Indonesia has very low cigarette prices because of low cigarette taxes and a large number of tax tiers. This contributes to Indonesia having amongst the highest rates of smoking in the world.
Global evidence shows that increases in taxes and prices cause smokers to quit, continuing smokers to smoke less, and lower initiation among youth.
New research in Indonesia confirms that large prices increases, as a result of large tax increases, will result in dramatic declines in smoking, and could result in up to a third of smokers wanting to quit.
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