RI Cigarettes Laris In Global Market, Deputy Minister Of Industry Reveals This Fact

Deputy Minister of Industry Faisol Riza. (Photo: Theresia Agatha/VOI)

JAKARTA - The tobacco products industry (IHT) not only contributes to state revenue through excise and employment, but also strengthens Indonesia's position as a global exporter.

Deputy Minister of Industry (Wamenperin) Faisol Riza revealed, there are Indonesian cigarette products that after being exported, are actually re-exported by destination countries to the global market, meaning that Indonesian cigarettes are global.

"Our exports are quite a lot for the tobacco products industry. In fact, some are white lables, because they ask to be prepared by 1-2 countries, but by the country where our export destination is being exported again to the next destination country," said Faisol in a media discussion entitled "Quao Vadis for Tobacco Products Industry Protection" in Jakarta, Monday, September 29.

It is known, the export value of the Indonesian tobacco products industry continues to increase.

In 2024, the export value was recorded at 1.85 billion US dollars, a significant growth of 21.71 percent compared to the previous year's 1.52 billion US dollars.

The cigarette ecosystem in Indonesia has been formed since the colonial era and involves 5.9 million people in the production and distribution chain.

Starting from tobacco farmers, laborers, cigarette factories, small retailers to exporters.

"The tobacco ecosystem in Indonesia has been formed since ancient times, during the Dutch colonial period. Starting from tobacco farmers, workers, cigarette factories, hawker retailers to exporters. This ecosystem looks very complex and stronger," he said.

"So, our obligation to continue to keep this ecosystem running and protected by the state, because it is not only the income of the country's foreign exchange, but the fate of millions of people who depend on the tobacco products industry," he continued.

The tobacco products industry in Indonesia is also considered to have a complete industrial structure, which supports national independence.

Starting from the drying industry, cigarette paper, spices, hand-kretek cigarettes (SKT), machine kretek cigarettes (SKM), cigars to printing services and international standard laboratories. Not to mention new sub-sectors such as vape products.

With this structure, the national tobacco products industry is not only able to meet the needs of the domestic market, but also be able to compete in the international market.

Faisol emphasized that in the last five years, the export of Indonesian cigarette products has shown a very positive trend.

"With the independence of the industry, it can meet the domestic market and also as a global exporter and we see in the last five years, the export value has greatly increased," explained Faisol.

Indonesia saat ini menjadi salah satu negara eksportir produk tembakau terbesar di dunia.

Beberapa faktor yang mendukung posisi ini antara lain lokasi geografis yang strategis, kualitas produk, daya saing, serta iklim investasi yang kondusif.

Saat ini, lanjut Faisol, Indonesia menjadi salah satu negara eksportir produk tembakau terbesar di dunia.

"Indonesia menempati peringkat keempat eksportir dunia industri hasil tembakau. Hal ini didukung karena lokasi Indonesia sangat strategis sebagai hub ekspor, kualitasnya juga sangat berdaya saing dan iklim investasi kondusif bagi Indonesia," pungkasnya.

Indonesia is currently one of the largest exporter countries of tobacco products in the world.

Several factors that support this position include strategic geographic locations, product quality, competitiveness, and a conducive investment climate.

Currently, continued Faisol, Indonesia is one of the largest exporter countries of tobacco products in the world.

"Indonesia is ranked fourth in the exporter of the tobacco products industry. This is supported because Indonesia's location is very strategic as an export hub, the quality is also very competitive and the investment climate is conducive for Indonesia," he concluded.