DBM releases P88 million for tobacco industry

MANILA, Philippines — The Department of Budget and Management (DBM) has released P88 million to help boost the local tobacco industry.

Budget Secretary Amenah Pangandaman has approved the release of the notice of cash allocation (NCA) worth P87.63 million to the National Tobacco Administration (NTA) of the Department of Agriculture.

The funding will finance NTA’s second quarter requirements. It also aims to improve the tobacco sector following the call of President Marcos and the Private Sector Advisory Council-Agriculture Sector Group (PSAC-ASG).

Last week, Marcos met with the PSAC-ASG where he ordered the strengthening of efforts against tobacco and vape smuggling.

The private sector also called for the release of government funds as prescribed under the Sustainable Tobacco Enhancement Program to aid in rising smuggling cases.

This year, NTA has an authorized appropriation of P550.5 million.

Of this, P175.28 million has already been issued NCAs to fulfill the requirements for the first semester.

The budget will be used by NTA for its operational needs, sourced from 40 percent of the balance of collections from specific taxes on locally made Virginia-type cigarettes and tariff duties on imported leaf tobacco.

Funds for the NTA shall be charged against the 2024 General Appropriations Act.