Indonesia tobacco industry opposes new health regulations

Indonesia's government is set to issue new health regulations under Government Regulation No. 28 2024, which would require plain packaging for cigarettes and e‑cigarettes, cap nicotine at 1 mg and tar at 10 mg per stick, and ban most additives. The measures aim to curb smoking among youth but have triggered a coordinated backlash from the tobacco sector.

The Association of Indonesian Entrepreneurs (APINDO), the Federation of Indonesian Cigarette Manufacturers, farmers’ groups and trade unions say the rules will cripple the $40‑billion industry, lead to mass layoffs for the six million workers in the supply chain, and drive sales to illegal products. They have asked President Prabowo Subianto to review the provisions and warned they will stage protests if the draft is signed on 26 July 2026. The industry cites roughly 710 trillion rupiah in economic activity and about 300 trillion rupiah in excise and tax revenue that could be jeopardized.

Separately, the National Narcotics Agency (BNN) has submitted a proposal to ban electronic cigarettes, citing a surge in drug‑laden vape liquids and stating that nearly 40 % of users have consumed illicit substances through vaping. The government has welcomed the recommendation and tasked BNN with drafting tighter controls, including a possible nationwide ban.