JAKARTA, Nov 5 (Reuters) - Indonesia will keep excise rates on tobacco products unchanged next year, the country’s industry minister Airlangga Hartarto said on Monday, making it the first year since 2014 that rates have not been hiked.
The government raised tobacco excise by 10.04 percent on average this year from a year earlier. Since 2014, tariffs had been hiked by 10-11 percent every year to control consumption of tobacco products.
Shares of cigarette makers rose on Monday after the news, with Gudang Garam up 3.7 percent and HM Sampoerna rose by 2.9 percent.
Jakarta aims to raise 165.5 trillion rupiah of revenue from excise in 2019, representing a 6.5 percent increase from this year’s target. (Reporting by Maikel Jefriando Writing by Gayatri Suroyo; Editing by Simon Cameron-Moore)