Cigarette ad spending hits Rp 6.3 trillion in 2016

Workers sort cigarettes at a factory in Surabaya, East Java. (thejakartapost.com/Wahyoe Boediwardhana)

Cigarette ad spending for television and print media surged 45 percent to Rp 6.3 trillion (US$470.8 million) in 2016 amid a ban on cigarette ads on billboards in Jakarta and sporting events nationwide.

“This is understandable because cigarette firms shifted to television after ads were banned on billboards and sporting events,” said Asjaya Indosurya Securities analyst William Surya Wijaya  on Friday.

The Jakarta administration has banned cigarette ads on billboards since Jan. 13, 2015, while the central government has banned them at sporting events since Dec. 24, 2012.

William added that the surge also occurred amid restrictions on TV and print media.

(Read also: Cigarette ad ban aims to protect children, lawmaker says)

Cigarette commercials can only be aired on TV from 9:30 p.m. to 5 a.m., while on print media such ads are only allowed in publications that do not target women, children or teenagers. The rule is stipulated under Government Regulation No. 109/2012 on tobacco control.

Cigarette companies were the second top ad spenders in 2016 after ranking third in 2015, Nielsen data shows.

Dunhill cigarettes was the top spender last year. The producer, publicly listed PT Bentoel Internasional Investama (RMBA), a member of the British American Tobacco Group, multiplied its ad spending for the brand by nearly sevenfold to Rp 955.7 billion last year. (bbn)