JAKARTA, Sept. 26 (Xinhua) -- The Indonesian government will maintain the excise tax on tobacco products at its current level next year in a move to safeguard the cigarette industry and protect jobs, Finance Minister Purbaya Yudhi Sadewa announced on Friday.
The decision came after a meeting with the Indonesian Cigarette Manufacturers Association earlier in the day, during which the association recommended keeping the excise tax unchanged.
The government has refrained from raising tobacco taxes since this year in an effort to preserve the sustainability of the legal cigarette industry, which has been under pressure from a growing "downtrading" trend, where consumers shift to cheaper brands.
To support the legal industry, Purbaya stressed the government's commitment to cracking down on illegal cigarette sales, adding that findings by Customs and Excise indicate a circulation of illicit tobacco products both domestically and internationally.
