CITY OF SAN FERNANDO, Pampanga — The Bureau of Customs (BOC) and the Department of the Interior and Local Government (DILG) shut down four illegal cigarette factories in Pampanga and seized ₱275 million worth of illicit tobacco products, machinery, and raw materials.
The coordinated operations were carried out from January 29 to February 14 and targeted warehouses and production sites in the City of San Fernando, and Mexico and San Simon towns.
Authorities said the near-simultaneous shutdown of the facilities points to a single syndicate behind the operations.
These operations are in line with President Ferdinand R. Marcos Jr.’s directive to protect government revenues and uphold the integrity of the tobacco industry and the local manufacturing sector..
BOC Commissioner Ariel F. Nepomuceno said intelligence-driven enforcement will continue to ensure accountability of all those involved in the scheme.
He added that with strengthened inter-agency coordination between the DILG, BOC, and other enforcement units, illicit tobacco activities will be relentlessly pursued and dismantled.

Seizures included approximately ₱160 million worth of dried tobacco leaves, recycled cigarettes, cigarette filters bearing the brand markings ‘Chungwa’ and ‘Fort,’ and other manufacturing materials from a warehouse in Mexico, Pampanga.
In a separate warehouse in San Simon, authorities confiscated raw and processed tobacco materials branded ‘Modern,’ cigarette-making and packing machines, packaging materials, and related equipment valued at around ₱115 million.
Earlier, a DILG-led operation in the City of San Fernando recovered cigarette packing components, boxes of ‘Playboy’ cigarettes, and other manufacturing paraphernalia believed linked to the same network.
DILG Secretary Juanito Victor C. Remulla Jr. stressed that illegal tobacco remains a serious national problem, draining resources crucial for public services.

“In 2025 alone, the government lost approximately ₱30 billion in revenues intended for public healthcare due to illicit tobacco,” he said, stressing that close collaboration and real-time intelligence sharing among agencies are critical in dismantling organized illegal manufacturing operations.
Authorities said the factories operated without valid permits and produced unregistered tobacco products not listed under the National Tobacco Administration or approved by the Food and Drug Administration.
Counterfeit Bureau of Internal Revenue tax stamps were also recovered at the warehouses.
Legal cases are being prepared under the National Internal Revenue Code, the Anti-Agricultural Economic Sabotage Act of 2024, the Customs Modernization and Tariff Act, the Consumer Act, and environmental laws.
Officials said enforcement operations will continue as part of the administration’s broader campaign to protect public health, legitimate businesses, and government revenues from illicit trade. (CLJD/MJSC, PIA Region 3-Pampanga)



