Shares of Indian tobacco firms fell sharply on Thursday after the government announced a fresh tax hike on cigarettes , a move expected to raise prices for around 100 million smokers in the world's most populous nation.
ITC, which makes Gold Flake and dominates the local market, slid 9.2, while Godfrey Phillips India, the company that distributes Marlboro in India , plunged 14.1.
ITC shares dropped to 365.50 rupees, their weakest level since April 2023, and were heading for their worst single-day performance in almost six years. Godfrey Phillips was on course for its biggest decline since November 2016.
