Cigarette Prices to Surge in Korea as Park Raises Taxes

South Korea will increase tobacco taxes for the first time in a decade as Park Geun Hye’s administration seeks to reduce smoking and boost revenue. Shares of the country’s biggest cigarette maker slumped.

The price of a pack of 20 cigarettes will rise by about 2,000 won ($1.93) from January, almost double the current average price of 2,500 won. That will help lower the smoking rate for adult males to 29 percent by 2020 from 44 percent now, Health and Welfare Minister Moon Hyung Pyo said in Seoul today.