A Mexican new cigarette that forbids businesses from showing tobacco products law comes into effect Monday
A new cigarette law that forbids businesses from showing tobacco products comes into effect Monday.
Some businesses have begun blocking cigarette shelves as a new law forbids companies from showing these products at the cash register.
The law comes into effect Monday.
Mexicali Chamber of Commerce President Lidia Granados told La Voz newspaper cigarettes represent a significant percentage of sales for some stores.
Granados considered the new law to stimulate sales in unregistered businesses.
Also on Monday, a Mexican Presidential decree comes into effect that bans all smokers from smoking in certain areas of restaurants, bars, and hotels.
For years, smokers were allowed to smoke in outdoor special areas next to these premises.
Violators can get a USD 5,000 ticket for continuous violations after being asked to stop smoking in these facilities.
Prices increase
The price of cigarettes has increased by about a quarter of a dollar this year.
The new price is based on an update of the Special Tax on Products and Services rates in Mexico.
Such a tax rate is also applied to other items like fuel and sugared beverages.
The new rate is 59 cents of a peso per cigarette.
Some brands will now sell for around USD 3.50 per pack — well below the $10-$11 cost in California. US Customs allow the importation of up to ten packs of cigarettes.
High inflation rate recorded
The city of Mexicali ended up in 2022 with the fourth-highest inflation rate nationwide.
La Crónica newspaper reported that the inflation rate in the capital city of Baja California was 8.85 percent last year.
Mexicali finished below municipalities of the Mexican states of Oaxaca, Campeche, and Michoacán.
Countrywide, the inflation rate was 7.82 percent last year and 7.36 percent in 2021, the Consumer Price Index released by the National Institute of Geography and Statistics.
The report says Baja California was under the Mexican median inflation rate.
The report adds prices of restaurant and hotel services increased by 12.43 percent and other services and goods did so by 10.40 percent.
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