National Tobacco Control Commission: Cigarette Spending a Key Driver of Household Poverty

The National Tobacco Control Commission has stated that high cigarette spending is a primary driver of household poverty in Indonesia, with tobacco expenditure significantly exceeding budgets for nutritious food. Secretary-General Tulus Abadi highlighted that this phenomenon worsens the welfare of vulnerable groups and contributes to the decline of the middle class, during a workshop titled “Behind the Scenes of Excise” organised by the Alliance of Independent Journalists (AJI) Jakarta in Makassar on Saturday (23 May).

Abadi emphasised the need to prioritise consumption control, noting that cigarette spending often surpasses essential nutritious food items such as eggs, milk, fruits, and vegetables, according to Antara on Sunday (24 May). Beyond economic factors, cigarette and vape consumption also impact human capital quality; nicotine can cause permanent brain damage in children and adolescents, while secondhand smoke significantly raises stunting risks compared to non-smoking households.

Abadi also criticised the 2026 tobacco excise policy for not fully focusing on consumption control, despite annual economic losses from smoking reaching hundreds of trillions of rupiah, including national healthcare costs for chronic diseases like heart disease, stroke, and diabetes. “Controlling cigarette consumption must be a top priority, given its wide-ranging impacts not just on health but also on the economy and human capital quality,” he stressed.

Based on data from the Central Statistics Agency (BPS) presented by the Ministry of Health, a comparison of per capita household expenditure was provided (Z-10). The forum also warned the government about potential shifts to illegal products that do not meet standards and do not contribute to state revenue. This discussion forms part of efforts to draft policy recommendations for the government. Another issue raised was plans to ban certain additives in tobacco products, with the Ministry of Agriculture noting the specific climate and soil conditions required for local tobacco varieties. The tobacco sector currently faces critical pressures and challenges.