JAKARTA Commission XI of the Indonesian House of Representatives today held a working meeting with the Minister of Finance (Menkeu) Sri Mulyani regarding the tobacco excise tariff (CHT) policy. In the agenda, Commission XI seeks to dig up information related to the government's decision to increase cigarette excise for the next two years.
"Our meeting today is in order to discuss excise tobacco products in 2023 and 2024," said Head of Commission XI of the DPR Kahar Muzakir at the Senayan Parliament Complex, Jakarta on Monday, December 12.
Shortly after opening the work meeting, Kahar then invited the Minister of Finance to provide an explanation. On this occasion, the state treasurer explained that the excise tariff policy was planned for 2023 and 2024 with the consideration of providing certainty for all relevant stakeholders.
"The average increase in tobacco yields by 10 percent in 2023 and 2024 and for the maximum type of hand kretek cigarettes (SKT) is 5 percent in the context of the sustainability of the workforce," said the Minister of Finance.
Furthermore, the Minister of Finance stated that the adjustment of the minimum retail selling price limit was taking into account price developments in the market and the average increase in excise rates in 2023-2024.
"This also improves the quality of human resources through a decrease in smoking prevalence, especially the age of 10-18 years which is targeted to be 8.7 percent in 2024," he said.
Previously, this critical attitude towards government policy was voiced by Member of Commission XI DPR RI Puteri Komarudin. He questioned the government's decision to increase cigarette excise rates for the next 2 years, even though the 2024 APBN has not yet been discussed.
The Ministry of Finance and Commission XI need to immediately discuss comprehensively regarding this policy plan. However, cigarette excise rates need to be discussed together and approved with the DPR before they are determined," said Puteri some time ago.
According to VOI records, the government has even set an increase in the excise tax on e-cigarettes for the next five years.
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