Indonesian Political, Business & Finance News

East Java Customs Destroys Illegal Cigarettes Worth Rp19.6 Billion

| Source: ANTARA_ID Translated from Indonesian | Economy
East Java Customs Destroys Illegal Cigarettes Worth Rp19.6 Billion
Image: ANTARA_ID

The East Java I Regional Office of Customs and Excise has destroyed 13,227,800 illicit cigarettes from enforcement operations conducted between January and early June 2026, with the goods valued at Rp19.64 billion. Head of the East Java I Customs Regional Office Rusman Hadi stated on Thursday in Sidoarjo that the destruction of these confiscated items demonstrates the government’s commitment to curbing the circulation of illegal cigarettes while safeguarding state revenue from the excise sector. This destruction serves as tangible evidence that supervision of the circulation of illegal excisable goods continues to be strengthened. We will continue to synergise with local governments and law enforcement officials to suppress the circulation of illegal cigarettes in East Java. During the symbolic event held at the Pasar Baru Porong in Sidoarjo, Rusman remarked that illegal cigarettes not only harm state finances but also create unfair business competition for the tobacco products industry that complies with statutory provisions. He affirmed that the effort successfully saved potential state losses of Rp12.8 billion from the excise revenue sector. At the same event, Head of the BPJS Ketenagakerjaan Sidoarjo Branch Arie Fianto Syofian explained that a portion of the Tobacco Products Excise Revenue Sharing Fund utilisation, derived from official cigarette excise, is also directed towards strengthening social security for employment for vulnerable workers and labourers in the tobacco products industry. He noted that synergy between the government, the Customs Regional Office, and BPJS Ketenagakerjaan could ensure the benefits of the revenue sharing fund are directly felt by workers, thereby strengthening social protection.

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