Manufacturers Protest Govt To Impose Taxes On Carbonated Drinks

Jakarta, Dec 17 (ANTARA) - The Indonesian Association of Soft Drinks Manufacturers (Asrim) has protested against the government`s plan to impose more taxes on carbonated drinks. The government stated that the move was aimed at controlling the excessive consumption of carbonated drinks, which were not good for health, and also at increasing state revenue. "Carbonated drinks contain 85 to 90 percent water. They have no negative impact on health as cigarettes and alcohol do," Asrim secretary general Suroso Natakusuma said here on Monday. He noted that the consumption of carbonated drinks in Indonesia was among the lowest in the ASEAN region and therefore would not negatively affect public health or the environment. �The consumption of carbonated drinks in Indonesia per capita per year reaches 2.4 litres, while in the Philippines it is 34.1 litres,� Suroso pointed out. On December 12, the Finance Ministry`s Interim Chief of Fiscal Policy Board, Bambang Brodjonegoro, said the government planned to impose more taxes on carbonated drinks based on regulation No. 39/2007 on excise policy. �The regulation clearly states that the government needs to control the consumption of products that can pose threats to people`s health and the environment,� Bambang pointed out. �The rate of tax could range from Rp1,000 per litre to Rp5,000 per litre. Accordingly, the state would receive revenues worth Rp800 billion to Rp3.95 trillion,� he explained. However, Bambang added, the government was still discussing the issue with members of the House of Representatives (DPR).