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Tag: Philippines

  • Weak Enforcement, Not High Taxes, Lead to Illicit Trade: Philippine Study

    Weak Enforcement, Not High Taxes, Lead to Illicit Trade: Philippine Study

    The Action for Economic Reforms (AER) and Philippine government officials oppose bills seeking to cut tobacco excise taxes, warning the move could increase smoking rates and reduce government revenues without addressing illicit trade. A joint study by AER and Johns Hopkins Bloomberg School of Public Health argues that high tobacco taxes do not drive illicit trade, but it is instead a product of weak enforcement and local governance.

    AER projects up to two million new smokers by 2035 and P167 billion ($2.8 billion) in lost revenue if taxes are lowered. Officials, including Senator Risa Hontiveros-Baraquel and BIR Commissioner Romeo Lumagui, stressed that stronger enforcement, a nationwide licensing system, and an upgraded track-and-trace program are key to curbing illicit tobacco sales and protecting public health.

  • CAPHRA Calls on Philippines to Champion Consumers at COP11 

    CAPHRA Calls on Philippines to Champion Consumers at COP11 

    The Coalition of Asia Pacific Tobacco Harm Reduction Advocates (CAPHRA) appealed to the Philippines’ Department of Health (DOH) to represent Filipino consumers at the 11th Conference of the Parties (COP11) to the WHO Framework Convention on Tobacco Control (FCTC), scheduled to begin November 17 in Geneva. In a letter to Health Secretary Teodoro J. Herbosa, CAPHRA said consumers have been excluded from FCTC discussions for 20 years. Philippine representative Clarisse Virgino stressed that millions of Filipinos have shifted from smoking to regulated alternatives such as vapes and heated tobacco, demonstrating that harm reduction works.

    CAPHRA pointed to the Vaporized Nicotine and Non-Nicotine Products Regulation Act, enacted in 2022, as a model for risk-proportionate, science-based regulation. The group urged the DOH to recognize harm reduction as a public health pillar, share Filipino consumers’ success stories with COP11 delegates, and advocate for greater consumer and scientific participation in global tobacco policy.

    Virgino said the Philippines could show regional leadership by promoting inclusive, evidence-based policies as several Asia-Pacific nations, including Thailand, Malaysia, and Singapore, tighten vaping regulations.

  • Philippines Busts Illegal Cigarette Factory, Rescues 11 Workers

    Philippines Busts Illegal Cigarette Factory, Rescues 11 Workers

    Authorities in the Philippines raided an alleged illegal cigarette factory in Trece Martires City, arresting two individuals and “rescuing” 11 workers, including a 17-year-old, the Philippine National Police (PNP) said. The operation targeted a facility operating out of a supposed leisure park. The suspects allegedly recruited workers from poor communities in the Visayas and Mindanao to produce counterfeit cigarettes under “questionable working conditions.”

    The rescued workers are reportedly being investigated for labor law violations, while the arrested individuals were taken to the police station for documentation. The PNP emphasized its commitment to dismantling trafficking networks and ensuring safe, dignified employment, in line with broader government efforts.

  • Philippine Tobacco Growers Call for Stronger Action Against Smuggling

    Philippine Tobacco Growers Call for Stronger Action Against Smuggling

    The Philippine Tobacco Growers Association (PTGA) urged its government to step up enforcement against illegal cigarette trade, warning that smuggling is siphoning income from farmers and threatening one of the country’s key agricultural sectors. PTGA President Saturnino Distor said each illegal product sold in the market represents lost revenue for hardworking Filipino tobacco farmers, totaling P1 billion ($17 million)—or P17,000 ($289) for each of the organization’s 59,000 members.

    Industry data indicates illegal cigarettes sell for as low as P2 ($0.03) per stick, compared to P7 ($0.12) for legal products, fueling black-market growth and increasing accessibility to minors. This year, around 11.8 billion sticks of illegal cigarettes are expected to be sold in the Philippines, representing roughly 9.4 million kilos of tobacco that could have been sourced from local farms. At an average farmgate price of P104.09 ($1.77) per kilo, farmers have already lost P978.4 million ($16.6 million) in income.

    Distor also highlighted the broader impact on the industry, affecting transport workers, factory employees, and small retailers, while the government loses an estimated P40 billion ($680 million) in excise tax revenue annually. Despite the 2024 Anti-Agricultural Economic Sabotage Law, enforcement remains weak. “Farmers are not asking for special treatment,” Distor said. “We are asking for protection, for fairness, and for a chance to keep farming and feeding our families.”

  • Philippine Harm Reduction Advocates Push for Smoke-Free Future

    Philippine Harm Reduction Advocates Push for Smoke-Free Future

    Advocates of tobacco harm reduction in the Philippines signed a joint manifesto Wednesday (October 15) calling for multi-sectoral collaboration and greater access to science-based alternatives to help reduce smoking-related harm. The signing, held in Mandaluyong City, brought together representatives from groups including the Nicotine Consumers Union of the Philippines (NCUP), Smokefree Conversations PH, Quit for Good, and the Philippine E-Cigarette Industry Association.

    The manifesto urged policymakers to empower adult smokers with better choices rather than continuing to rely solely on tobacco products, describing harm reduction as a “lifeline” for those unable to quit. It also called for the defense of the country’s Vape Law (RA 11900) that regulates vaporized nicotine and non-nicotine products as a legitimate public health measure.

    Advocates said adult smoking rates rose to 23.3% in 2023, underscoring the need for alternatives. NCUP founder Anton Israel emphasized the importance of educating the public about the difference between traditional tobacco and vaping products, adding that while vaping is not risk-free, it can be a less harmful step toward quitting smoking.

  • Illicit Cigarettes Still Increasing in Philippines

    Illicit Cigarettes Still Increasing in Philippines

    Illicit cigarettes in the Philippines are still on the rise, according to PhilStar. The latest market survey shows that illicit cigarettes can be bought for PHP3 to PHP4 ($0.05 to $0.06) per stick. The lowest priced legal brand is PHP7 per stick.

    One of every five cigarettes sold comes from an illegal source. Illicit cigarette trade was 7.4 percent of total volumes in 2021, and in 2025, illicit cigarette trade is at 20.9 percent. Smoking prevalence has also increased from 18.5 percent of adults in 2021 to 23.2 percent in 2025. Youth smoking has doubled from 2.3 percent to 4.8 percent.

    The Philippines Bureau of Internal Revenue estimates that the country loses at least PHP50 billion annually from smuggling and illegal manufacturing.

    Legal cigarette production dropped from 62.6 billion sticks in 2021 to 39.1 billion in 2025.

    According to PhilStar, illicit cigarettes contain harmful chemicals like cadmium, lead, and contaminants like insect parts and human waste. Counterfeit “tuklaw” cigarettes contain synthetic cannabinoids, which have led to severe health issues.

  • Philippine Health Group Warns Against Tobacco Industry ‘Greenwashing’

    Philippine Health Group Warns Against Tobacco Industry ‘Greenwashing’

    On International Coastal Cleanup Day (September 20), advocacy group HealthJustice Philippines urged the government to reject “greenwashing” efforts by the tobacco industry and to end all forms of engagement with it, citing its harm to both health and the environment. The group suggested studies show 4.5 trillion cigarette butts are discarded annually globally, making them the world’s most abundant form of plastic waste.

    HealthJustice president Mary Ann Mendoza accused the industry of using corporate social responsibility projects, such as donations, tree-planting, and cleanup drives, to create a “false image” of environmental advocacy despite tobacco’s damaging impact. “These cannot be regarded as genuine acts of social responsibility, as tobacco products are inherently harmful and provide no societal benefit,” she said, also drawing parallels with ultra-processed food companies.

  • Philippines Seizes $10.9M Cigarettes in Bulacan

    Philippines Seizes $10.9M Cigarettes in Bulacan

    The Philippines’ Bureau of Customs (BOC) seized ₱605.3 million ($10.9 million) worth of smuggled cigarettes imported from China and Vietnam during a raid on a warehouse in Plaridel, Bulacan. Authorities confiscated 8,647 master cases of cigarettes that had bypassed customs inspection. Three people—the warehouse owner, a driver, and a helper—were arrested.

    Assistant Commissioner Vincent Maronilla said such products are usually distributed in provincial areas, and that the investigation continues to see how the illegal products made it into the country. The cigarettes will be destroyed under standard procedures, while criminal complaints will be filed against the warehouse proprietor.

  • Philippines Facing $720M Loss from Illicit Tobacco Trade

    Philippines Facing $720M Loss from Illicit Tobacco Trade

    The Philippine Tobacco Institute (PTI) warned that the proliferation of illicit cigarettes is costing the government over ₱40 billion ($720 million) annually in lost excise taxes while undermining public health by making cheap tobacco more accessible, especially to minors. PTI president Jericho Nograles said these unregulated products evade taxes, use expired or fake BIR stamps, and fail to meet quality standards, exposing consumers to health risks. The group urged the public to buy only cigarettes with valid tax stamps and report products sold below the legal price floor.

    Japan Tobacco International Philippines said high taxes have widened the price gap, driving demand for smuggled products. Meanwhile, the Bureau of Internal Revenue has filed 75 tax evasion cases worth ₱711.3 million ($12.8 million) against vape retailers and is pushing for expanded powers to shut down violators.

  • Philippines to Use Tobacco Products to Raise More Tax Money in 2026

    Philippines to Use Tobacco Products to Raise More Tax Money in 2026

    The Philippines’ Bureau of Internal Revenue (BIR) is looking to increase excise tax collections by 9.35% in 2026, mainly driven by tobacco products. In the 2026 Budget of Expenditures and Sources of Financing (BESF), the government is set to collect P359.65 billion ($6.1 billion) in excise taxes on selected goods, including P166.57 billion ($2.8 billion) from tobacco products.

    BIR Commissioner Romeo D. Lumagui, Jr. said in addition to Health department’s campaign to discourage tobacco use, the government loses an estimated P114 billion ($2 billion) in revenues due to illicit tobacco trade. He said illicit tobacco manufacturers are using economic zones to avoid paying excise taxes even though the products are sold in the Philippines.

    “If it’s meant for export and not for local consumption, there’s no excise tax,” Lumagui said. “It’s being manufactured here in the ecozones. That’s what they’re trying to show — that the license they’re getting is for exporting all these products.”