BISNISTIME.COM, CIPUTAT – Saturday (14/09/2024) Over the ten years of President Joko Widodo’s administration (2014–2024), Indonesia’s tobacco control policies are considered to have experienced deep disorientation. Without significant changes, this situation is expected to continue into the next administration, particularly as the vision of the presidential and vice-presidential candidates, Prabowo-Ghibran, does not explicitly address tobacco control in their program. This raises concerns about Indonesia’s demographic bonus and the nation’s Golden Indonesia aspirations.
Mukhaer Pakkanna, Senior Advisor at the Center of Human and Economic Development (CHED) at the Institut Teknologi dan Bisnis Ahmad Dahlan (ITB-AD), highlighted that during the Jokowi era, the prevalence of child smokers and impoverished communities remained high. “The government has not succeeded in ratifying the Framework Convention on Tobacco Control (FCTC). Policies such as smoke-free zones (Kawasan Tanpa Rokok/KTR) are merely rhetoric in the National Medium-Term Development Plan (RPJMN), while cigarettes are still easily accessible to children and teenagers,” Mukhaer emphasized.
Mukhaer further noted that increases in tobacco excise taxes have not been consistent with WHO recommendations, and existing policies have failed to significantly reduce tobacco consumption. Moreover, the tobacco industry continues to strengthen its position through political lobbying and Corporate Social Responsibility (CSR) programs that frame the industry as a “contributor” to society.
“The Tobacco Industry Interference Index in Indonesia has reached 84 points, indicating the strong influence of the tobacco industry in blocking stricter control policies at both the executive and legislative levels,” Mukhaer added.
Indonesia is now the country with the highest number of smokers in Southeast Asia, with 65.7 million smokers, 67 percent of whom are from poor communities. This situation worsens the national health crisis and increases the economic burden on the country.
As the government transitions, Mukhaer suggested several concrete steps to improve tobacco control by the end of 2024. One recommendation is to significantly increase the Tobacco Excise (CHT) rates, including for electronic cigarettes and shredded tobacco, with a minimum 25 percent increase in the Retail Sales Price (HJE) annually for all types of cigarettes.
Mukhaer also recommended simplifying the CHT structure into five tiers, which could later be reduced to three tiers. Additionally, he stressed the importance of revising market transaction price surveillance to be set at 100 percent of the established retail sales price, as well as redesigning tax stamps to avoid covering graphic health warnings.
“With the introduction of digital stamps, the integration of cigarette market price surveillance with relevant ministries and institutions will become easier, more effective, and accountable,” he explained.
Mukhaer concluded with a stern warning. “If tobacco control policies are not tightened immediately, Indonesia’s demographic bonus could be mortgaged to the interests of the tobacco industry. The next government must act swiftly to protect Indonesia’s future from this looming threat.”
With concrete steps and strong political will, Indonesia still has the opportunity to reform its tobacco policies and safeguard the health of future generations.
Sumber : CHED ITB-AD
