It would be difficult to reach the target of Rp168.2 trillion for customs and excise revenues as set in the draft state budget, Agung said.Jakarta (ANTARA News) - Customs and Excise Director General Agung Kuswandono has expressed pessimism that his office could achieve the target set for it in 2014.
It would be difficult to reach the target of Rp168.2 trillion for customs and excise revenues as set in the draft state budget, Agung said on Monday.
"Certainly it would be heavier. The target is raised from Rp153 trillion to Rp168 trillion. However, as it is an order, my answer is God willing," he said.
He said the revenues in customs and excise duties depend partly on the global economic condition.
"If economic variables weaken, exports and imports may fall, meaning import duties and export tax would decline," he said.
Extra efforts would be needed to reach the target such as by minimizing leaks including smuggling, he said.
Control would be tightened in places or sectors where smuggling is potential, he added.
"So far, revenues in export tax are still less than 50 percent of target . Exports were below expectation, the prices fall resulting in lower revenues from export tax," he said.
He said increase in tobacco excise duty will have no effect on customs and excise revenues as tobacco or cigarette is not part of area under the directorate general.
He said the directorate general still relies on export tax of crude palm oil (CPO) which account for 91.7 percent of the country`s total revenue in export taxes.
Meanwhile, the price of CPO in international market has not recovered , he said.
"Not only the price has declined , exports are also hampered resulting in shrinking income in export tax," he said.
The government has set tax revenue target at Rp1,310.2 trillion including including Rp168.2 trillion in customs and excise duties.(*)
Editor: Heru Purwanto
Copyright © ANTARA 2013
