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Alcohol in Indonesia refers to thealcohol industry,alcohol consumption andlaws related to alcohol in theSouth East Asian country ofIndonesia. Indonesia is aMuslim majority country, yet it is also a pluralist, democratic and secular nation.[1] These social and demographic conditions led toIslamic parties and pressure groups pushing the government to restrict alcohol consumption and trade, while the government carefully considers the rights of non-Muslims and consenting adults to consume alcohol, and estimates the possible alcohol ban effects onIndonesian tourism and theeconomy.[2]
Currently, there are noalcohol bans being enforced in Indonesia, with the exception ofAceh. Since 2014, anyone found consuming alcohol or breaching the codes on moral conduct, whether residents or visitors to Aceh, could face between six and ninecane lashes.[3] In other parts of Indonesia, to appease theIslamic parties andpressure groups, the government agreed to apply mild restriction measures on alcohol, which includes high taxation and limited bans. Indonesia is among the countries that apply high taxes on imported alcoholic beverages; in 2015, import tax on alcohol jumped to 150%.[4] Also in 2015, the Indonesian government banned the sale of alcohol fromminimarkets and small shops, with the exception of Bali province, though sale was allowed insupermarkets,restaurants,bars,clubs and hotels.[5] Nevertheless, in more cosmopolitan Indonesian cities likeJakarta,Medan andSurabaya, and also in tourism hotspots such asBali,Yogyakarta andBatam, alcohol beverages are readily available, yet with higher prices, owing to the high tax applied upon alcoholic beverages.[6]
In February 2016, Indonesian Malt Beverage Producers Association (GIMMI) called the House of Representatives to draft for comprehensive regulations on the chain of production and the marketing of alcoholic beverages, instead of total prohibition.[7]

Since ancient times, local alcoholic beverages were developed bynatives in thearchipelago. Some panels in 9th centuryBorobudur bas-reliefs depicted drink vendors,warung (small restaurant), and there is a panel depicting a building with people drinking (possibly alcoholic beverages), dancing and having fun, seeming to depict a tavern or lodging house. According to a Chinese source,Yingya Shenglan (c. 15th century) the people of Java inMajapahit kingdom drank wine made from palm sap calledtuak (palm wine).[8] However, by the 16th centuryIslam began to supplant Hinduism and Buddhism as the major religion in Indonesia. Since then, as aMuslim-majority country, Indonesian Muslims shareIslamic dietary laws that prohibit alcoholic beverages. Nevertheless, the local alcohol-drinking culture still survives, at least among less-religious members of society and among the non-Muslim community.[9] Certain ethno-cultural regions which are predominantly Christian are known for their affinity to alcohol-drinking traditions; such as theBatak,Torajan,Minahasan, Ambonese andPapuan.
Indonesia has its own traditional alcoholic beverages prepared by fermentingrice grain, gluten,sugar palm sap,and coconuts. According to culinary expertWilliam Wongso, the culture of drinking distilled alcohol was never strong in Indonesia, with only a few regions having developed it.[10]
In theBatak community inNorth Sumatra,tuak (palm liquor) is a compulsory drink in the celebrations and became a tradition in the community. Batak tribes are predominantly ofChristian Protestant faith, yet some of its clans are Muslim. A traditional Batak bar servingtuak is called alapo tuak.[11]
In theToraja lands ofSouth Sulawesi, their version oftuak — made from fermentedsugar palm sap, is calledballo.[12] InTorajan traditional ceremonies, rituals and celebrations,ballo is always served, either as a prerequisite for the ritual; as an offering for ancestral spirits, as well as for drinks for guests.Ballo is also commonly consumed by the neighboringBugis ethnic group.[13]
In theMinahasa region ofNorth Sulawesi, an almost identical palm liquor, also made from sugar palm sap, is calledsaguer.[14] InNusa Tenggara andMaluku Islands the people also drink palm wine, locally known assopi.[10]
Also in theMinahasa region, the people drink a highly alcoholic drink calledcap tikus (lit. "rodent brand").Cap tikus is made fromdistilledsaguer orsopi (palm wine), which increases its alcohol content. The origin ofcap tikus brand is unclear. It is suggested that circa 1820s, prior to the 1830Java War, theKNIL Minahasan legion found and bought distilledsaguer orsopi sold in blue bottles embossed with the image of mouse sold by a Chinese merchant in Fort Amsterdam inManado.[14] Today however, because of poor regulation on alcohol production in this region, this traditional home-madecap tikus industry is considered as an illegal beverage, due to the high prevalence of mortalalcohol poisoning.[15]

Bottledbrem bali (Balinese rice wine) andarrack are popular beverages in the Hindu-majority island ofBali.Brem is a brownish colored liquor with 5% alcohol. It is also exported toJapan andChina. ForBalinese people it has areligious significance too.Brem,arak andtuak are required fortabuhan (offerings) to the gods.[16]
InSolo,Central Java,ciu, a local adaptation of Chinese wine, made from cider molasses ofsugarcane is well known. It is linked to Solo's history as a sugar plantation and production center in colonial times.[17]
TheDutch Colonial state was established in Indonesia in the 1800s. The colonial Dutch brought their European drinking culture to the East Indies, most prominently withbeer. TheHeineken beer company established its brewery factory inSurabaya in 1929 during theDutch colonial rule of Indonesia.[18] By the 1960s, Indonesians developed their own local brands of beer, which includedBintang Beer (nationalized from Heineken) and Anker Beer.[19]
In April 2019, theEast Nusa Tenggara provincial government supported the legal aspect of production and distribution of sopi, a local traditional alcoholic beverage. This policy is very likely to make sopi the first fully supported alcoholic product by the local government in Indonesia.[20]

A Presidential regulation signed bySusilo Bambang Yudhoyono in 2013 gave legal cover to distribution of alcohol, it classified alcoholic beverages in Indonesia in three categories. Drinks having an alcohol percentage less than 5% (A class), 5%–20% (B class) and more than 20% (C class). It was replacement of the 1997 decree after theSupreme Court abolished it following appeals from hard-line religious groups like theIslamic Defenders Front. The 2012 court ruling came after a draft bill proposed by theUnited Development Party (PPP) to completely ban the sale, production and consumption of alcohol in Indonesia. However, the 2013 presidential regulation was welcomed by travel agencies in the wake of the harmful effects of the proposed draft on tourism.[21][22]
Prices of wine and spirits in Indonesia increased by 140.5% and 154.4% respectively between 2009 and 2014. In 2015 the government further hiked the import tariff on wine and spirits which nearly doubled the price of alcoholic beverages.[23]

Some foreign companies which sell alcohol in Indonesia areDiageo,Pernod Ricard,Remy Cointreau andBacardi.[23] PT Multi Bintang is the largest domestic brewery of Indonesia.[24] As per market experts, because of various regulations, alcohol sales are declining in Indonesia.[25]
Bintang Beer of Multi Bintang brewery is the largest selling beer of Indonesia. Multi Bintang is a subsidiary ofHeineken Asia Pacific. In 2011, Bintang Beer won the Gold Medal for the Lager Beer Category and was awarded 'Champion Beer 2011' at the world's class beer competition, the Brewing Industry International Award (BIIA 2011) in London. In 2014 Bintang Radler was introduced which was the first flavored beer produced domestically in Indonesia.[25][26][27][28] Other major beer producers areDelta Djakarta known for itsAnker Beer,[29] and PT Bali Hai Brewery Indonesia known for itsBali Hai.[30] Indonesia also produces other brands, includingSan Miguel Beer andAsahi beer, under license. Diageo manufacturesSmirnoff andCaptain Morgan products in Bali, which qualifies both brands for classification as locally produced spirits.[31]
The high prices of alcohol beverages in Indonesia, caused by high taxation and restrictions, has led to cases ofillegal alcohol in the country. As the legal and imported alcoholic beverages become unaffordable, locals turn to illegal bootlegged alcohol for a cheaper drink. These illegal alcoholic drinks are known inIndonesian asalkohol oplosan (lit. "solved alcohol")[7] and account for over 80% of the alcohol consumed in Indonesia.[32] Theseillicitly produced liquors which are traditionally home-made, are considered illegal by Indonesian law, due to the high incidence of deadlyalcohol poisoning. Thelapen liquor fromYogyakarta for example, is made fromindustrial alcohol of 85% volume mixed with water with a 1:4 or 5 alcohol to water ratio; then mixed with fruit essence as a flavoring agent.[33]
In February 2010, 16 people died and 5lapen sellers were arrested in Yogyakarta, due to alcohol poisoning and illicit alcohol production.[34] In September 2010, three RussianSukhoi fighter technicians died inMakassar from methanol poisoning in their drinks.[35] Yogyakarta residents were again affected by badly made alcohol in 2016.[36] Other traditionally made alcoholic spirits such as Solo'sciu, Manado'scap tikus, and some Balinesearrack are known as illegal alcohol, also due to the high incidence of alcohol poisoning.