SAN NARCISO, Zambales (PIA) — House Committee on Bases Conversion Chairman and Zambales 1st District Representative Jefferson Khonghun reaffirmed his commitment to support measures aimed at curbing smuggling activities and safeguarding the well-being of Filipino citizens.
Khonghun stressed that President Ferdinand R. Marcos Jr.’s directive to intensify efforts against the smuggling of tobacco and vape products is a significant step towards protecting public health and upholding the rule of law.
“I commend President Marcos for his decisive action in prioritizing the fight against tobacco and vape product smuggling. This sends a clear message that our government is serious about protecting public health and ensuring the integrity of our markets,” he said.
Khonghun also emphasized the importance of tackling the illicit trade of tobacco and vape products, including the health risks associated with these products and the economic repercussions of smuggling on legitimate businesses and government revenues.
“It is crucial that we address and end the rampant smuggling of tobacco and vape products, which not only poses health hazards to our citizens but also undermines the efforts of legitimate businesses and deprives the government of much-needed revenue,” he stressed.
The Philippine tobacco industry provides livelihood to 2.2 million Filipinos.
Tobacco excise tax makes up four percent of total government revenues or P135 billion in 2023.
“Smuggling in general is not only an economic issue, but is also a form of subversion that encourages lawlessness, promotes syndicated crimes, and erodes economic gains,” Khonghun added.
With this, he called on the concerned departments, including the Department of Finance (DoF) and Department of Trade and Industry (DTI), to help the President put an end to this illegal practice.
He also emphasized the need for a comprehensive approach that involves close cooperation between government agencies, law enforcement, and other stakeholders.
President Marcos recognized the anti-smuggling measures of the government during the 6th Private Sector Advisory Council-Agriculture Sector Group (PSAC-ASG) meeting in Malacañang.
“Enforcement and anti-smuggling and all that. You have to beef them up, and I think we’re doing that,” the President said.
The PSAC-ASG made several recommendations and policy requirements to protect the tobacco industry, including tasking the Department of Budget and Management to release funds as prescribed under Republic Act 4155 for the National Tobacco Authority (NTA) Sustainable Tobacco Enhancement Program (STEP).
It also sought amendments to the Anti-Agri Smuggling Act of 2016 to include tobacco products.
In addition, the PSAC-ASG also wants provisions on minimum retail price and penalties for distributing and selling smuggled products.
It also called on the DTI to set a deadline for the registration of importers and manufacturers of vapor products and the Bureau of Internal Revenue to start imposing tax requirements on tobacco and vapor products.
The government earmarks 50 percent of excise tax collection for Universal Health Care under the Department of Health and Philippine Health Insurance Corporation, as well as for the Health Facilities Enhancement Program. (MJSC/RGP, PIA Region 3-Zambales)
