Key government agencies to join forces vs illicit tobacco trade in summit

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MANILA, Philippines — Key government and enforcement agencies are set to join forces to combat the growing threat of illicit tobacco trade amid mounting concerns over the proliferation of illegal tobacco and nicotine products in the country and the substantial revenue losses they cause, with authorities emphasizing the need for stronger regional cooperation to address the cross-border nature of the problem.

The Department of Agriculture  and the National Tobacco Administration  will convene the Third International Tobacco Summit, themed “Leveraging Growth, Securing Futures: Enhancing Livelihood and Revenue against Illicit Trade,” reinforcing the country’s commitment as ASEAN chair to elevate efforts against illicit tobacco trade as a key regional priority.

The summit, scheduled on June 18 at Marco Polo Ortigas Manila in Pasig, highlights the urgent need to address the ongoing economic and revenue challenges posed by illicit tobacco trade in the Philippines.

A recent study from the European Union–ASEAN Business Council  and Euromonitor International found that the Philippines lost an estimated P141 billion ($2.46 billion) in revenue to  illicit tobacco trade between 2024 and 2025.

Of the amount, approximately P118.1 billion was lost to illicit cigarettes and P22.9 billion to illegal e-vapor products.

The same report also showed that 85.6 percent of e-vapes sold in the Philippines were illicit, representing the highest share of illegal vape products among Southeast Asian countries, where vaping was legal.

Beyond revenue losses, illicit tobacco trade undermines legitimate agricultural livelihoods, weakens compliance with regulations and erodes fair competition in the market.

“Illicit tobacco trade is not only stealing revenues from the government – it is stealing livelihoods, opportunity and the future of our tobacco-growing communities. This summit is about uniting government and stakeholders behind one clear message: we will protect legitimate farmers, defend lawful trade, and hold illicit operators accountable,” NTA administrator and CEO Belinda Sanchez said.

The summit is expected to highlight the Marcos administration’s commitment to a whole-of-government approach to protect the 2.2 million tobacco farmers and their families, workers and retailers whose livelihoods are threatened by smuggling.

There will also be a ceremonial signing of joint commitment, where top officials from key government agencies will formally pledge to align their strategies against the illicit trade.

The summit brings together government officials, regulators, enforcement agencies and international experts to exchange best practices on combatting illicit trade.