Covid-19 Pandemic Subsides, Boosts Domestic Vape Sales

Shopify API - 21 July 2022

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After overcoming difficult times during the Covid-19 pandemic, the vape industry is now starting to recover. This is marked by an increase in electric cigarette sales and an increase in the number of workers involved in the industry.

At the recent National Vape Day event held in South Jakarta, Aryo Andrianto, Chairman of the Indonesian Personal Vaporizer Association (APVI), revealed that some of his associates have seen an increase in their workforce since the reductions made during the Covid-19 pandemic.

"If I look at some friends in the association, the number of their employees has almost returned to 100%, and some even exceed the original number of employees. What used to be only 20-30 employees has now increased to 40, while those who had reductions of 10-20 have now increased again," said Aryo.

According to APVI data, in early 2020, the Covid-19 pandemic that hit Indonesia caused demand and sales of vape products to drop by 70 to 90 percent. As a result, many unavoidable workforce reductions occurred.

However, after the Covid-19 pandemic became more controlled and subsided, a number of parties involved in the vape industry experienced significant growth, ranging from business actors such as manufacturers, distributors, shop owners, and MSMEs (numbering around 8000-9000 people) to electric cigarette users, which increased to 2.2 million by 2022.

"The number of electric cigarette users in Indonesia is currently estimated at around 2.2 million, up from 1.5 million users in 2021," said Aryo.

"Of course, this increase has led vape businesses to add more employees, due to the high market demand again," he added.

With these conditions, APVI is optimistic that it can contribute more to the state treasury. It hopes that this year the vape industry will be able to contribute 1 trillion rupiah in excise duty, surpassing last year's electric cigarette excise tax contribution of around 700 billion rupiah.

Source: Vapemagz

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