State issues fresh notification under food safety laws, replacing 2013 order to close loopholes and ensure uniform enforcement
The Odisha government on Thursday imposed a comprehensive statewide ban on the manufacture, processing, packaging, storage, transportation, distribution and sale of all products containing tobacco or nicotine, including gutkha and pan masala.
The prohibition, notified by the Health and Family Welfare Department, follows directions from the Supreme Court of India and the Food Safety and Standards Authority of India (FSSAI) and applies across the entire supply chain.
Ban Notified Under Food Safety Laws
The order has been issued under Regulation 2.3.4 of the Food Safety and Standards (Prohibition and Restrictions on Sales) Regulations, 2011, framed under the Food Safety and Standards Act, 2006. It covers gutkha, pan masala, zarda, khaini and all other food items containing tobacco or nicotine.
The restriction applies irrespective of form—chewable or smokable, flavoured or unflavoured, scented, packaged or unpackaged—and is valid regardless of how the products are sold, whether individually, in multiple packets or under different brand names.
Earlier 2013 Order Replaced
Officials said the new notification replaces an earlier order issued on January 3, 2013, and addresses gaps that allowed tobacco- and nicotine-based products to be marketed under alternate names or sold as separate components intended for mixing.
Health Secretary Aswathy S said in the notification that the Supreme Court has directed health secretaries in all states to ensure strict compliance with the nationwide ban on the manufacture and sale of gutkha and pan masala, reported The New Indian Express.
A department official said, “The ban has included all oral tobacco products of any form being manufactured, sold, hoarded or consumed by people. It is reinforced by Supreme Court resolutions cited with more legal implications.”
The notification further stated, “Several products with various names containing tobacco and nicotine are widely available in the market and consumption of such products is hazardous to the health of the public.”
Public Health Concerns Cited
Health experts have repeatedly flagged tobacco- and nicotine-laced products as a major cause of oral and throat cancers, as well as other serious internal organ diseases. Children and young adults are considered particularly vulnerable due to the long-term health impact of early exposure.
According to the Global Adult Tobacco Survey (GATS), more than 42 per cent of Odisha’s population consumes smokeless tobacco—nearly double the national average, underscoring the public health risks the ban seeks to address.
Centre Tightens Tax Regime On tobacco
Separately, the central government has announced higher taxation on tobacco products effective 1 February.
From that date, pan masala, cigarettes, tobacco and allied products will attract a Goods and Services Tax rate of 40 per cent, while beedis will be taxed at 18 per cent, according to a government notification. In addition, a Health and National Security Cess will be levied on pan masala, while tobacco products will face additional excise duty.
The Finance Ministry has also notified the Chewing Tobacco, Jarda Scented Tobacco and Gutkha Packing Machines (Capacity Determination and Collection of Duty) Rules, 2026. The existing GST compensation cess, levied at varying rates, will be discontinued from 1 February.

