, and we will add them to the Morocco page. Parliament must also still vote on the bill and may amend it. The state expects 19.32 billion DH of TIC on tobacco in 2027, against 17.72 billion forecast for 2026 (+9%).

Even after the increase, Morocco will stay far cheaper than Europe: at 39.50 DH, about €3.60, a pack of Marlboro costs nearly four times less than in France (€13.50) and much less than in Spain (€6.25). When returning to the European Union, the allowance is limited to 200 cigarettes per adult: our guide to customs rules.

Price increases are one of the most effective levers against smoking, especially among young people. If you are thinking of quitting, our quit smoking guides cover the recognised methods.

Sources

• Draft finance law no. 60-26 for 2027, Ministry of Economy and Finance: article 5, domestic consumption taxes on cigarettes (2027 to 2031) and e-cigarettes.
• Moroccan customs (ADII), domestic consumption taxes on manufactured tobacco: 2022 to 2026 rates and schedule, base of the proportional part.
• Moroccan customs (ADII), circular no. 6704/214 of 30 December 2025: retail prices of tobacco on 1 January 2026.
• Maroc Diplomatique, 23 October 2026: detail of the 2028 to 2030 rates and of the e-cigarette tax.
• Le Matin, 23 October 2026: goals of the reform and expected revenue, from the bill's explanatory note.