JAKARTA - A number of activists who are members of the Save Our Surroundings (SOS) Coalition, namely the Center for Indonesia's Strategic Development Initiatives (CISDI), the Indonesia Youth Council for Tactical Changes (IYCTC), and the Indonesian Health Policy Space (RUKKI), held a satire entitled "National Cheap Cigarette Program" in front of the Ministry of Finance Office, Central Jakarta.
The peaceful action was carried out as a form of protest against the government's plan to add a new layer (layer) in the structure of the Tobacco Excise Revenue (CHT) tariff.
In the action, there was an installation in the form of a cigarette stall with a figure of Minister of Finance Purbaya Yudhi Sadewa and Chairman of Commission XI of the DPR Mukhamad Misbakhun as sellers.
The installation is a symbol of criticism of policies that are considered to expand the circulation of cheap cigarettes in the midst of economic challenges, the increasing number of child smokers, and pressure on the national health system.
Project Lead for Tobacco Control CISDI Beladenta Amalia, said the action of the National Cheap Cigarette Program was a satire against the plan to add a new layer of cigarette tax which was considered counterproductive to fiscal objectives, public health, and human resource development.
The government is discussing the addition of a third class of Sigaret Kretek Mesin (SKM), which is the cheapest tariff group in the type of SKM.
He assessed that the policy has the potential to expand the variety of cheap cigarettes in the market and increase the affordability of cigarettes for the public.
According to Beladenta, the addition of a new tax layer can exacerbate the phenomenon of downtrading or shifting consumption to cheaper cigarettes.
He added that this condition was considered to not only weaken the function of taxes as a consumption control instrument.
In the last decade, the market share of cheap cigarettes has continued to increase and is said to have contributed to the decline in CHT revenue in 2025.
In addition, he also questioned the government's reason for linking the addition of a tax rate layer to efforts to address illegal cigarettes.
According to him, the problem of illegal cigarettes should be handled through strengthening law enforcement and the implementation of an effective track and trace system, not by presenting a cheaper tax rate.
"We are carrying out this action after various advocacy efforts by the Coalition, ranging from the publication of studies, press conferences, to requests for meetings with the Ministry of Finance and Commission XI of the DPR, which have never been addressed," he said in a statement, Thursday, June 11, 2026.
Meanwhile, the Executive Director of IYCTC, Manik Marganamahendra, reminded that the biggest impact of the increasing ease of access to cheap cigarettes will be felt by children and vulnerable groups.
Based on data from the Indonesian Health Survey (SKI) 2023, the number of child smokers reached 5.9 million people, an increase from around 4 million in 2018, and the survey also noted that more than half of active smokers started smoking since school age.
According to Manik, the cheaper and easier access to cigarettes will make children and vulnerable groups the most affected parties.
He assessed that the image was reflected in the installation of the "National Cheap Cigarette Program" which showed that cheap cigarettes were available in various places.
"Imagine if our children are surrounded by the sale and promotion of cheap cigarettes as depicted in this installation. The question is simple: is this the future that the country wants to build?" he said.
Manik also assessed that the policy was contrary to the government's efforts to carry out budget efficiency, including in the health sector.
He emphasized that public health protection should be the top priority and go hand in hand with efforts to alleviate poverty and improve human capital quality through reducing the prevalence of smoking.
"The inconsistency between the development goals and the direction of this policy shows the existence of governance issues in the preparation process," said Manik.
On the other hand, the Chairman of RUKKI, Mouhamad Bigwanto, assessed that the process of discussing the new layer of cigarette tax raised serious questions regarding transparency and potential conflicts of interest in the preparation of public policies.
According to Bigwanto, the emergence of support for the proposal before the formal consultation process raises questions about the DPR's oversight function of the government's proposed policies.
"When the discourse on adding a layer of tax rolls, the Minister of Finance said he had discussed directly with the perpetrators of the illegal cigarette industry. Then, the Chairman of Commission XI of the DPR immediately expressed support for the proposal even before the formal consultation process was carried out. Even though the DPR has a supervisory function to test the rationality, urgency, and impact of the proposed policy," he said.
He also assessed that the government should prioritize input from academics, civil society organizations, and health experts in formulating tobacco product control policies.
Bigwanto highlighted the statement of the Minister of Finance who admitted that he had discussed with the perpetrators of the illegal cigarette industry regarding the plan to add a layer of tax.
He said the situation was difficult to understand, especially in the midst of an investigation into alleged bribes related to illegal cigarette taxes in the Directorate General of Customs and Excise which is being handled by the Corruption Eradication Commission (KPK).
"The public has the right to know transparently the basis of this policy as well as the parties involved in the process of preparing it," he said.
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