Philippine consumer group urges two e-commerce platforms to remove illegal vaping sellers by the end

The Philippine consumer group is urging Lazada and Shopee to remove sellers of unregistered e-cigarettes and heated tobacco products (HTP) from their platforms by the end of October 2023.

According to a report by Manila Bulletin on September 5, the Philippine consumer group is calling for Lazada and Shopee to clear their platforms of unregistered e-cigarette and heated tobacco product (HTP) sellers by the end of October 2023. Previously, both e-commerce platforms had made commitments to the Philippine Bureau of Internal Revenue (BIR).

Anton P. Israel, chairman of the Philippine Nicotine Consumers Union (NCUP), stated: "Lazada and Shopee should fulfill their commitments to remove all unregistered illegal e-cigarette sellers to protect consumers from dubious products."

BIR Commissioner Romeo D. Lumagui Jr. revealed to Dr. Maria Minerva P. Calimag, president of the Philippine Medical Association (PMA), on July 10, 2023, that "Lazada and Shopee's commitment is to remove illegal e-cigarette sellers by late October 2023." This was discussed during a meeting with the e-commerce platforms regarding the E-Cigarette Law, which requires registration for online sales of e-cigarettes, heated tobacco, and other novel tobacco products.

The PMA has previously expressed concerns about the illegal trade of vaporized nicotine and non-nicotine products, particularly the illegal trade on online platforms. In a letter to Senator Pia S. Cayetano on March 15, 2023, the PMA stated that recent investigations into non-compliant e-cigarette products revealed a significant presence of illegal e-cigarette products in the Philippine market, especially on online platforms like Shopee, Lazada, and Facebook Marketplace.

NCUP and the Philippine Consumers Choice Association (CCP) revealed that illegal e-cigarettes still exist on e-commerce platforms, violating Republic Act No. 11900, the Vaporized Nicotine and Non-Nicotine Products Regulation Act, which aims to regulate e-cigarettes and non-nicotine products. HTPs are intended to protect the public while providing better alternatives for adult smokers.

Consumer organizations have previously called for the Department of Trade and Industry to impose administrative sanctions or file lawsuits against Shopee and Lazada for continuously selling unregistered e-cigarettes on their platforms.

The PMA stated: "A quick search on these online sites reveals various posts for tobacco and e-cigarette products without health warnings, despite these products being subject to excise tax, they are still sold at very low prices. Furthermore, as this good senator learned from the Senate hearings, most e-cigarette products found online as well as in stores and e-cigarette shops do not comply with the Republic Act or the regulations for nicotine e-cigarettes and non-nicotine products. They contain flavor descriptions and are packaged in a way that is overly appealing to minors."

He stated that it is impossible to verify whether the products sold are registered with the Bureau of Internal Revenue and have paid the correct taxes, as they lack internal excise tax stamps and do not meet the required packaging or labeling requirements.

The PMA stated: "We are puzzled as to why these non-compliant, unregistered, and potentially untaxed tobacco and e-cigarette products are allowed to be openly advertised, sold, and distributed in the local market (especially online). Illegal and unregistered tobacco and e-cigarette products evade regulation, putting the public at risk."

References:    【1】 Lazada, Shopee urged to heed ultimatum to purge illicit vape sellers