Indonesian Political, Business & Finance News

880,000 Illicit Cigarettes Seized in Labuan Bajo, Valued at Rp 1.3 Billion

| Source: DETIK_BALI Translated from Indonesian | Economy
880,000 Illicit Cigarettes Seized in Labuan Bajo, Valued at Rp 1.3 Billion
Image: DETIK_BALI

The Labuan Bajo Customs and Excise Office (KPPBC) Type Madya Pabean (TMP) C has thwarted the distribution of 880,000 illegal cigarettes in Labuan Bajo, West Manggarai, East Nusa Tenggara (NTT). The value of these illegal tobacco products exceeds Rp 1.3 billion, with a potential loss to the state of more than Rp 656 million.

The illegal cigarettes were packed in 55 cartons. The shipment consisted of two brands: 35 cartons (560,000 sticks) of the Mandhuro brand and 20 cartons (320,000 sticks) of the Marbol brand.

“Officers secured 55 cartons or 880,000 sticks of Machine-Made Kretek Cigarettes (SKM) that were not affixed with excise stamps,” said the Head of KPPBC TMP C Labuan Bajo, Syahirul Alim, in a statement on Friday (11/9/2026).

The interception was carried out by Labuan Bajo Customs officers during an inspection of an expedition truck transporting unstamped cigarettes at the Wae Kelambu Multipurpose Port, Labuan Bajo, on 24 August.

The operation was launched after the Labuan Bajo Enforcement and Investigation Team (P2) received intelligence regarding the suspected shipment of illegal cigarettes using an expedition truck with mixed cargo. During monitoring, officers identified a truck matching the characteristics provided by the intelligence report.

Officers subsequently stopped the truck to inspect the vehicle and its cargo. Upon inspection, officers discovered a portion of the truck’s load consisted of cigarettes suspected to be illegal tobacco products because they lacked excise stamps.

“This enforcement began with intelligence information regarding the suspected shipment of illegal tobacco products. The team then conducted patrols and found a transport vehicle matching the characteristics of that information. After an inspection, cigarettes without excise stamps were found,” explained Syahirly.

He noted that the large quantity of seized cigarettes indicates that the distribution of illegal cigarettes is not a minor issue. In addition to the potential loss of state revenue, the circulation of illegal tobacco products creates unfair business competition for companies that have fulfilled their tax and excise obligations.

“Monitoring distribution channels and means of transport is one of the vital steps in breaking the supply chain of illegal cigarettes,” he emphasised.

Syahirul stated that this enforcement is part of Customs’ commitment to tightening the supervision of illegal cigarette distribution. The action aims to protect the public and secure state revenue.

“The prevention of illegal cigarettes is being carried out again as a form of protection for the community and to secure state revenue,” said Syahirul.

The illegal cigarettes are currently being held for further processing. Legal and administrative proceedings regarding the seized goods are ongoing by Labuan Bajo Customs.

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