WEDNESDAY, 7 OCTOBER 2026

QHAAT

Today in Indian Retail

Retail

ITC hikes Classic Connect MRP to ₹428, Gold Flake to ₹89

Third round of tax pass-through lifts packs 9.7-12.7%, testing volume elasticity at paan shops and modern trade tills.

, Retail correspondent··4 min read

Close-up of cigarette packs on a wooden shop counter under warm bulb light
Close-up of cigarette packs on a wooden shop counter under warm bulb light

ITC has raised the MRP of Classic Connect 20s to ₹428 from ₹390 and Gold Flake Super Star 10s to ₹89 from ₹79. Revised stock is already reaching dealers after the February shift to 40% GST plus higher excise. Shares rose over 2% on the news.

Dealer checks on 16 September confirmed the new stickers. Classic Connect jumped ₹38 or 9.74% while Gold Flake Super Star rose ₹10 or 12.66%. ITC has staggered the pass-through since the tax change, earlier lifting Classic Connect from ₹300 to ₹390 in stages.

At the paan shop or supermarket till the higher MRP hits impulse buys hardest. A regular smoker now pays noticeably more per pack, and retailers must manage older inventory clearance before the new price sticks.

Revised-price packs have already started entering the distribution chain.

Godfrey Phillips and other makers face the same tax math and will likely follow. Modern trade and kiranas both lose some volume if downtrading accelerates to smaller packs or loose tobacco.

Watch September-October volume data in the next ITC filing and any further brand-level tweaks before Diwali.

Filed under Retail·Meera Iyer

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