JAKARTA - Large-scale tobacco cigarette producers are asked to invest in the Tobacco and Other Processing Products (HPTL) industry at Micro, Small and Medium Enterprises (MSMEs) scale. This was conveyed by Willy Aditya, a member of Commission XI DPR in a written statement quoted on Thursday (4/3).
According to him, the HPTL industry is proven to have made a real contribution to excise revenue of IDR 426.6 billion in 2019. Excise revenue from the industry has increased in 2020 to IDR 680.3 billion. "This industry involves many UMKM scale players," he said.
He conveyed that HPTL products are subject to a system of excise tariffs, a percentage of the Ad valorem scheme, which is 57% of the retail sale price (HJE). The application of this system, he said, is different from conventional cigarettes which use a simple, specific excise system.
"The Ad Valorem system is burdensome for HPTL because the rate is higher than the percentage of excise rates for conventional cigarette producers," he said. (LK/LM)