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Government needs to 'cautiously consider cigarette prices’
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A 14-year-old smokes a clove cigarette in Pasar Minggu, South Jakarta. (thejakartapost.com/Elly Burhaini Faizal)
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lawmaker has advised the government to cautiously study a proposal to sharply increase tobacco excise that would significantly increase cigarette prices from an average of Rp 15,000 (US$1.14) per pack to about Rp 50,000.
“I personally agree with the idea as it would discourage smoking, but the government must also consider the fate of the people who work for tobacco companies,” Saleh Daulah of House of Representatives Commission IX overseeing demographic, health, manpower affairs told The Jakarta Post on Monday.
The proposal came from University of Indonesia’s Center for Health Economics and Policy Studies (PKEKK) and was discussed at the Indonesian Health Economics Association (InaHEA) congress in Yogyakarta last month.
National Mandate Party (PAN) lawmaker Saleh said a tax increase would seriously affect cigarette sales and lead to layoffs in the tobacco industry and therefore the government must consider the possible impacts of raising the tax.
Meanwhile, Health Ministry spokesman Oscar Primadi said his office supported the proposal as it would significantly decrease smoking among children. “Young people will not start smoking if the price increase is approved by the government,” Oscar told the Post on Monday.
According to a survey conducted by the PKEKK involving 1,000 smokers from December 2015 to January, 72 percent of respondents would stop smoking if cigarette prices increased to Rp 50,000 per pack. (rez/bbn)
