Smoke to Bolster the Budget

Cigarette excise revenue keeps rising. It is not used as an instrument to reduce cigarette consumption yet.

June 3, 2008

EXPECTING the government to campaign against cigarettes is like building castles in the sky. Indonesia’s reluctance to ratify the Framework Convention for Tobacco Control can be understood, given the large cigarette excise revenue so far. In 2005 income from this excise was Rp32.7 trillion. In the Amended State Budget for 2008, the excise revenue target is put at Rp44.5 trillion, rising by 12 percent a year on average. This year cigarette excis

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