Legislator hails closure of large e-cigarette firm

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ALBAY Rep. Joey Sarte Salceda has lauded a decision by the Department of Trade and Industry to suspend the operations of the electronic cigarette distributor FLAVA.

“I am very pleased with the DTI’s move to shut FLAVA down. We are already looking at a minimum of P9.3 billion in smuggled goods and evaded taxes by this company. And looking at the proliferation of its goods in local markets, there is more to be uncovered,” Salceda said. Salceda stressed that as a result of the proliferation of electronic cigarettes that do not pay the co responding excise taxes and duties, government collections from tobacco excise taxes went down from a peak of P176 billion in 2021 to just P142 billion in 2023.“And the decline will continue as more people shift from the taxed cigarettes to the untaxed. Make no mistake, that’s a threat to everyone, because Universal Health Care derives funding from tobacco excise taxes,” he said.

nic. FLAVA has been labeling its goods as freebase, when independent testing finds it appears to be nicotine salt.”

 

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