Misbakhun Prevents Health Reasons As The Basis For The Government's Increase In Cigarette Excise

Member of Commission XI DPR Mukhamad Misbakhun. (Photo: Special)

JAKARTA - Member of Commission XI DPR Mukhamad Misbakhun criticized the statement by the Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance (Kemenkeu) Febrio Kacaribu regarding health issues and profit sharing funds (DBH) as the reason for the government to increase the excise tariff on tobacco products (CHT) by 10 percent in 2023 and 2024. The Golkar Party politician said that the government should carry out extentification or expand excisable goods rather than continuously increasing CHT which actually hit other sectors. "The government needs to immediately add alternative excisable goods in an effort to encourage an increase in state revenue, because the increase in CHT rates has reached the optimum point in encouraging revenue," said Misbakhun, Monday, November 7. The former employee of the Directorate General of Taxes then quoted the indicators for health achievements in the Macro Economic Framework document and the Fiscal Policy Principles of 2023 compiled by the Ministry of Finance. Referring to this data, Misbakhun said the percentage of residents aged 10-18 years who smoked in 2013 was still at 7.2 percent. However, that figure fell to 3.8 percent in 2020. "This data also compiles BKF. It is clear that the percentage of the population aged 10-18 years who smoke has dropped," said Misbakhun. The same table also shows an increase in the prevalence of diabetes mellitus in the population. In 2013, the prevalence of residents with diabetes was at 6.9 percent, but in 2018 it increased to 8.5 percent. In addition, the percentage of people aged 10-18 years who were obese also jumped, from 14.8 percent in 2013 to 21.8 percent in 2018. Misbakhun also strengthened his argument with data from the Central Statistics Agency (BPS). Data from the 2020 COR National Socio-Economic Survey (Susenas) from BPS shows the prevalence of novice smokers has dropped dramatically. The prevalence of child smokers also decreased from 9.1 percent in 2018 to 3.81 percent in 2021. "In fact, in 2021 the figure will fall again to 3.69 percent," said Misbakhun. Therefore, Misbakhun considers BKF's argument about the increase in CHT to reduce the prevalence of smoking children and adolescents is irrelevant. Instead, he suspects a foreign agenda behind the increase in CHT. "It's all an argument because only because policy makers in BKF are filled by global agents who are part of the Bloomberg Philanthropic interests who are anti-tobacco by implanting their interests in the country's decision-making path," said Misbakhun. The people's representative, who is known to be passionate about defending tobacco farmers, also mentioned the DBH from CHT. According to him, the total DBHCT is relatively small when compared to all excise revenues. Misbakhun gave an example of DHB CHT recipient areas, such as West Java, Central Java, East Java, DI Yogyakarta, and West Nusa Tenggara (NTB). The people's representative from Pasuruan stated that the data in the five regions showed that only a small part of the activities funded by DBHCHT could be fully realized or reached 100 percent. "The use of DBHCHT is also very unfavorable to tobacco farmers. The contents of the regulations for using DBHCHT are very difficult to implement to strengthen the interests of the recipient areas and become SILPA (remaining more budget financing, ed)," said Misbakhun. Therefore, Misbakhun asked the government to invite various parties to talk about CHT. He reasoned that the CHT issue was not only about health and state revenue, but also about labor, farmers, agriculture, industry, and illegal cigarettes. "Do a brake together with all stakeholders on an ongoing basis in order to determine a roadmap or a fair policy roadmap. It is better for the government to hold back the increase in cigarette prices to maintain the balance of other pillars involved in the IHT," he said.