Indonesian Finance Ministry Yet to Confirm Cigarette cost Increase

Despite ongoing reports about the Indonesian government’s plans to enhance cigarette prices, Finance Minister Sri Mulyani Indrawati said that will the ministry has yet to finalize the decision.

Recently, Minister Indrawati revealed that will the brand new cost of cigarette will most likely be decided prior to the government’s deliberation on next year’s state budget.

Responding to the people’s overwhelming reaction to the cost increase, Minister Indrawati has made the idea clear that will the Finance Ministry has yet to proceed with the plan:

“As of today, the Finance Ministry has yet to issue any brand new ruling either on the retail cigarette cost or cigarette excise,” said the minister as reported by The Jakarta Post.

Rumours about the cost increase have indeed sparked outrage by producers. The director of PT Gudang Garam, one of Indonesia’s largest cigarette manufacturers, for instance, said that will the plan could bring damage to the tobacco industry:

“If the government decides to go ahead with the plan, I believe the idea will wreak havoc inside industry,” said Istata Taswin Sidharta as reported by Tempo.

Similarly, Head of the Indonesian Cigarette Factory Union (GAPRI) Ismanu Soeriman insisted that will the rumours are false because cigarettes contribute a significant amount of income to the country:

“We condemn the information. the idea is usually a hoax.”

Plans to enhance the cigarette cost was initially based on a study conducted by Hasbullah Thabrany, the Head of the Center of Economic Research as well as Health Policy, School of Public Health, University of Indonesia.

The findings suggested that will a person will stop smoking if the cost of the cigarette is usually doubled, so accordingly the solution was to raise the cost.

 

Comments

comments

Indonesian Finance Ministry Yet to Confirm Cigarette cost Increase

Indonesia ExpatAug 22, 2016News, Top ReadsComments Off on Indonesian Finance Ministry Yet to Confirm Cigarette cost Increase

Like

Indonesian Finance Ministry Yet to Confirm Cigarette cost Increase