Who makes the money from tobacco?
Readers may be interested in this breakdown of who makes the money from tobacco. Based on the cheapest packet at $31.90, here is how much goes to the three parties involved:
- The manufacturer – $1.24 or 4%
- The retailer – $2.94 or 9%
- The Government $27.72 or 87%
So Big Tobacco gets 4% of the revenue, retailers such as dairies get 9% and The Government gets 87%.