contradiction between local government and central government

While walking toward compus, I heard some ridiculous news from China. In Wubei, one of a small city, local government announced a regulation to require local people consume a certain number of cigarettes including school and enterprise and public institutions, because the annual tax revenue of the local government has been dropped for a long time, and 10-15 percent of which comes from local cigarette company. Therefore, they just forcely published such ridiculous and foolish policy to promote the badget for local government. 

Even ludicrously, government official will patrol randomly the institutions, to check their trash and ashtrays to find whether there are some non-local cigarette butts.  If found, the institution will get a fine or be cut the financial budget next year. They even require school to consume certain mount of cigarette without any specification who has to consume them, no matter teachers or high school students. 

Even central governemnt warned their citizens smoke would be dangerous for their health and try to ban the cigarette advertisement in TV. But it just keeps silent to this absurd policy from local government. What a kind of world it is!!!

Although, local governments have their authority for their tax revenue, this kind of local protect policy will just distroy their cigarette industry. The reason why local people would like to choose other brand is because they have better quality not because they want to give their contribution to the revenue of other local government.  

Even I believe that maybe some the governemtn official have any sense of ecoomy would not propose this policy. Where are those so-called experts and economists?