Czech cabinet approves anti-addiction strategy with plans for a regulated cannabis market and improved tax collection

The Czech cabinet has recently approved an anti-addiction strategy that outlines five priorities to be achieved by 2025. One of these priorities is the establishment of a strictly regulated cannabis market, the details of which will be determined by an expert working group. The plan also prioritizes the improved collection of taxes and the definition of tax policies on addictive substances, which could generate up to CZK 15 billion per year for the state budget.

The other three priorities include prevention and treatment, the promotion of effective measures at the EU level, and preparation for the possible impacts of the refugee wave. The plan aims to revise the regulatory model for addictive substances and the gambling market to reflect their harmfulness.

The action plan includes increasing spending on prevention and treatment to about CZK 1 billion, establishing a new agency for prevention and treatment with operational costs of CZK 25 million, and extending the network of addiction services. The plan also allocates more money to programs for alcohol addiction, substitution treatment, research, and prevention campaigns.

The proposed plan estimates that the state could generate up to CZK 4 billion from the sales of cannabis products and licenses, while the taxation of nicotine pouches and e-cigarettes is to be lower than on regular cigarettes, which could bring up to CZK 1 billion to the state budget per year. The taxation on heated tobacco products could bring in up to CZK 7 billion for the state budget. Furthermore, the suppression of the cigarette and alcohol black market, together with more effective tax collection, would add CZK 2 billion to the state budget, and the suppression of the illegal gambling market another CZK 1 billion.

According to the draft strategy document, the costs to society of addiction due to health and other impacts total around CZK 150-180 billion a year, as well as many untimely deaths. Therefore, the Czech Republic’s new anti-addiction strategy aims to prevent risks and restrict access to addictive substances for children and young people under 18.

In conclusion, the Czech Republic’s newly approved anti-addiction strategy outlines a balanced approach to drug policy that reflects international experience. The plan prioritizes prevention and treatment, the promotion of effective measures at the EU level, and the establishment of a strictly regulated cannabis market. Additionally, the plan aims to improve tax collection and define tax policies on addictive substances, which could generate up to CZK 15 billion per year for the state budget.

Article by Prague Forum

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