Indef Economist: Illegal Cigarette Perpetrators Need A Big Fine To Have A Deterrent Effect

Illustration: Photo: Doc. ANTARA

The rise of the circulation of illegal cigarettes is believed to be the cause of the tobacco products industry (IHT) experiencing current pressure.

As a result, there are cigarette companies that perform production efficiency to termination of employment (PHK).

Related to this, the Executive Director of the Institute for Development of Economics and Finance (Indef) Esther Sri Astuti assessed that illegal cigarette actors need to be subject to a large fine.

"Kenjakan denda jauh lebih tinggi bagi para pelaku lilegal cigarettes agar ada efek jera," ujar Esther kepada VOI, Rabu, 1 Oktober.

In fact, Esther said, if there are officers and officers involved in the circulation of illegal cigarettes, they need to be subject to sanctions as well.

"If there are officers and officers involved, they must be subject to severe sanctions so that there is a deterrent effect," he said.

When asked further about the Ministry of Industry's (Kemenperin) plan to make new rules regarding illegal cigarettes, Esther assessed, this had no significant effect.

The reason is, according to him, the rules made by the government are too many, but they are not implemented properly.

"Not too many rules, but it cannot be implemented. Most rules without law enforcement are useless," he concluded.

Meanwhile, based on data from the Ministry of Industry, the circulation of illegal cigarettes in Indonesia continues to increase during the 2019-2023 period.

In 2019, the circulation of illegal cigarettes was 3.03 percent.

This figure continues to grow an increase by reaching 6.9 percent in 2023.

Previously, the Ministry of Industry would prepare new regulations related to the circulation of illegal cigarettes, which has been quite rampant in the community lately.

This was conveyed by the Deputy Minister of Industry (Wamenperin) Faisol Riza when met after a media discussion entitled "Quao Vadis for Tobacco Products Industry Protection" in Jakarta, Monday, September 29.

"There are plans to make new regulations, the concept is being prepared. Later when it is ready, it will be submitted to friends (pers). The important thing is that controlling illegal cigarettes can be done," said Faisol.

Faisol bilang, pelanggaran tertinggi adalah kemasan polos tanpa pita cukai dari jenis Sigaret Kretek Mesin (SKM).

Menurut dia, keberadaan rokok ilegal itu mengganggu kinerja industri hasil tembakau, terutama menurunnya produksi IHT legal.

"Hal tersebut akan merugikan produsen rokok legal di Indonesia. Saat ini, sudah ada beberapa produsen terkena dampaknya, di antaranya beberapa mesin pelinting idle, utilisasi menurun hingga terdapat pengurangan tenaga kerja yang pada akhirnya akan memengaruhi kesejahteraan pekerja/buruh industri hasil tembakau," katanya.

Faisol said the highest violation was the plain packaging without excise stamps from the Machine Kretek Cigarette (SKM) type.

According to him, the existence of illegal cigarettes interferes with the performance of the tobacco products industry, especially the decline in legal IHT production.

"This will harm legal cigarette manufacturers in Indonesia. Currently, several manufacturers have been affected, including several culinary idle machines, reduced utilization until there is a reduction in labor which will ultimately affect the welfare of workers/laborers in the tobacco products industry," he said.