REPRESENTATIVE Miro Quimbo, Chair of the House Committee on Ways and Means, led an investigation today exposing the alarming rise in contraband cigarettes, which he likened to the “new POGO” due to its scale and criminal nature. The illicit tobacco trade is costing the government billions in lost revenue and endangering public health, particularly among young people.
Rep. Quimbo filed House Resolution 636 following the interception of 32 trucks loaded with contraband cigarettes at the start of the year. The coordinated operations in Batangas and Malabon yielded products valued at approximately Php 2.6 billion, representing nearly Php 1 billion in excise tax losses.
Quimbo stated that the illicit tobacco trade now operates as a three-pronged menace through direct smuggling, transshipment, and illegal manufacturing, relying on coordinated cross-border supply chains, covert production facilities, and networks that thrive on protection and facilitation.
Rep. Quimbo also highlighted the grave public health implications, citing data from the Food and Nutrition Research Institute (FNRI) of DOST showing that youth smoking prevalence nearly doubled from 2.3 percent in 2021 to 4.8 percent in 2023, even as excise tax collections from cigarettes declined. He noted that cheap contraband cigarettes are making it more accessible to the youth and the poor.
From December 2025 to February 2026, law enforcement agencies seized 782.1 million contraband cigarette sticks, amounting to P1.84 billion in foregone revenues.
Rep. Quimbo emphasized that the inquiry aims to identify where the system is breaking down and review current enforcement tools, penalties, and inter-agency coordination. He said that the House of Representatives will assess whether current measures are sufficient to deter large-scale operators.
Quimbo stressed the need to consolidate government efforts to combat illicit trade, stating that current initiatives are scattered and resemble a headless chicken. He concluded that the illicit tobacco trade, involving foreign nationals and Filipino protectors, lacking taxes, harming health, and fostering criminality, has become the “new POGO.”
