Foreign Control of Indonesia's Tobacco Industry Threatens Farmers' Livelihoods

Market by 2FIRSTS.ai

Jan.12.2024

Foreign Control of Indonesia's Tobacco Industry Threatens Farmers' Livelihoods

Indonesian Vice Presidential candidate Mahfud MD states that the tobacco industry is still controlled by foreign companies, affecting local farmers' livelihoods.

According to a report by Okezone on January 11th, Indonesia's third vice-presidential candidate, Mahfud MD, has stated that the country's tobacco industry is still controlled by foreign companies, directly impacting the livelihood of local tobacco farmers.

Machfud believes that Indonesia's tobacco industry holds immense potential for development and can benefit tobacco farmers. However, the intervention of foreign tobacco companies poses a challenge for small-scale tobacco farmers.

In a speech in Madura, he stated that "in the past, tobacco was the main source of income for Madura farmers. The tobacco supply chain was controlled by big companies, and farmers' prices were manipulated." He pointed out that certain regulations categorize tobacco as a harmful substance, posing a threat to the tobacco industry, especially tobacco farmers.

He further added, "There are regulations which recognize tobacco as hazardous. As a result, tobacco farmers in Toraja, Madura, and Temanggung have experienced a significant decline in income. Despite being deemed harmful, the largest tobacco factory is managed by an American company, Philip Morris.

In order to empower tobacco farmers, Mahfoud has pledged to reevaluate the regulations surrounding the tobacco industry. He hopes to increase tobacco production and ensure that the majority of tobacco farmers benefit from it.

"I believe there is a need to reassess this policy in order to allow tobacco farmers to prosper without resorting to illegal tobacco production. The reason why people engage in illicit production is because they are pushed into difficult situations. We should establish regulations that are easy to enforce," he concluded.

References:

[1] Bakal Tinjau Ulang Regulasi soal Tembakau, Mahfud MD: Harus Untungkan Petani : Okezone Economy

Also Read:

[1] The Challenge of Controlling Illegal Tobacco Distribution in South Sulawesi

[2] Indonesian Customs Seize Large Amount of Untaxed Cigarettes

[3] The Misconceptions and Dangers of E-cigarettes: Indonesian Perspective

#Indonesia #E-cigarette Industry #Tobacco Control Plan #Tobacco Control

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn

Notice

1. This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2. The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3. This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4. Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

Copyright

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

AI Assistance Disclaimer

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

U.S. Washington State to Bring Synthetic Nicotine Under the Tobacco Tax System, Applying a Unified Tax Starting January 2026

Washington State will subject all nicotine-containing products to the Tobacco Products Tax starting January 1, 2026, taxing them at 95% of the selling price. The change covers both tobacco-derived and synthetic nicotine products and requires businesses to report their inventory when the new tax system takes effect.

Dec.29 by 2FIRSTS.ai

Jordan Reduces HTP and Vape Tax Burden as National Smoking Rate Hits 51.6%

Jordan has published amendments to its special tax system reducing taxes on heated tobacco products, electronic cigarettes and e-liquids, with some reductions reaching 50%. Under the revised rules, taxes on devices and liquids have been lowered, prompting concern among medical and parliamentary circles. The government has not issued an official explanation for the move.

Dec.24 by 2FIRSTS.ai

Product | SKE Launches Disposable V-BOT, Claiming U.S. Manufacturing and Domestic Blending & Filling

SKE has launched the V-BOT disposable e-cigarette. The company’s website highlights that the device is “Made in the USA,” with blending and filling also completed domestically. The V-BOT features dual power modes (Eco/Boost), an 800 mAh rechargeable battery, and is advertised as delivering up to 40,000 puffs.

Nov.07 by 2FIRSTS.ai

Japan Tobacco launches limited-edition Ploom AURA color “Bronze Royal,” priced at about $27

Japan Tobacco (JT) announced that Ploom AURA has added a second limited-edition colorway, “Bronze Royal,” which will be available in limited quantities through official channels starting November 11, priced at approximately $27.3.