MANILA, Philippines - Tobacco giant PMFTC Inc. on Friday said it has not raised the prices of cigarettes, despite the implementation of the sin tax law.
"We wish to clarify that PMFTC has, to date, not raised the prices of its cigarette products as of 1 January 2013," PMFTC said in a statement.
The company said it has received reports that some wholesalers have started selling its cigarette brands at higher prices. PMFTC's brands include Marlboro, Philip Morris, Hope, Fortune and Champion.
"Some wholesalers and retailers have started selling our cigarette products at higher prices even during the holidays. We can assume that this was in reaction to the BIR’s publication of the revised tax rates and the subsequent media coverage and pronouncements of various government authorities on this issue," it said.
PMFTC urged wholesalers and retailers to keep selling cigarette products at current recommended retail prices.
Republic Act 10351, which imposes higher excise taxes on tobacco and alcohol products, took effect on January 1. For cigarettes packed by machine and with a net retail price per pack of P11.50 and below, the excise tax rate is P12 per pack.