Farmers hit gov’t ‘sin’ taxation claims

By Freddie G. Lazaro

CANDON CITY — Philippine Tobacco Growers Association (PTGA) members disagreed with Malacañang’s claims that imposing high cigarette taxes will not adversely affect the tobacco industry.

The PTGA said such view has “no basis.” The Association, with some 20,000 tobacco growers from Pangasinan, La Union, Ilocos Sur, Ilocos Norte, Abra, Isabela, Cagayan and Occidental Mindoro provinces, reacted against the declaration of Secretary Ricky Carandang, who was quoted as saying that “the proposed sin tax bill will not have a negative impact on farmers.”

Saturnino Distor, the president of PTGA, asked Palace officials to listen also to their valid concerns raised at the Senate about the plan of the Department of Finance (DOF) to increase cigarette excise taxes by as much as 1,000 percent.

It was noted that the approval of the proposed bill increasing the taxes on cigarettes is still pending with the Senate.

Asked Distor, “How could Malacañang claim that tobacco growers would be unaffected by the DOF proposal to tax low-grade cigarettes by as much as 1,000 percent, when 60 percent of our production are sold and used to produce  low – grade and affordable  cigarette brands?”

He further queried, “Supposing that the proposed hike of cigarettes is approved into law, who else will buy low- grade cigarette if the cost of such cigarettes will be similar to the price of imported high – grade cigarettes?”