A new floor price for tobacco is set to be determined today as the government’s tobacco regulatory body wraps up a two-day consultation with farmers, traders and cigarette manufacturers to agree on buying rates for the next two cropping seasons.
The National Tobacco Administration (NTA) began its 2025 Tripartite Consultative Conference on Tuesday at the Great Eastern Hotel in Quezon City.
The agency said the conference serves as the main venue for negotiations on the minimum buying prices of Virginia, Burley and Native tobacco to help protect the income of more than 50,000 growers nationwide.
NTA administrator and CEO Belinda Sanchez said the process ensures the welfare of tobacco farmers is safeguarded and that group consultations and deliberations lead to a well-founded recommendation for a reasonable increase in the floor prices of tobacco.
Citing National Federation of Tobacco Farmers Association and Cooperatives (NAFTAC) president Bernard Vicente, the NTA said growers had earlier proposed increases ranging from P16.96 to P87.15 per kilo across various tobacco grades to offset rising input and labor costs.
The agency said Vicente also appealed for a separate floor price for improved subtypes of Virginia and Burley tobacco, citing their higher leaf quality and production costs compared with traditional types.
The current floor prices per kilo are P97 for Class AA, P96 for Class A, P95 for Class B, P93 for Class C, P85 for Class D, P84 for Class E, P75 for Class F1, P72 for Class F2 and P61 for Class R of flue-cured Virginia tobacco. For Burley tobacco, the rates are P81 for Class A, P78 for Class B, P69 for Class C, P58 for Class D, P57 for Class E, P49 for Class F and P39 for Class R.
For Native tobacco, the prices are P81 for High Grade, P70 for Medium 1, P63 for Medium 2, P60 for Low Grade and P53 for Reject.
The new rates, once finalized, will take effect starting the next cropping season.
According to the NTA, tobacco remains the only cash crop in the Philippines with officially approved floor prices, making it a reliable source of income for thousands of Filipino families.