Minister of Finance (Menkeu) Sri Mulyani in the middle of this week made a working visit to Madura, East Java to review the construction of the Sumenep Tobacco Products Industrial Estate (KIHT).
During the visit, the Minister of Finance revealed that KIHT Sumenep was built using profit-sharing funds for tobacco products (DBH CHT).
"The Central and Regional Financial Relations Law (HKPD) mandates that the CHT DBH be adjusted to 0.8 percent for the province concerned, 1.2 percent for the regencies/cities producing, and 1 percent for other regencies/cities in the province concerned," he said in a written statement on Thursday, February 2.
The Minister of Finance explained that the government's goal in initiating the development of the Tobacco Products Industrial Estate is to provide efficiency in production costs for the industry.
"The government wants to increase tobacco absorption for farmers so that it can have an impact on the effectiveness of monitoring tobacco products because of the processing of products carried out in one area," he said.
This, of course, can have a positive impact on many parties and not only farmers and business actors.
"I hope that with this KIHT, the tobacco industry in Madura can progress and bring prosperity to the surrounding community," he stressed.
To note, the realization of customs and excise revenues in the 2022 State Budget reached IDR 317.8 trillion. This figure is equivalent to 106 percent of the government's set target of IDR 299 trillion.
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