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ITC raises cigarette prices 10-21%

India's largest tobacco firm, ITC Ltd, has raised cigarette prices by 10-21 per cent in response to a 15-per cent hike in excise duty announced on February 28 by Finance Minister Yashwant Sinha.

ITC's cigarettes, with the new price printed on the packet, started reaching retail outlets on Wednesday and Thursday, traders said.

ITC, 31.7 per cent owned by British American Tobacco Plc, declined to comment on the price hike. The price of its popular Wills Navy Cut brand has been raised 21 per cent to Rs 23 from Rs 19 for a packet of 10, and the prices of its Gold Flake premium brand by 10.41 per cent to Rs 53 from Rs 48 for a pack of 20 cigarettes.

The price of its Classic brand has been increased 13.46 per cent to Rs 59 for a packet of 20, while the price of its Wills Flake brand has risen 15 per cent to Rs 11.50.

Traders said ITC's popular Gold Flake Filter brand continues to cost Rs 16.50 for a packet of 10.

They said prices of top-end brands such as 555, Benson and Hedges and India King were likely to rise by at least 10 per cent.

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