Abul Khair Tobacco Limited

Abul Khair Tobacco Limited (AKTL) is the largest locally-owned cigarette manufacturing company in Bangladesh and the third largest tobacco company in the country overall. The company, a sister concern of Abul Khair Group, started its bidi business (42 No Abul bidi) in 1953 and cigarette manufacturing in 1998.[1] The company is now actively involved in tobacco cultivation, bidi and cigarette production.

Market Share

As of December 2020, AKTL does not have any cigarette brand in Premium and High tiers and is centered on the Medium and low tier of cigarette industry.

According to National Board of Revenue (NBR) data, the company held 15.69 percent market share in the low tier of cigarette industry in the FY 2017-18.

A 2018 study titled The Economics of Tobacco Taxation in Bangladesh, conducted by BRAC Institute of Governance and Development (BIGD) of BRAC University shows that in 2006-07, the company had 16.49 percent market share in the low tier, which reached its peak in 2011-12 when the market share in low tier touched 39.63 percent. Since then, the market share of AKTL has been decreasing each year.[2]

AKTL website claims that the company now holds 7 percent share in the country’s bidi industry, as of December 2020. 

Brands

Cigarette Brands: Rally verve, MARISE Special Blend, MARISE White, Super Kings White, Sun Moon.

Bidi Brands: 42 No. Abul Bidi, Special Abul Bidi.

Tax Evasion

In 2018, NBR revealed that from 2012 to 2017, AKTL evaded Value Added Tax (VAT) worth BDT 35 crore in its leaf purchase.[3] However, the following year, NBR handed over highest VATpayer award to AKTL.[4]

In 2015, according to TaxNewsBD.com, the allegation of using counterfeit bandroll was raised against the company.