Cigarette Excise Proposed to Increase by 25 Per Year

Traders show one type of tobacco (Antara)

INDONESIA ranks second in the world for adult male smokers (58.4%) and 23rd overall (31.0%). The low price of cigarettes in Indonesia, averaging $2.87 (around Rp 44,485) per pack, well below the global average of $5.8 (around Rp 89,900), is considered a major contributing factor to the high smoking rate.

Roosita Meilani Dewi, Director of the Center of Human and Economic Development, conveyed the importance of an even excise increase. An even increase in Tobacco Product Excise (CHT) can avoid downtrading and reduce the negative impacts of cigarette consumption.

“We propose to increase cigarette excise by at least 25% per year equally and evenly for all types of cigarettes,” he said.

Abdillah Ahsan, a cigarette excise expert from the University of Indonesia, emphasized the need for support from regional stakeholders, given the enormous health burden borne by cigarette consumption.

“And excise can be an effective solution to reduce consumption,” he said.

Udayana Central Chairperson Dr. Putu Ayu Swandewi Astuti also highlighted the broad impact of cigarette consumption on health and the economy. Controlling cigarette consumption through optimizing excise is important in reducing the number of smokers in all segments of society.

Also read: Government Policy to Increase Cigarette Excise Since 2019 Criticized

“Both adults and young people,” he said.

Head of the Tobacco Disease Control Team from the Indonesian Ministry of Health, Dr. Benget Saragih, emphasized the urgency of increasing excise to prevent easy access to cigarettes, including for children.

Ifdhal Kasim, Coordinator of the National Civil Society Coalition for Tobacco Control, emphasized that the increase in excise is closely related to human rights, especially the right to health.

“The increase in cigarette tax will have a positive impact on public welfare and can help achieve social justice,” he said.

Also read: Baleg Members Criticize the Ministry of Health’s Regulation on Plain Cigarette Packaging Without Brands

Hery Chariansyah, Chairman of the National Commission for Children, added that there is a need for a firmer policy in controlling the prevalence of smokers, especially among children. Meanwhile, Affan Fitrahman from the Muhammadiyah Student Association supports the increase in excise as an important step to protect the younger generation.

Tulus Abadi, Chairman of the Indonesian Consumers Foundation, emphasized that excise must be viewed as a control instrument, not just as a source of revenue.

Overall, the press conference emphasized the importance of increasing tobacco excise as part of a comprehensive strategy to protect public health. The speakers hoped that the results of the conference could provide input for policymakers in formulating effective tobacco control strategies for the coming period. (Z-8)

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