Indonesian Government Regulation May Affect Tobacco Alternatives Industry

Regulations by 2FIRSTS.ai
Sep.14
Indonesian Government Regulation May Affect Tobacco Alternatives Industry
Indonesian government regulation PP No. 28/2024 may threaten small businesses in alternative tobacco industry.

According to Ekonomi on September 13, the Indonesian government's 28th government regulation (PP No. 28/2024) is believed to potentially put many small and medium enterprises in the alternative tobacco products industry at risk.


The provision of particular interest in this regulation is Article 434, section F, which prohibits the sale of alternative tobacco products on social media. Additionally, the Health Ministry draft (RPMK) also includes regulations for plain packaging of tobacco and e-cigarette products.


The Secretary General of the Indonesian Personal E-Cigarette Association (APVI), Garindra Kartasasmita, stated that the alternative tobacco products industry is primarily made up of community-based small and medium enterprises. Prohibiting sales on social media will further limit the space for businesses to educate consumers.


Carindra believes that social media is an important tool for businesses to reach adult consumers and drive business growth. The existence of the regulations imposed on the 28th further exacerbates the challenges facing the alternative tobacco products industry.


Additionally, he pointed out that age verification can also be conducted on social media. Industry professionals in the e-cigarette sector have been actively working to prevent underage purchasing.


The Indonesian Vapor Association (APVI) stated that they are committed to ensuring that e-cigarettes are only used by adults and that their members strictly adhere to age restriction regulations. The association is one of 20 cross-sector tobacco industry organizations that have signed agreements refusing the RPMK regulations on plain packaging and certain provisions of government regulation No. 28. The signing ceremony took place on September 11, 2024, at the office of the Indonesian Entrepreneur Association.


According to reports, the Ministry of Health is currently discussing the Regulations on Tobacco and E-cigarette Product Safety and Health (RPMK). As a detailed regulation of the 28th government ordinance, the regulation is expected to be finalized in the third week of September 2024.


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