The Department of Trade and Industry (DTI), the designated implementing agency once the consolidated House and Senate bills on the proposed Vape bill or the “Vaporized Nicotine and Non-Nicotine Products Regulations Act” is passed, expressed support to the bill and even assures the role of the Department of Health (DOH) in the control over the so-called alternative tobacco products stressing that regulation is better than its total ban.
The endorsement, however, is still subject to review and approval by new DTI Secretary Alfredo Pascual since the position paper, submitted by DTI to Malacanang on February 18, 2022, was still under then DTI Secretary Ramon M. Lopez. The consolidated bill has been submitted to Malacanang and will lapse into law on Sunday, July 24, if the President will not act on the proposed legislative measure.
Based on the position signed by then Secretary Lopez, DTI said that regulation of tobacco products is better than its total ban. DTI said that regulation will prevent the proliferation of illicit trade. Its role under the bill is in line with its mandate on consumer protection and policy of ensuring a balance between all stakeholders’ interest.
DTI is the implementing agency on product standards under RA No. 7394 or the Consumer Act of the Philippines and RA 4109 or the Philippine Standards Law. The DTI, through its various offices, such as the Bureau of Product Stands, Bureau of Import Services, and Intellectual Property Office of the Philippines have for almost three decades regulated tobacco products, solely and as head of Inter-Agency Committee for Tabacco (IAC-T), under RA 7394 and RA 9211, Tobacco Regulation Act of 2003.
“The DTI believes that vape products can be utilized as an alternative or a helpful means to transition from consuming conventional tobacco products to less harmful tobacco products,” the position paper said.
Through BPS, the DTI regulates the standards of over 80 unique products and has gained expertise for over decades of liaising with other regulations locally and internationally. In fact, DTI said that BPS purchased last year several equipment to better regulate vapor products and related devices, including measurement of the chemicals released.
“Through the enactment of the bill, the BPS will be able to even further enhance its capability in implementing its mandate relative to vape products regulation,” the position paper stated.
While the DTI has been designated by the Bill as the primary regulatory agency for vape products, DTI assured that the jurisdiction of the DOH and the Food and Drug Administration are not undermined. It pointed out that Section 2 of the bill expressly provides that “no vaporized nicotine and non-nicotine product or novel tobacco product shall have a medicinal or therapeutic claim on its marketing materials or packaging unless such claim is approved by the FDA.”
The bill further provides that “no vaporized nicotine and non-nicotine product or novel tobacco product shall have an explicit reduced risk statement unless authorized by the FDA.”
As it always does in the IAC-T, DTI said it will partner with the FDA, who shall play a crucial role in drafting the Implementing Rules and Regulation and product standards for vapor products without health claims.
Aside from the jurisdiction issue, the DTI said the bill supports industry and economic development citing an estimated over two million Filipino farmers, workers and laborers depend on the tobacco industry.
Section 22 of the bill directs the Bureau of Internal Revenue to issue revenue regulation prescribing the floor price or the minimum price clearly provides tax collection that should contribute revenues to the national coffers.
The DTI further cited surveys showing that a total of 16.6 million adults or 23.8 percent of the Philippine population are reported as tobacco users in any form. It also cited studies that attributed the decline in smoking prevalence in Japan and UK to the introduction of vape and related products.
Thus, noting the reality and existence of a large number of tobacco users in the country, the DTI supports the government’s policy to stop smoking and/or at least encourage using less harmful alternatives. “The DTI believes that the bill is instrumental in addressing this issue,” the position paper added.
The DTI also said that it supports the bill’s provisions that provide parity in regulation with the cigarettes, including banning sales to minors, regulations on advertising, promotions, and sponsorships, and public use prescriptions. In fact, it said, the bill is consistent, if not stricter, than existing regulations.
Addressing the age issue, DTI believes that by setting the allowable age for the purchase, sale and use of vape products at 18 years old, discourages smoking of traditional tobacco products by providing access to vape products, which numerous reliable studies have found to be less harmful, as they generally generate less toxic compounds.
Also, DTI said, setting the age restriction at 18 years old addresses the policy gap presented by RA 9211 which grants 18 year olds and above access to traditional tobacco products, vis-à-vis RA 11467 or the 2020 Sin Tax Reform Act, which only grants 21 years of age and above access to vape products, when they serve as the less harmful alternative.
The bill also prohibits the sale of vape products that are “packaged, labeled, presented, or marketed with flavor descriptions.” In addition, the bill supports the policy of limiting the products to two flavors only (plain tobacco or plain menthol) and discouraging the youth from consuming vape products.
Further the bill regulates the registration, standards, packaging, sale, promotion and marketing of vape products under several provisions and imposition of stricter penalties for violations.
“The DTI is steadfast in its support for effective science and evidence-based tobacco and related product control regulation, and believes that the most impactful way to curb consumption of tobacco products is through effective and reasonable regulation,” the agency’s position paper stated.
Overall, DTI believes that under the bill, the “government will be able to properly regulate the sale and use of vape products, afford a less harmful alternative to smokers of traditional tobacco products, and, at the same time, raise more taxes in support of the Universal Health Care program – a win-win situation.”