11/18/2016

PT sampoerna on tobacco excise increase and business plan for 2017



PT sampoerna on tobacco excise increase and business plan for 2017


PT sampoerna tbk (HMSP) responds positively the government decision to increase tobacco excise 10.54% in 2017. The rate increase is lower than this year which is 15% meaning the government understand well that industry of cigarettes is facing serious problem especially clove cigarettes hand. 

Directorate general of customs and excise raised officially increased cigarette tax, 13.46% for white cigarettes machines and 0% for the tobacco clove hand class IIIB. In all, the average increase is at rate 10.54% thus the retail price of cigarettes is at average 12.26%. 

In the midst of sluggish growth of tobacco industry, pt sampoerna aims to allocate Rp 1 trillion for 2017 expenditure. This budget is used for the increase of machine cigarette factory and the opening new offices. Basically, the amount of budget for 2017 is similar with 2016. For the third quarter of 2016, sampoerna has adjusted the increase of retail price 11% which is in aline with the average of retail price increase of cigarettes around 10.3%.


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