Tobacco company eyes partnership with Ilocos Norte farmers

By Leilanie G. Adriano

Staff reporter

LAOAG CITY—Amidst the implementation of the sin tax law, a multi-national tobacco company is ready to expand to a bigger market and partner with Ilocos Norte farmers to plant tobacco.

Edwin Cariño, head of the Sustainable Development Center under the provincial government confirmed this as he reported the management of the Universal Leaf Philippines Inc. (ULPI) is set to visit Ilocos Norte to discuss the possible partnership agreement with Ilocos Norte Gov. Ma. Imelda Josefa “Imee” R. Marcos.

“We are expecting the top executives of ULPI represented by its president Winston Wi or the vice president Erwin Ang to meet with our governor in the upcoming week,” said Mr. Cariño.

According to Mr. Cariño, ULPI is interested to enter into a contract growing scheme with tobacco farmers here.

Under the contract growing scheme, he explained ULPI will assure tobacco farmers that they have a ready market for their products. They will also provide both technical and financial assistance to them.

In 2012, the government enacted Republic Act No. 10351, more commonly known as the sin tax law, which aims to curb the incidence of smoking in the country, by making cigarettes more expensive through higher taxes on cigarette manufacturers. 

It means simplified cigarette taxes by imposing a single PHP30 tax for every pack of cigarettes, regardless of brand.

The single tax rate took effect in January 2016 with a four percent increase annually.

Earlier, the National Tobacco Administration has conducted a series of consultations and dialogues to formulate a roadmap for the tobacco industry.

The roadmap shall serve as a basis of NTA in effecting policies and implementing programs for the benefit of the 65,000 registered tobacco farmers in the country and those that depend on the industry for livelihood.