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New Tobacco Controls Face Strong Industry Opposition

Indonesia's tobacco industry, led by Apindo, strongly opposes new health regulations on plain packaging and tar limits, warning of layoffs and illicit trade.

New Tobacco Controls Face Strong Industry Opposition
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HARIANEXPRESS – The Indonesian tobacco industry strongly opposes new sweeping health regulations set for issuance this Sunday. It cites belated clarity from the government and potential severe economic impacts. (23/7/2026)

The upcoming regulations, implementing Government Regulation (PP) No. 28/2024 on health, are slated for release by July 26, 2026, marking the two-year deadline since the initial policy. These measures encompass critical provisions such as plain packaging, limits on tar and nicotine content, and a ban on specific additives, all of which are a source of deep concern for the industry.

Industry groups and business players are actively threatening protests against these stringent new controls, cautioning they could trigger widespread mass layoffs and significant reductions in sales. They additionally forecast a notable increase in the illicit trade of tobacco products.

Sutrisno Iwantono, public policy head of the Indonesian Employers Association (Apindo), voiced the industry’s strong objections during a press briefing held on Thursday. He explicitly called for presidential intervention, stating:

“We urge President Prabowo Subianto to impose a moratorium on the drafting and ratification of the implementing regulations for PP No. 28/2024.”

While opposing the new sweeping controls, Apindo has affirmed its support for specific tobacco control regulations already in place. These include prohibitions on sales to individuals under 21 years old and a mandate for 50 percent pictorial and written health warnings on all product packaging.

Despite this, Sutrisno highlighted significant reservations regarding the Health Ministry’s proposal to standardize the color and shape of cigarette and e-cigarette packaging. He contended that such standardization could inadvertently fuel a surge in the illicit market for products lacking proper excise stamps, thereby harming legitimate businesses and diminishing crucial state revenue.

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