Commission IX Highlights Potential Impact of Proposed Restrictions on Tar and Nicotine Levels
A member of Commission IX of the Indonesian House of Representatives, Nurhadi, has cautioned that limiting the maximum levels of tar and nicotine in tobacco products carries the risk of triggering a domino effect that could lead to widespread layoffs. He stressed that any policy within the tobacco industry must consider its impact on the millions of workers and farmers who rely on the industry’s ecosystem.
“If the standards for tar and nicotine levels are set too low and unrealistically, the harvest from our farmers will not be absorbed by the industry,” he said.
He explained that tightening tar and nicotine levels drastically would alter the production patterns of the tobacco industry. The most significant impact is expected to be felt by the hand-rolled kretek cigarette (SKT) sector, which is known as a labor-intensive industry that employs a large number of workers.
“The tobacco industry employs around six million workers, from factory workers and distributors to farmers. If the existing standards are changed forcibly, the industry will be shaken. This means a threat of losing livelihoods for millions of people who support their families from this sector,” he emphasized.
He added that if the government sets limits on tar and nicotine content beyond the natural capacity of tobacco plants needed for the Indonesian tobacco industry, cigarette manufacturers may be forced to seek imported raw materials or switch to technologies that reduce the use of human labor.
Therefore, Nurhadi believes it is important for policymakers to understand the condition of local raw materials and not set standards without adequate research.
In addition to impacting the labor sector, Nurhadi also believes that the proposed restrictions could lead to overlapping regulations. He stated that the National Standardization Agency (BSN) has, through the Indonesian National Standard (SNI), established provisions regarding the limits of tar and nicotine content in tobacco products.
“We already have the SNI instrument to maintain quality standards. The presence of new regulations could potentially create overlapping regulations and create legal uncertainty,” he said.
He emphasized that the government must be able to maintain a balance between efforts to protect public health and the sustainability of the industry, which employs millions of workers. To this end, he encourages cross-sectoral dialogue so that the policies taken are not solely based on health considerations but also consider the social and economic impacts as a whole. Currently, no other sector is able to absorb labor like the tobacco industry.
“The tobacco industry is a complex sector and has made a significant contribution to the country, both in terms of revenue through excise duties and job creation. Therefore, do not treat this industry like a stepchild, while on the other hand, the state receives hundreds of trillions in excise revenue from tobacco each year for development,” he concluded.
The current draft recommendations for maximum limits on tar and nicotine levels are being prepared by the Drafting Team of the Coordinating Ministry for Human Development and Culture (KemenkoPMK).