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MOSCOW, November 15 (RIA Novosti) - Forming...

economy the introduction of state monopoly, in particular on the sale of ethyl alcohol, will restrict competition and discourage the development of alcoholic products," the report said.

The ministry also said that a single excise duty on alcohol could trigger a 70% price hike for medicines in Russia and make illegal alcohol production a more lucrative business.

The current system of levying excise taxes envisions exemptions to the tax, the ministry said.

"Prices for many household cleaning products and perfume and cosmetics are expected to rise from 10% to 40%, and for medicines from 2.5% to 70% given the proposed tax on a liter of anhydrous alcohol at 162 rubles ($6.5)," the ministry said.



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