Economists Tips Smuggling Boom If Cigarette Prices Raised 365%
A plan touted by some in the government to increase cigarette prices is likely to have a disastrous effect on tobacco farmers and encourage counterfeit and smuggling in the local market, a researcher has said.
Rumors of a price hike were sparked after research from the University of Indonesia’s center for health economics and policy studies found rising prices lowers cigarette consumption.
The research found that 71 percent of smokers would quit entirely if the price reached Rp 50,000 ($3.75) per pack.
DzulfianSyafrian, an economist at the Institute for Development of Economics and Finance (Indef), said any price hike would substantially affect the industry, pointing firstly to laborers and farmers who would likely lose their jobs.
Related Posts
US seizes more than 3000 counterfeit items
US Immigration and Customs Enforcement Offices have seized more than 3000...
Anti-Counterfeit Pharmaceutical and Cosmetics Packaging Market is Expected to Reach $80.2 Billion, Globally, by 2020 – Allied Market Research
A recent report by Allied Market Research titled "Global Anti-Counterfeit...
Abbott product distribution faces monopoly queries
The National Steering Committee on the Prevention and Control of Smuggling, Trade...
Qatar motorists concern over counterfeit auto spare parts
Counterfeit vehicle spare parts, which are exact replicas of original products,...