TEMPO.CO, Jakarta - A number of listed cigarette companies today recorded declining stock prices at the Indonesia Stock Exchange (IDX). Before 11:00 AM this morning, Tuesday, August 23, 2016, three cigarette issuers posted stock price declines.
HM Sampoerna (HMSP) fell 20 bps or 0.5 percent to Rp 4,000 compared to its opening price.
Gudang Garam (GGRM) fell 1.64 percent or 700 bps to Rp 66,050 and Wismilak Inti Makmur (WIIM) lost 2 points 0.5 percent to Rp 400.
IDX director Tito Sulistio said that recent reports of the government's discourse to raise cigarette sales prices up to Rp 50,000 per pack affected investors' trading decision. People who have stocks from cigarette companies are prompted to sell their shares to sell shares. "There is this perception; investors are worried that the price will indeed increase. It's possible," Tito said at the IDX building on Tuesday, August 23, 2016.
However, Finance Minister Sri Mulyani Indrawati yesterday responded to circulating news about the cigarette price hike. The government, she said, has no plans to raise cigarette price to Rp 50,000 per pack. Sri said there are other and better ways to increase state revenue as opposed to just making an extreme policy for one post of the State Budget.
DESTRIANITA
