Claveria, MisOr acquires P355-M unexpected excise tax share from tobacco

Claveria, MisOr acquires P355-M unexpected excise tax share from tobacco

Claveria acquires P355 million of unexpected excise tax share


In an article from, the municipality of Claveria in Misamis Oriental acquired 40% or about P355,666,474  from the from the P700 million tobacco excise tax share in 2015.

According to the Department of Budget and Management (DBM), while Claveria got 40% of the share, the rest of Misamis Oriental province received 30% or P210,166,552. Also,the remaining 30% will be distributed to 23 towns and 3 cities for P5,388,886 each.

The National Tobacco Administration (NTA) said that the whole province of Misamis Oriental qualified for the financial support when it hit annual production of 1,314, 969 kilos, or more than 1,300 metric tons of tobacco production in 2015.

Under the Republic Act 7171, the financial fund will be directed towards the development of farmers in Virginia tobacco-producing provinces and other developmental projects of the Misamis Oriental provincial government.

It seeks to promote the independence of tobacco farmers through:

“*Cooperative projects that will enhance better quality of products, increase productivity, guarantee the market and as a whole increase farmers’ income;

  • Livelihood projects particularly the development of alternative farming system to enhance farmers’ income;
  • Agro-industrial projects that will enable tobacco farmers in the Virginia tobacco-producing provinces to be involved in the management and subsequent ownership of these project such as post-harvest and secondary processing like cigarette manufacturing and by-product utilization; and
  • Infrastructure projects such as farm-to-market roads.”

The tobacco excise tax came from 15% of the profits made out of Virginia-type cigarettes produced locally.

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