Illegal tobacco manufacturing and selling do not just break the law. They take away hospitals, health care, and life-saving services from ordinary Filipinos, the Department of the Interior and Local Government (DILG) said.

According to the DILG, more than P1 billion in taxes meant to fund public health services has been lost because of illegal cigarette operations across the country. This money should have gone to government hospitals, health programs, and medical services that millions of Filipinos rely on.

During a raid of an illegal cigarette factory in Barangay Panipuan, Mexico, Pampanga, DILG Secretary Jonvic Remulla said every illegal cigarette sold weakens the country’s health care system.

“Ang bawat sigarilyong iligal ay binabawasan ang pera para sa kalusugan ng mga mamamayan,” Remulla said.

Data from the Philippine National Police (PNP) showed that in just one operation in December 2025 and eight raids in January 2026, authorities seized P1.78 billion worth of illegal cigarettes. These few operations alone already deprived the government of more than P1 billion in excise taxes, duties, and Value Added Tax (VAT). These are funds that should have gone to hospitals and health services for Filipinos.

Under Republic Act No. 10351, or the Sin Tax Reform Act of 2012, taxes collected from tobacco products are meant to support public health. These funds help pay for government hospitals, health facilities, and programs that allow Filipinos to receive medical care even if they cannot afford it.

The same amount could have improved specialty hospitals such as the Lung Center of the Philippines, National Kidney and Transplant Institute, Philippine Children’s Medical Center, and Philippine Heart Center – hospitals that treat patients with serious and life-threatening illnesses.

When these funds are lost, the effects are felt by ordinary Filipinos: fewer hospital beds, overcrowded wards, delayed medical treatment, and limited access to essential care.

Remulla said it is everyday Filipinos who suffer the most from illegal tobacco operations.

“Ang dapat sana ay napunta sa kalusugan ng mga Pilipino ay ninanakaw ng mga taong katulad nito,” he said, stressing that illegal tobacco traders ultimately steal from the people’s right to accessible and reliable health care.