Indonesian Political, Business & Finance News

Ministry of Health's Cigarette Packaging Plan Faces Street Vendor Backlash

| Source: VIVA Translated from Indonesian | Regulation
Ministry of Health's Cigarette Packaging Plan Faces Street Vendor Backlash
Image: VIVA

The Ministry of Health’s plan to approve standardised cigarette packaging regulations under the Draft Ministerial Regulation (RPMK) on Health Warnings has drawn strong opposition from street vendors. The Street Vendors Association (APKLI) argues the policy could harm millions of small traders, particularly due to the lack of business stakeholders’ involvement in the regulation drafting process. APKLI Chairman Ali Mahsun highlighted the absence of vendor representatives in the Ministry of Health’s public consultation held on 25 May. ‘Vendors are severely disadvantaged when products lack differentiation. Imposing plain packaging in Pantone 448C, uniform lettering, shapes, and images will erode legal cigarette sales as illegal cigarettes surge,’ he said on 30 May 2026. He stressed the policy fails to support small traders who rely largely on cigarette sales in small shops and micro-enterprises. Ali stated approximately 3.9 million street vendors could be affected, from convenience stores and street vendors to other SMEs. He further argued the policy should balance health and people’s economic interests. ‘The RPMK should serve as a tool to balance health and people’s economic interests in managing Indonesia’s tobacco ecosystem. Given that this ecosystem is a cultural and economic legacy of the nation, it should be preserved, developed, and sustained to prevent decline or extinction. Yet tobacco is consistently suppressed, emasculated, and even targeted for eradication through legislation,’ he said. APKLI also questions the shift in focus from health warnings to packaging standardisation, which they believe could disrupt small-scale trade. Ali said policymakers should consider the direct impact on daily traders who depend on low-level sales for their livelihood. APKLI has called for fairer, more proportionate RPMK discussions involving all stakeholders, especially those in the people’s economy. ‘Do not overlook the significant and strategic contribution of Indonesia’s tobacco ecosystem to national governance. Over 10% of total state revenue comes from tobacco excise and taxes, generating six million jobs from upstream to downstream,’ Ali said.

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