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Indonesia Signals Possible Excise Duties on Sugar-Sweetened Beverages

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Algo Research Team


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Key Summary:


  • Excise structures are under discussions among stakeholders
  • Aimed to increase tax revenue and reduce sugar intakes
  • Higher selling prices would be passed on to consumers

Once again, the Indonesian government signals its intention to implement a sugar-sweetened beverage (SSB) excise in 2026. Although the measure has appeared consistently in annual fiscal plans, execution has historically lagged due to industry constraints.


What's the buzz? The Ministry of Finance (MoF) stated that tariff structures and thresholds are under discussion as the government seeks additional state revenues, curb sugar consumption, and reinforce broader excise compliance.


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