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Manila Bulletin devider Business devider BOC discovers P1.4-B e-cigs in Valenzuela warehouse raid

BOC discovers P1.4-B e-cigs in Valenzuela warehouse raid

Published Oct 28, 2023 03:15 am

At A Glance

  • An inspection in a warehouse in Valenzuela City led to the discovery of P1.428 billion worth of allegedly illegal e-cigarettes or vapes.<br>Authorities yielded some 14,000 boxes containing over 1.4 million pieces of 10ml disposable e-cigarettes that have a value of P700 million and P728 million in taxes.<br>The warehouse representative was requested to show proof of payment of duties and taxes and other importation documents on the goods found inside the warehouse.

An inspection in a warehouse in Valenzuela City led to the discovery of P1.43 billion worth of e-cigarettes or vapes believed to be illegal, the Bureau of Customs (BOC) reported on Saturday, Oct. 28.

Authorities from the BOC and enforcement agencies during the inspection Friday yielded some 14,000 boxes containing over 1.4 million pieces of 10ml disposable e-cigarettes bearing the mark “FLAVA.”

Each of the e-cigarettes is valued at P500 per piece which translates to P700 million in total, while its excise tax amounts to P728 million as per the P52 excise tax per one ml of e-cigarette, Customs Commissioner Bienvenido Y. Rubio said.

“So, remember that we have an excise tax currently being imposed on tobacco products? That’s why the value of this operation ballooned to more than P1 billion,” Rubio said.

"These kinds of activities do not only adversely impact our local tobacco industry, but it also takes away from the government a sizeable chunk of money that we can use for our infrastructure programs, social services,” the BOC chief added.

Rubio authorized the inspection through a letter of authority based on the information received by the Customs’ intelligence unit.

“We received information last October 24, 2023 that a warehouse in Valenzuela City is being utilized as storage of voluminous illegally imported e-cigarettes or vape products without proper payment of correct duties and taxes,” said Verne Enciso, BOC’s intelligence unit director.

The warehouse representative was requested to show proof of payment of duties and taxes and other importation documents on the goods found inside the warehouse, the Customs said.

BOC’s Deputy Commissioner Juvymax Uy said that the warehouse owners and representatives would be given a period of time to present the proper documents and proof of taxes paid.

“We’re all probably aware, and have seen viral videos, of vapes suddenly exploding. Beyond the illegality of these smuggling activities, what concerns us more is the danger posed by these products to unwitting customers,” he added.  

“We’re not just here to stop the illegal entry of these kinds of products because of the taxes we’re losing, but one of our primary missions is to intercept products that could pose a serious health risk to consumers,” he further said.

Related Tags

Bureau of Customs e-cigarettes Bienvenido Rubio Vapes
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