NTA Tightens Tobacco Production Strategy to Curb Overproduction

MANILA, Philippines — The National Tobacco Administration (NTA) is tightening its production strategy to avoid the overproduction of tobacco leaves during the upcoming 2026-2027 planting season. The NTA said that farmers should prevent future production expansion without corresponding marker demands, following a glut in tobacco production which occurred during the previous planting season. NTA administrator Belinda Sanchez said the agency would focus on economic stability for tobacco farmers, amid a highly volatile global buyers market. “By focusing on strict market anchors and premium quality, we are safeguarding our farmers from the financial risks of overproduction and rejection,” she said following a recent information campaign across tobacco producing provinces. “Compliance is no longer just a regulatory requirement, but it is our strongest shield against market instability,” Sanchez said. Part of the agency’s Strategic Tobacco Production Information Campaign is to inform private stakeholders, municipal agriculturists and agricultural technicians about the ongoing global tobacco oversupply. The agency is also pushing uncontracted farmers to register to the NTA’s Tobacco Contract Growing System and coordinate with planting strategies based on market demand. About 35,000 out of the country’s 45,000 registered tobacco farmers remain outside of formal contract growing agreements, according to the NTA. The regulator earlier reported an overproduction of flue-cured Virginia tobacco leaves in the provinces of Ilocos Sur, Ilocos Norte, Abra and La Union, amounting to five million kilos. The surplus was about 27 percent more than the 18.05-million-kilo purchase commitment of Virginia tobacco leaves by the trading companies and cigarette manufacturers for the previous planting season. Participants were also encouraged to implement the agency’s Virginia Improved Flavor Tobacco Production soil-area matching criteria, which requires the planting of tobacco in suitable soil areas. This would minimize discrepancies between tobacco production and buyer requirements, as well as improve tobacco quality.