BUREAU of Internal Revenue (BIR) Commissioner Romeo D. Lumagui, Jr. on Tuesday gave a preliminary estimate for Philippine tobacco revenue at $7.3 billion in 2024.
“The Philippines, as one of Asia’s developing economies, is home to an active tobacco industry, whose revenues are projected to reach $7.3 billion in 2024,” Mr. Lumagui said in a speech during the 2nd International Tobacco Agricultural Summit.
The tobacco industry itself is projected to grow 2.67% annually between 2024 and 2029, he added.
He said the “strong potential” for revenue has attracted illicit industry entrants.
“Such exploitation is behind the illicit trade in tobacco products, which has been exposed as a major scourge of the economy,” he said.
Illicit tobacco products are substandard and threaten the public’s well-being while unfairly competing with legitimate enterprises.
He cited operations that led to the confiscation of illicit cigarettes valued at P252 million and P17.9 million in separate Davao City raids.
Mr. Lumagui noted the dramatic rise in popularity of vaping, “due in part to the glamor attached to this new form of smoking by its prevalence among celebrities.” — Aubrey Rose A. Inosante