JAKARTA, KOMPAS.TV – Retail selling prices (HJE) for cigarettes, including cigarettes, cigars and e-cigarettes, will increase starting Saturday (1/1/2022). The highest increase occurred in Class I Machined White Cigarettes, which was up to IDR 40,000 per pack.
On the same day, cigarette excise rates also increased. The government raised the Tobacco Products Excise (CHT) tariff by an average of 12 percent.
When compared to 2021, the increase in cigarette prices this year is indeed lower, with an average of 12.5 percent, but this time the price of cigarettes has soared to Rp. 40,000 per pack (1 pack of 20 sticks).
Also Read: The Price of One Pack Of Cigarettes Is Predicted To Reach Rp. 40,000 Next Year, This Is The Cause
According to Finance Minister Sri Mulyani Indrawati, the aim of the increase in cigarette excise rates is to reduce the prevalence of smokers aged 10-18 years old to 8.83 percent, from the 8.7 percent target in the RPJMN in 2024.
Moreover, poor families in urban and rural areas make cigarettes the second largest expenditure after rice, or beat the consumption of poor households for chicken to eggs.
The percentage of poor households spending in the city for rice is 20.03 percent and cigarettes is 11.9 percent.
Meanwhile in the village, the expenditure of poor households for rice reached 24 percent, followed by cigarettes at 11.24 percent.
The increase in excise tariffs causes cigarette production to decline by around 3 percent in 2022, from 320.1 billion cigarettes to 310.4 billion cigarettes.
The price index for cigarettes was 13.77 percent from 12.7 percent.
– .
