Wednesday, April 8, 2026

NTA takes action to address tobacco trading concerns

As trading for flue-cured Virginia tobacco leaves opens in Region I, including Abra in the Cordillera Administrative Region (CAR), the National Tobacco Administration (NTA) has launched measures to address concerns raised in recent weeks.

 

NTA Administrator and CEO Belinda S. Sanchez said branch offices were instructed to facilitate immediate dialogue between farmers’ groups and tobacco buyers whenever issues arise, particularly those involving grading and pricing.

 

Sanchez acknowledged reports of grading concerns in parts of the Ilocos Region, but emphasized that these were promptly resolved by the concerned NTA branch offices.

 

In La Union, Dr. Giovanni B. Palabay, manager of the NTA La Union branch, said a grading issue raised in the town of Balaoan was settled through dialogue last week.

 

Palabay said the trading center agreed to accept the previously rejected Virginia tobacco leaves, provided these are properly classified.

 

Trading centers operated by Universal Leaf Philippines Inc., Trans Manila Inc., Continental Leaf, and accredited field canvassers across the Ilocos provinces remain open to accommodate farmers’ produce.

 

Sanchez has also scheduled meetings in the coming weeks with local government units (LGUs) producing Virginia tobacco, trading center operators, and farmer leaders amid growing concerns over oversupply and declining demand.

 

The move comes after tobacco-producing LGUs encouraged increased production among farmers, including those without formal marketing agreements with traders.

 

Currently, only about 10,000 of the country’s 45,000 registered tobacco farmers are enrolled in the NTA’s Tobacco Contract Growing System (TCGS), a program designed to ensure a stable and reliable market for contracted growers.

 

To help stabilize the industry, the NTA has rolled out several interventions. The agency has been consulting with tobacco manufacturers and has secured a commitment from one company to increase its local procurement. Discussions with other industry players are continuing.

 

Sanchez reaffirmed the NTA’s commitment to prioritizing farmers’ welfare and urged tobacco manufacturers to increase purchases of locally grown tobacco beginning this 2026 trading season.

She said stronger collaboration among stakeholders will be essential to address current challenges and ensure a sustainable future for the country’s tobacco industry.

 

Administrator Sanchez also advised tobacco farmers to coordinate with their extension workers or report directly to NTA branch offices if they encounter issues during the trading season. (DA–NTA)

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