NGOs acting at behest of foreign firms: ITC chief

As its core tobacco business faces pressure, ITC chief Y C Deveshwar on Friday accused some ‘NGOs’ of acting as agents of foreign firms and helping them smuggle international cigarette brands ‘duty-free’ while steep taxes are hurting the domestic industry. Addressing diversified group’s annual general meeting here today, ITC’s Chairman Y C Deveshwar said if cigarettes were harmful, then why the product was being sold in airport duty-free shops. “Unprecedented pressure on the legal cigarette industry with imposition of steep taxes has led to consumption being diverted to tax-evaded as well as smuggled products,” he said. Kolkata-headquartered company’s revenue from cigarettes dropped by 1.22 per cent to Rs 4,149.61 crore in the first quarter ended June 30, as against Rs 4,201.06 crore year-ago.