Remulla says ‘endemic’ corruption made illicit tobacco trade possible

MANILA, Philippines — Interior secretary Jonvic Remulla has attributed the P141-billion government revenue loss from illegal tobacco trade to the “endemic” corruption in the country, emphasizing that enforcement efforts should target the operators, and not the small ones.

Remulla made this statement during the Third International Tobacco Summit organized by the Department of Agriculture (DA) and the National Tobacco Administration on Thursday.

“Corruption is number one. All of this illicit trade is only possible because corruption is endemic,” Remulla said in his speech.

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READ: DA, other agencies to tackle illicit tobacco trade in summit

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The DA, citing a recent study from the European Union-Association of Southeast Asian Nations Business Council and Euromonitor International, earlier said that the Philippines lost approximately P14 billion in government revenue to illicit tobacco trade between 2024 and 2025. Of this figure, around P118.1 billion went to illicit cigarettes, while P22.9 billion was lost to illegal e-vapor products.

In the same event, Philippine Tobacco Institute president Bayen Elero Tinga citing figures from Euromonitor said that illegal cigarettes have accounted for more than a quarter of the domestic market, noting that the P141 billion was “stolen directly from the public treasury.”

Remulla then said that President Ferdinand Marcos Jr. instructed him and other law enforcement agencies “prosecute to the fullest extent of the law,” adding that dismantling the network of illicit trade should be “pro-poor.”

“I’d rather hit the rich, the foreigners, and the big syndicates than the small people who will be punished,” he expressed.

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With this, Remulla, other government officials, law enforcement agencies, and private stakeholders present in the event called for a “whole-of-government and whole-of-society approach” to tackle the illicit trade as it compromises tax collection, public health, and agricultural livelihoods.

Moreover, former Philippine National Police (PNP) regional director Brig. Gen. Ponce Rogelio Peñones shared that the PNP conducted 8,986 anti-smuggling operations from January to June this year, which resulted in 2,560 arrests and seizure of illicit goods worth P8.63 billion.

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“The true measure of success lies in ensuring that every operation leads to strong evidence-based cases that result in successful prosecution and conviction,” Peñones said. /mr

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