Finance Minister: Additional Cigarette Excise Layer Under Discussion with Parliament

Tangerang (ANTARA) - Minister of Finance Purbaya Yudhi Sadewa has stated that the policy regarding the planned addition of a new tariff layer for Tobacco Products Excise is currently under review and being discussed with the House of Representatives (DPR).

“The tariff cannot be announced yet because it must first be discussed with the DPR. There has been no formal discussion, but we have spoken and will request time for talks,” Purbaya said in Tangerang on Friday.

He said the policy discussion process is still awaiting a formal discussion schedule with the DPR. However, his ministry has completed the proposal for the additional cigarette excise layer.

Meanwhile, regarding the implementation of the Excise on Packaged Sugary Drinks, which has been delayed, the Ministry of Finance conveyed that its status is not yet final and it has not been included in the main state budget calculations.

Purbaya also addressed the increasing enforcement against illegal imports, explaining that the operational budget for the Customs and Excise Directorate General will be increased to eradicate smuggling.

“So indeed, Customs’ operational costs will be increased so they can be more active in catching smuggling or other business fraud in Indonesia,” he explained.

“The results are visible, with a significant improvement in Customs’ performance, both in terms of seizures and revenue, which has started to grow. Illicit cigarettes have also decreased significantly,” he added.