Administrator and CEO Belinda S. Sanchez said that the NTA’s extension workers have already checked the trading equipment and facilities of the two biggest tobacco trading outlets in the Ilocos region before the end of February.

The assigned NTA field workers have sealed all the weighing scales of the buying stations upon calibration using the weighing test certified by the Department of Science and Technology (DOST). Weighing scales of the accredited field canvassers were also calibrated. This is to ensure the accuracy of the weighing of all tobacco leaves brought about by the farmers to the trading centers.

Tobacco farmers, who planted tobacco as early as the last week of November 2024, have started delivering their flue-cured Virginia tobacco to the trading centers as it would take 60 days after transplanting before the first harvest of the matured tobacco leaves.

Trading warehouses of the Universal Leaf Philippines, Inc (ULPI) in Agoo, La Union; Candon City and Cabugao, both in Ilocos Sur; Currimao, Ilocos Norte; and Bangued, Abra; and the warehouse of Trans Manila Incorporated (TMI) in San Juan, Ilocos Sur, are now open to accommodate all the flue-cured Virginia tobacco leaves produced by the farmers.

To make the farmers be fully satisfied in dealing with their tobacco products in the buying stations, the assisting NTA extension workers will ensure that they (farmers) achieved the 4Ps in tobacco trading, which stands for “proper weighing, proper grading, proper documentation and prompt payment.”

At the start of the 2025 tobacco trading operations, trading centers purchased a kilo of prime class of flue-cured tobacco at P107.00 while field canvassers in the first district of Ilocos Sur bought the same class of cured tobacco as high as P125.00 per kilo.

With this development, Administrator Sanchez expects another golden season for tobacco farmers this year as the current tobacco buying prices are much higher than the approved tobacco floor prices during the tripartite conference in October 2023.

The approved tobacco floor prices of classes of all types of tobacco for this season are as follows: For flu-cured Virginia tobacco: Class AA – P97; A – P96; B – P95; C – P93; D – P85; E – P84; F1 – P75; F2 – 72 and R – P61. For Burley tobacco: Class A – P81; B – P78; C – P69; D – P58; E – P57; F – P49; and R – P39. For Native tobacco: High Grade – P81; Medium 1 – P70; Medium2 – P60; Low 1 –P50; and Low 2 – P38. 

In the actual buying operations, the traders and the field canvassers usually purchase the tobacco leaves produced by the farmers at a price higher than the approved floor prices. (Freddie G. Lazaro/DA -NTA)

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The National Tobacco Administration (NTA) supported a call for unified actions and stronger regulatory measures to combat the illicit trade of tobacco and vape products.

This is the agency’s response to a call for stronger regulatory measures and a unified stance against reported irregularities in the tobacco and vape industries during the recent hearing of the Senate Blue Ribbon Committee chaired by Senator Pia Cayetano.

NTA Administrator and CEO Belinda S. Sanchez said that a coordinated approach and comprehensive regulatory initiatives will help mitigate the impact of illicit trade ensuring a secure environment for the tobacco industry.

She also said that strengthened national policies, enhanced regional cooperation, improved enforcement mechanisms, and increased public awareness are needed against illicit tobacco trade.

As one of the government’s regulatory agencies, the NTA has maximized its regulatory functions to help end illegal cigarette manufacturing and trading in the country.

To boost awareness of the ill – effects of tobacco smuggling, the NTA has conducted various communication campaign activities such as the distribution of posters, webinars, fora, and audio-video – presentations on social media and the agency’s radio program.

“The illicit tobacco trade is a significant challenge, adversely impacting government revenues, public health, national security, and the livelihoods of the Filipino farmers,” she said.

At present, there are 2.2 million Filipinos who are financially dependent on tobacco including more than 430,000 farmers, farm workers, and their family members.

In the latest monitor of the NTA, it has been observed the high prevalence of illicit tobacco trade in Central Luzon and the rampant proliferation of illegal cigarettes in Mindanao. Many of the cigarettes that were previously confiscated were smuggled, illicit whites with no tax stamps, no Graphic Health Warnings, and unregistered brands.

The occurrence of illicit tobacco trade has caused a gradual decrease in revenue collection by the national government as it incurred a loss of up to P100 billion annually, according to the estimates of the Bureau of Internal Revenue (BIR).

Based on the estimates of the 2023 Euromonitor Report, the rising trend of the illicit tobacco trade and vape products contributed to the decline of legal tobacco products by 35.2% from Calendar Years (CYs) 2019 to 2023. Likewise, the national government was deprived of the collection of excise tax in the amount of P109 billion as compared to the projected collection of P244 billion for CY 2023.

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The National Tobacco Administration (NTA) has distributed the Gulayan at Manukan sa Barangay (GMB) project to 2,224 tobacco farmers nationwide for the calendar year 2024.  

NTA Administrator and CEO Belinda S. Sanchez said the initiative aims to provide additional livelihood and augment the income of the tobacco farmers.

A total of P16.6 million fund was allotted by the NTA for the project equally divided among the eight branch offices with 278 farmer–recipients each. The beneficiaries must be in good standing and registered farmers under the Tobacco Contract Growing System (TCGS) program.

The GMB project is in line with the agenda of President Ferdinand “Bongbong” Marcos Jr., which is the “Food for All Projects” focusing on increasing the productivity of agriculture and fisheries and bringing down the cost of food through cooperatives, modernization, and value chain development.

The project is also one of the agency’s livelihood assistance programs, which enhances the productivity of tobacco farmers and helps ensure food availability, accessibility, and affordability.

The projects will enable the tobacco farmer-beneficiaries to produce their food, improving access to affordable, safe, and nutritious meals; providing alternative livelihoods as additional sources of income; and promoting sustainable agriculture by encouraging other farmers to adopt diversified farming practices.

In a meeting of the NTA governing board, Agriculture Undersecretary Deogracias Victor B. Savellano discussed the strengthening of the GMB project.

Usec. Savellano urged the agency’s technical experts to develop a proposal for the establishment of a multiplier farm for the hatching of free–range chicks for distribution to the GMB recipients.

“We also need to boost our technical and other support assistance to the GMB beneficiaries for the increase of the quality production on high-value commercial (HVC) vegetables for local consumption and exports,” said Savellano.

He recommended an increase in the production of mungo beans considering its high export potential.

The GMB is composed of “pinakbet” or leguminous vegetables and other varieties common within the locality. Seeds, fertilizers, and crop protection agents will be provided free for the recipients, while the other inputs like land and labor will be the equity of the farmer.

For the “manukan” project, broiler chicken will be distributed to the farmer cooperators.

The NTA branch office will procure and distribute all the inputs for the projects and will assist the recipients in the marketing of their products.

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The National Tobacco Administration (NTA) started the nationwide distribution of the P100 million tobacco production grants to 16,666 qualified farmers for the cropping season 2024 – 2025.

NTA Administrator and Chief Executive Officer (CEO) Belinda S. Sanchez led the giving of the tobacco production grant in Mindanao with Deputy Administrator for Operations (DAOP) Nestor C. Casela and NTA – Ilocos Norte Manager Randy I. Abella on December 12 – 13 at the towns of Gitagum and Laguindingan, both in Misamis Oriental province.

For the Mindanao area, 1,666 tobacco farmers were identified as recipients of the P6,000.00 grant from the provinces of Misamis Oriental, Agusan Del Sur, Zamboanga Sibugay, North Cotabato and Maguindano Del Sur, and Negros Oriental in Visayas. These provinces are notable producers of high-quality native-type tobacco in the southern part of the country.

The distribution of the cash grant to qualified tobacco farmers in all the NTA branch offices in the Luzon area is ongoing. The breakdown of the recipients is as follows: Abra – 992 tobacco farmers; Batac (Ilocos Norte) – 2,778 farmers; Cagayan – 700 farmers; Candon (Ilocos Sur) – 2,573 farmers; Isabela – 2,925; La Union – 1,667; Pangasinan – 1,765; and Vigan (Ilocos Sur) – 1,600.

The recipients must be NTA-registered tobacco farmers personally tilling a tobacco farm for cropping years 2023 – 2024 and 2024 – 2025 with one hectare and below for the farmers under NTA’s Tobacco Contract Growing System (TCGS) program or non-TCGS farmers growing tobacco in a .5 hectare and below land area.

Mindanao tobacco farmer leader Sonny Salvan, the president of the Federation of Gitagum Farmers Association in Misamis Oriental, expressed his gratitude to the NTA and the national government for providing P6,000.00 in assistance to the tobacco farmers in his town.

“The cash subsidy will bring relief for our smallholder – tobacco farmers from the high prices of farm inputs,” said Salvan, whose group comprises 11 barangay farmers association of Gitagum with 389 qualified grant recipients.

Gitagum town councilor Edwin Nestal said the cash grant was valuable to their tobacco farmers as this would augment the assistance (they) received from their local government unit (LGU) through their tobacco excise tax share.

Laguindingan town Mayor Diosdado T. Obsioma also thanked the national government, particularly the NTA, for giving cash assistance to their tobacco farmers.

Mayor Obsioma cited the tobacco farmers as “new heroes” in his town due to their contribution to increasing tobacco production, which led to the rise of their excise tax share. He said the increase in their share from the tobacco excise tax is instrumental in upgrading his town’s income reclassification from 5th class to 2nd class.

Agriculture Undersecretary Deogracias Victor B. Savellano said the giving- out of production grant to the tobacco farmers was realized by the administration of President Ferdinand R. Marcos, Jr. through Agriculture Secretary Francisco P. Tiu Laurel, Jr. and to the NTA to enhance the production of quality tobacco as the industry remains one of the strongest pillars of the country’s economy contributing 1% of the Gross Domestic Product (GDP) and 6% of the overall annual tax revenue collection.

Under Republic Act Nos. 7171 (for Virginia) and 8240 (for Burley and Native), tobacco-producing – LGUs gather their share from tobacco excise tax collections based on the volume of leaves produced by the local tobacco farmers. The national government obtains the biggest share from the excise tax collection to fund its universal health care program. (Freddie G. Lazaro/DA- NTA)

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The National Tobacco Administration (NTA) has adopted drone technology to map tobacco plantations nationwide, marking a significant milestone in the agency’s efforts to enhance its regulatory programs.

NTA Administrator and CEO Belinda S. Sanchez said the agency embraced the technology as part of the ongoing digitalization program to validate the actual areas planted with tobacco by the farmer–partners.

Each of the eight branch offices of the agency was provided with one unit of DJI Mavic 3 Enterprise Drone and another drone unit was given to the Farm Technology and Services Department (FTSD).

The drone supplier, through the FTSD, conducted a series of training sessions on basic operations, safety, and maintenance of the equipment, including data processing. Three staff members from each branch office completed the training in December 2023 and March 2024.

NTA oversight official, Undersecretary Deogracias Victor B. Savellano cited that the initiative is in line with the agriculture modernization and digitalization agenda of Secretary Francisco P. Tiu Laurel, Jr.

Both, NTA Deputy Administrator for Operations (DAOP) Nestor C. Casela and Deputy Administrator for Support Services (DASS) Benedicto M. Savellano said the drone technology demonstrated innovation and efficiency, enhanced the NTA’s regulatory capabilities, and ensured fairness in the area validation of the actual tobacco plantations.

With the high-resolution aerial imaging and geospatial analysis captured by drones, the area of the tobacco plantations will accurately measure and become the basis for the computation of the volume of production.

Farmer leader Bernard R. Vicente, the re-elected president of the National Federation of Tobacco Farmers Association and Cooperatives (NAFTAC), hailed the NTA’s utilization of drone technology saying it is a faster and more accurate validation of the area planted with tobacco.

For Cropping Year 2023 – 2024, FTSD Manager Juanito Maloom said that 100% of the areas planted with all types of tobacco in Luzon were validated through drone technology. Among the types of tobacco planted in the area were Virginia, Burley, and Native.

A total of 22,073.09 hectares planted with tobacco by 36,102 farmers in Luzon were validated through drone technology for CY 2023 – 2024.

The NTA started working on the area validation of tobacco plantations in Mindanao using drone technology.

Two NTA staff, Senior Science Research Specialist Kenneth Russell L. Tannaval, and Project Evaluation Officer John James Canosa, successfully held a re-echo training on drone operations at the NTA Mindanao Outreach Office in Laguindingan, Misamis Oriental on November 25- 28, 2024.

Eight NTA Mindanao staff and three personnel from LGU – Laguindingan have completed the training highlighted with theoretical operations of the drone equipment including its maintenance and safety, and the actual operations and simulation exercises in the aerial mapping of the tobacco plantations in Barangays C.P. Garcia and Lapad, both in Laguindingan town using the equipment.

The participants also learned about the basic operations of drone equipment, maintenance and component handling, flight control and emergency procedures, aerial photography and videography, and mapping applications.

The training was conducted in anticipation of the procurement of another unit of drone equipment for Mindanao comprising eight native tobacco-producing provinces. (Freddie G. Lazaro/DA – NTA) 

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The National Tobacco Administration (NTA) readied the distribution of the P100 million crop production grant allocated by the national government for the qualified tobacco farmers nationwide for cropping year (CY) 2024 – 2025.

In a recent meeting of the NTA Governing Board, presided over by Agriculture Undersecretary Deogracias Victor B. Savellano with NTA Administrator Belinda S. Sanchez, 16,666 tobacco farmers were identified as recipients of free cash assistance amounting to P6,000.00 each on or before December 15, 2024.

“The giving of production assistance for our tobacco farmers is realized under the administration of President Ferdinand R. Marcos, Jr. through Agriculture Secretary Francisco P. Tiu Laurel, Jr. and the NTA to enhance the production of quality tobacco considering that the tobacco industry remains one of the strongest pillars of the country’s economy contributing 1% of the Gross Domestic Product (GDP) and 6% of the overall annual tax revenue collections,” Usec. Savellano said.

The recipients were identified by the NTA branch offices based on the guidelines set and approved by the NTA Governing Board.

Of the total recipients of the assistance, 9,055 are farmers listed under the NTA’s Tobacco Contract Growing System (TCGS) program, and 7,611 are non-TCGS farmers.

The TCGS farmer-recipients should have planted tobacco in one hectare of farmland and below, while the non- TCGS farmer – recipients must have grown tobacco in a half-hectare farmland and below, both for cropping years 2023 – 2024 and 2024 – 2025.

The beneficiaries must also be NTA-registered tobacco farmers personally tilling a tobacco farm, capable of providing adequate labor to attend to all activities in quality tobacco production, able to provide basic farm tools and equipment, such as plow, harrow, sprayer, work animal, irrigation pump, and curing bar/air curing shed, and should have adequate sources of good quality irrigation water and desirable for tobacco production.

Before the grant’s actual distribution, the NTA branch offices will ensure that the recipients will meet all the requirements and surely plant tobacco this coming planting season.  

The number of recipients of the cash aid per NTA branch office follows Abra – 992 tobacco farmers; Batac (Ilocos Norte) – 2,778 farmers; Cagayan – 700 farmers; Candon (Ilocos Sur) – 2,573 farmers; Isabela – 2,925; La Union – 1,667; Mindanao – 1,666; Pangasinan – 1,765; and Vigan (Ilocos Sur) – 1,600.

The NTA started giving P6,000.00 free production assistance to qualified tobacco farmers in the cropping year 2023 – 2024. The grant funded through the General Appropriation Act (GAA) aims to augment the production support being extended by Buying Firms, Local Government Units (LGUs), and Farmer Cooperatives to the tobacco farmers to enhance quality tobacco production that eventually helps them increase their income. (Freddie G. Lazaro/DA- NTA)

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Agriculture Undersecretary Deogracias Victor B. Savellano is pushing the strengthening of the marketing plan of the National Tobacco Administration (NTA) to increase the demand for locally–produced tobacco both in the local and international markets.

Savellano, who is the oversight official of the NTA, presided over the recent regular meeting of the agency’s Governing Board with Administrator and CEO Belinda S. Sanchez to tackle the status of the marketing updates of the locally – produced tobacco.

The initiative is in line with the agenda of DA Secretary Francisco P. Tiu Laurel, Jr. on expanding market access of crops supporting the economic agenda of President Ferdinand R. Marcos, Jr. protecting the purchasing power of every Filipino family to ensure food security.

Atty. Rohbert Ambros, the manager of the Regulation Department, reported that for Calendar Year 2023, the country had exported a total of 20, 748, 023.15 kilograms of unmanufactured tobacco products to different countries abroad.

Unmanufactured tobacco products refer to the processed tobacco leaves for use in the manufacturing of cigarettes and other tobacco products.

The locally–produced tobacco type with the highest volume of exports was Native tobacco with 9,218,053.80 kilograms followed by Virginia tobacco with 4,660, 910 kilograms, Burley tobacco with 2,028,200 kilograms, and 4,840,859.35 kilograms from other tobacco products such as scrap, stems, expanded sample, cast leaf, cut rag, seeds, and dust.

The top five countries exporting destinations of the unmanufactured Philippine tobacco were the Dominican Republic, Belgium, Indonesia, the Philippines (referring to the foreign tobacco manufacturers based in the country), and the USA.

Meanwhile, the top five importing countries of unmanufactured tobacco were the Dominican Republic, Belgium, Indonesia, the Philippines (also referring to the foreign tobacco manufacturers based in the country), and the USA.

For 2023, the volume of imported unmanufactured tobacco to the country was 50, 844, 034.34 kilograms with the following distribution per tobacco type: Virginia tobacco – 22,072,425.80 kilograms; Burley tobacco – 7,568,643 kilograms; Native tobacco – 64,109.80 kilograms; and other products – 18,311,443.64 kilograms. However, it was reported the comparable quality of all types of locally – produced tobacco to other countries all over the world.

“Considering the great potential of the locally- produced tobacco in the world market, I’m urging the NTA marketing research unit to explore more tobacco export outlets and for possible increase in the contract volume of tobacco exports maximizing the existing Department of Agriculture’s international relations,” said Usec. Savellano.

“The hike on the volume of tobacco exports will increase the demand for Philippine tobacco bringing more revenues to the government’s coffer and more income to the tobacco farmers,” Savellano added.

The country’s tobacco industry is one of the strongest pillars of the country’s economy with tobacco excise tax revenue comprising 1% of the Gross Domestic Product (GDP) and 6% of the overall annual tax revenue collections.

For CY 2023, the BIR collected P132 billion of excise tax on locally- manufactured Virginia–type cigarettes. Fifty – two percent or P68.37 billion of the tobacco excise tax collected was allocated for Universal Health Care and Medical Assistance and Health Facilities. Sixteen percent or P21 billion is earmarked for the development of the tobacco industry pursuant to RA Nos. 7171 and 8240 as amended by RA 10351. Twenty – five percent or P32 billion to the national government/IRA/BIR. The remaining 7% or P9.7 billion was credited to the Special Account under the General Fund of the NTA under RA 4155. (Freddie G. Lazaro/DA- NTA)

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The National Tobacco Administration (NTA) has been recognized for its outstanding commitment to transparency, receiving the 2024 Freedom of Information (FOI) Rising Star Award.

Administrator and CEO Belinda S. Sanchez personally received the award with NTA FOI Focal Person Freddie G. Lazaro and Public Relations Officer III Melanie R. Parel in a ceremony held at the Hilton Manila, Newport Boulevard, Pasay City on Monday, Nov. 25. In the same occasion, Lazaro also awarded as Best FOI Officer for CY 2024.

Administrator Sanchez expressed her gratitude to the Presidential Communications Office – Freedom of Information – Project Management Office (PCO – FOI PMO) for conferring the award on NTA as a testament to the agency’s dedication to transparency and accountability.

She also shared the award with the FOI team members and all the NTA staff, who worked tirelessly to ensure seamless information disclosure and citizen engagement.

She vowed the agency’s continuing innovation to uphold the principles of FOI and ensure stakeholders’ access to accurate and timely information.

The FOI Rising Star Award is given to government agencies that have demonstrated significant improvements in their FOI compliance and have promoted a culture of transparency within their organizations.

The FOI award was presented by the PCO – FOI PMO in the annual gathering of leading FOI practitioners and champions from the government and non-government sectors. The award aimed to recognize the contribution of key implementers in the overall implementation of the FOI program.

Aside from the 2024 FOI Rising Star Awards and 2024 Best FOI Officer Awards, the PCO – FOI PMO also conferred the award for the FOI champion winners under the Local Water Districts category, State University and Colleges category, GOCC category, Agencies/Bureaus/Commissions/Councils category, Department category, and the FOI commitment to excellence award.

The PCO-FOI PMO also gave special awards to the new Local Government Units (LGUs) that passed their FOI Ordinance, the top requested and performing agencies in the eFOI portal, and the lawmakers, who continue working on the passage of the FOI law in Congress.

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Tobacco farmers are selling at high prices in buying stations their produced flue-cured Virginia tobacco leaves, and the air-cured Burley and Native tobacco leaves this season.

Based on the latest NTA monitoring of tobacco trading operations, the buying price per kilogram of the prime class of tobacco or Class AA of the flue-cured Virginia tobacco has reached as high as P120.00, which is higher than the approved floor price of P97.00.

The buying price on the prime class of both air-cured Burley-type tobacco and Native–type tobacco is expected to reach up to P100.00 per kilogram, which is higher than the approved P81.00 floor price.

Considering the increasing trend in the actual buying price of tobacco, NTA Administrator Belinda S. Sanchez said the tobacco farmers will earn a lucrative income this season.

“The tobacco buying price increase reflects market demand and crop quality as well as the presence of good weather and the increase of floor prices,” said Administrator Sanchez.

The more income the farmers earn will boost their purchasing power to buy their foods and other basic needs in their household,” she added.

The trading for flue-cured Virginia tobacco started in February until June this year. Tobacco traders such as Universal Leaf Philippines, Inc (ULPI), Trans Manila Incorporated (TMI), and ConLeaf have opened buying stations in the provinces of Ilocos Norte, Ilocos Sur, La Union, and Abra. Aside from the tobacco traders, there are also NTA-accredited field canvassers, who are reaching out the farmers to buy their produced tobacco leaves.

For the air-cured Burley and Native tobacco leaves, its trading operations started on the last week of March until July in the provinces of Ilocos Norte, Ilocos Sur, La Union, Abra, Pangasinan, Isabela, and Cagayan.

The NTA is persistently committed to supervising and managing the implementation of farming technologies and capability enhancement of the farmers for the production of high-quality tobacco leaves.

Through NTA’s intervention coupled with the favorable climatic conditions, Administrator Sanchez expected that the volume of production of all types of tobacco this season will surpass the country’s 42 million kilograms of tobacco production in 2023.

Tobacco farming remains a steady source of income for thousands of Filipino families, providing livelihood opportunities and supporting rural economies. Currently, about 2.2 million Filipinos are financially dependent on tobacco including more than 430,000 farmers, farm workers, and their family members.  The Philippine tobacco industry continues to dominate the agricultural, economic social, and political aspects of the country. Among the non-food crops in the agriculture sector, tobacco has been grown commercially, steadily contributing to the economy and the government’s efforts towards economic growth and recovery.

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