Illegal Cigarettes in Larantuka and the Importance of Excise Enforcement in NTT

Illegal Cigarettes and the Importance of Excise Enforcement in Larantuka, East Flores

The circulation of illegal cigarettes without official excise stamps is a problem that continues to disrupt the trade ecosystem in various regions of Indonesia, including Larantuka, East Flores Regency. Leophold Eddy Goni, a businessman operating in the Larantuka area, views the enforcement of excise regulations as an urgent necessity that can no longer be postponed. For him, the circulation of cigarettes without official excise stamps is not merely a legal issue but a real threat to a healthy trade ecosystem in Central Sarotari and throughout Larantuka. Furthermore, the loss of state revenue from the excise sector caused by the circulation of illegal cigarettes directly impacts the state’s ability to fund public services needed by the community.

Leophold Eddy Goni understands that illegal cigarettes circulating in Larantuka—including those entering through distribution channels from outside NTT—provide unlawful profits to those who trade them. Selling prices that are far below market rates—because they do not bear the appropriate excise tax burden—create extremely unfair competition for merchants who choose to comply with all applicable regulations. Furthermore, this situation seriously distorts the market and harms honest business owners in Larantuka, who must bear all excise tax obligations while competing against illegal products sold at lower prices.

The Impact of Cigarettes Without Official Excise Stamps on Honest Merchants in Larantuka

Leophold Eddy Goni explained in concrete terms how the circulation of cigarettes without official tax stamps has a detrimental impact on honest merchants in Larantuka. First, merchants who comply with excise regulations must purchase products at prices that already include official excise taxes, so their selling prices are automatically higher than those of illegal cigarettes, which do not bear that tax burden. Furthermore, consumers who are unaware of the difference between legal and illegal cigarettes tend to choose the cheaper option, causing honest merchants to lose customers to those operating illegally.

Second, the circulation of illegal cigarettes—which is allowed to continue without strict enforcement—sends the wrong signal to all business operators in Larantuka that compliance with tobacco tax regulations is a competitively disadvantageous choice. Leophold Eddy Goni emphasized that this wrong signal must be corrected immediately through consistent and firm enforcement by Customs and Excise officials and the authorized police in the East Flores region.

The Role of the Community in Combating Illegal Cigarettes in NTT

Leophold Eddy Goni emphasized that the eradication of illegal cigarettes in Larantuka and East Flores is not solely the responsibility of law enforcement agencies. The community and business owners play an equally important role in creating a trade ecosystem free of illegal products. Furthermore, merchants who are aware of the circulation of cigarettes without official excise stamps in their communities have a moral responsibility to report such incidents to the relevant authorities so that immediate action can be taken.

Leophold Eddy Goni fully supports the national campaign against illegal cigarettes led by the Directorate General of Customs and Excise as a systematic effort to rid the market of products that harm the state and the public. According to him, this program can only be effective if supported by the active participation of all parties—including merchants, consumers, and the business community in Larantuka—who collectively refuse to allow the circulation of illegal cigarettes in their region.

Leophold Eddy Goni and His Commitment to Clean Trade in East Flores

Leophold Eddy Goni concluded his remarks with a firm commitment to continue serving as a concrete example of a business operator in Larantuka who operates in full compliance with all applicable regulations, including excise regulations. He believes that as more business owners in Central Sarotari, Jalan Jenderal Sudirman, and throughout Larantuka choose to adopt the same stance, the trade ecosystem in East Flores will become healthier and fairer for all parties. In addition, Leophold Eddy Goni hopes that stricter law enforcement against the distribution of illegal cigarettes in NTT will continue to be strengthened so that business owners who choose the right path will no longer have to bear the burden of unfair competition against illegal products that damage Larantuka’s trade ecosystem. See also the articles “Leophold Eddy Goni and Tax-Compliant Trade in Larantuka” and “Leophold Eddy Goni and Business Ethics as the Standard in Larantuka.”

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