The National Tobacco Administration (NTA) is urging local government units to intensify efforts against cigarette smuggling, which costs the country billions in lost revenue and threatens millions of livelihoods in the tobacco sector.

The call comes amid continued seizures, including a 17 March operation in Matanog, Maguindanao del Norte where P6.46 million worth of suspected smuggled cigarettes were recovered from a cement mixer truck.

Billions lost

The Bureau of Internal Revenue estimates P40 billion to P52 billion in annual tax losses due to tobacco smuggling.

The NTA said about 2.2 million farmers and workers could be affected.

NTA administrator Belinda S. Sanchez said smuggling undermines revenues, public health, and farmers’ incomes, noting illicit cigarettes sell for as low as P2 to P4 per stick versus P8 for legal products.

Philippine National Police chief Jose Melencio C. Nartatez Jr. said operations are being intensified with partner agencies to dismantle smuggling networks. In late 2025, authorities seized nearly P3 billion worth of illegal cigarettes.

Punishable by life imprisonment

Under the Anti-Agricultural Economic Sabotage Act of 2024, large-scale smuggling is punishable by life imprisonment and heavy fines.

The NTA also warned retailers against selling illicit products, which may lack required health warnings and contain harmful substances. Businesses caught face fines and possible jail time.