The Cuban government is to stop the cigarette subsidy for all Cubans over the age of 55. Under the scheme all eligible Cubans are allocated four packets of cigarettes for about 25% the normal price per month.

This measure is part of the government efforts to reduce spending in the island that has been hard hit by the global recession and the long term effects of the American embargo. The government run Granma newspaper said the move was “part of the steps gradually being applied to eliminate subsidies”. It also said that cigarettes “are not a primary necessity.”

It is well known that some non-smoking citizens were taking the cut price cigarettes and reselling then to augment their meager pensions. Angela Jimenez, a 64-year-old who receives a monthly pension of about $10 said “I’m insulted because it’s another thing they are taking away from us.” She also stated that she will now have to quit smoking as she cannot afford the full price of $0.33 a pack.

Subsidized peas and potatoes have already been eliminated from ration books in the last few months.

President Raul Castro said recently that the role of the state would be reduced in some areas, to cut the “overloaded” state budget and more workers would be allowed to be self-employed or to set up small businesses.