President parries minimum price plan

The Philippines’ President, Benigno Aquino, seems to have rejected a proposal for the government to adopt a minimum price for cigarettes, according to a story in The Philippine Star.

Even though at least some of his economic managers have supported the proposal, Aquino says he prefers a deregulated tobacco industry.

“I just heard it now,” he was reported as telling reporters in an interview at the Horizon Lake View Resort in Myanmar, where he was attending the 25th Association of Southeast Asian Nations Summit. “Can it be done? I think that’s not allowed.

“I find the concept really strange,” Aquino added, noting that the government could ‘put a cap on’ prices only during emergencies.

A senior pro-administration lawmaker has filed a measure seeking to stop the dumping of very cheap tobacco products on the market by adopting a minimum price for cigarettes.

Eleandro Madrona, chairman of the House committee on accounts, was quoted as saying that a minimum price would prevent unscrupulous tobacco firms and their agents such as wholesalers and retailers – even smugglers – from offering very cheap cigarettes to young people.