Philippine tobacco policy illustrates limits of tax hikes, economist says
July 21, 2026 by manilastandard.net
Philippine tobacco policy illustrates limits of tax hikes, economist says
Tax hikes can only go so far if they ignore how people and markets respond. The Philippines’ experience shows that making cigarettes more expensive may reduce use for some, but it can also fuel illicit trade when legal products become unaffordable. Tobacco policy needs more than higher taxes; it needs enforcement, consumer insight and lower-risk alternatives that give smokers a realistic way out. A strategy that prices people into the black market is not the same as reducing harm.
19.70% of the adult population are current smokers. There are approximately 16.3 million current smokers in Philippines 35.60% of men are current smokers but only 4.20% of women.
SOURCE: GSTHR
