The retail prices of cigarettes, beer and liquor have been raised by around 2% after the new sports tax took effect on Friday.
Cigarette retail prices were increased in a range between 0.80 and one baht from 30-40 baht a packet on average, according to a Matichon report.
Beer retail prices were hiked in a range between one and 1.20 baht a can or bottle from 50-60 baht each.
As for liquor, the retail prices were raised by two baht a bottle for the type priced around 100 baht each earlier. The price increases for other types vary due to intense competition. Liquor producers and importers, however, said they would do so at the first opportunity.
Producers of these products are required to make contributions to the new sports fund — better known as the sports tax — on top of payments in the form of excise tax and contributions to two other funds. They currently pay 3 billion baht a year to the Thai Health Promotion Foundation and 2 billion baht to ThaiPBS, the public TV operator modelled after the UK's BBC.
The 2% sports tax is calculated from the excise tax the producers normally pay each year. Based on the latest figure, the sports tax will stand at 3 billion baht a year.
The Education Ministry is also pushing a fund to promote learning quality to which the operators will be required to contribute another 1.5% or 2-3 billion baht a year.