Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

15" Congress
First Regular Session

tune. POLO

Introduced by Representative Daza (R.)

EXPLANATORY NOTE

‘The Constitution provides that the State shall protect and promote the right to health
of the people and instill health consciousness among them. The State shall also protect
consumers from trade malpractices and from substandard and hazardous products.

The attached bill seeks to effectively instill health consciousness through picture-
based health warnings on tobacco products. The use of prominent, colored and graphic
picture-based health warnings is a very effective means to convey to the public in general
and to smokers in particular, the hazards and ill-effects of tobacco use, including those
associated with second hand smoke. These warnings will also dissuade children and
teenagers from using tobacco and educate them the hazard effects of smoking. The removal
of cigarette description, such as “light”, “mild”, and “low tar” will prevent smokers from
believing that the use of “light” or “mild” cigarettes is an alternative to quitting.

A recent World Health Organization (WHO) Global Youth Tobacco Survey shows
that 27% of Filipino teenagers aged 13-15 smoke. This reflects an increase of thirty per
centum (30%) over the past two (2) years. Youth are less likely to smoke if they are aware of
the real dangers of smoking and if the appeal of glamour associated with the cigarette pack is
removed.

By convincing the millions of impoverished Filipinos, who from the bulk of smoking,
to stop their use of tobacco, they will be able to channel their meager earnings by purchasing
the necessaries of life, such as food, clothing, shelter, education and medical care. This pro-
poor bill will eventually result in more savings, more productivity, more money for health
and education, less sickness and less health costs.

The picture-based warnings will have designs unique in the Philippines which will
serve as an effective method by which the government can identify tobacco packages that
are smuggled into the country, thus eradicating this illegal activity.

To ensure the effective implementation of this Picture-Based Health Warning Act and
to prevent the tobacco industry from utilizing the other arms of the government to frustrate
this effort on tobacco control, the Department of Health is given sole authority to administer
and enforce the provisions of this law and the concurrent powers to issue the necessary rules
and regulations, including the imposition of fines, issuance of subpoertas and confiscation of
non-compliant tobacco packages. However, any action by the Department of Health in the
exercise of its administrative authority shall not prejudice the State from imposing criminal
sanctions on the violators of this proposed Act.

In order for the Philippines to comply in good faith the World Health Organization
Framework Convention on Tobacco Control, it should adopt and implement effective health
warnings on tobacco product packages by the end of September, 2011.


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In view of the foregoing considerations and in order to protect the present and future

generations from the devastating health, social, environmental and economic consequences
of tobacco consumption and exposure to tobacco smoke, approval of this bill is eamestly

requested.
he: DAZA


Republic of the Philippines
HOUSE OF REPRESENTATVE
Quezon City

15" Congress
First Regular Session

H.No.__2510

Introduced by Representative Daza (R.)

AN ACT
TO EFFECTIVELY INSTILL HEALTH CONSCIOUSNESS
BASED HEALTH WARNINGS ON TOBACCO PRODUCTS.

THROUGH PICTURE-

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

SECTION 1. Short Title. - This Act shall be known as “The Picture-Based Health
Warning Act.”

SEC. 2. Declaration of Principles. The State shall protect and promote the right to
health of the people and instill health consciousness among them.

The State shall protect consumers from trade malpractices and from substandard and
hazardous products.

The State accepts that, as a State-Party to the World Health Organization’s
Framework Convention on Tobacco Control ((FCTC) a treaty that reaffirms the right of all
people to the highest standards of health, the Philippines is obliged to inform every person of
the health consequences of tobacco consumption and exposure to tobacco smoke; to enact
effective measures to curb and reduce tobacco use, especially among the youth; and to
promote public health policy from the commercial and vested interests of the tobacco
industry;

The State is cognizant of the Philippines’ duty under Article 11 of the FCTC which is
to adopt and implement, by September 2011, effective health warnings on tobacco products,
that should describe the harmful effects of tobacco use, be 50% or more of principal display
areas, and not contain any term, descriptor, trademark, figurative or any other sign that
creates the false impression that a particular tobacco product is less harmful (c.g. “low tar,”
“light,” “ultra light,” or “mild”);

The State concedes that text warnings have been shown to be insufficient in
conveying the dangers of tobacco products, while graphic or picture-based health warnings
have been shown to be more effective in conveying the truth of the dangers of exposure and
consumption of tobacco smoke;

The State recognizes that tobacco and poverty form a vicious circle of debt and
disease, and with the majority of the smoking population in the Philippines belonging to the
most impoverished and least educated sectors of society.


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SEC. 3. Purpose. - The purpose of this Act is:

(a) To have health warnings that effectively warn of the devastating effects of
tobacco use and exposure to second hand smoke.

(b) To remove signs or terms or any other direct or indirect means on or in tobacco
product packages that create or are likely to create a false impression about the
health effects of tobacco products, including but not limited to misleading or
deceptive descriptors, like “low tar”, “light”, “mild”, or similar terms; and

(c) To strengthen the role of the Department of Health in promoting the right to
health and instilling health consciousness among Filipinos.

SEC. 4. Definitions:

(a) “picture-based health warning” means warning labels that are composed of a
photographic picture warning on health dangers or other problems related to
tobacco use or exposure to tobacco smoke, and an accompanying textual warning
that is related to the picture as issued by the Department of Health according to
Section 15 of this Act;

(b) “principal display surfaces” means

(1) In the use of a package and carton that has at least two equal sized sides
or surfaces other than the top or bottom that may be displaced or visible
under normal or customary conditions of sale or use, the areas of each of
the two largest surfaces;

(2) The largest surface of spherical, cylindrical or conical container of
tobacco products and in the case of a package and carton that does not
have particular side or surface that is predominantly displayed or visible
under normal customary conditions of sale or use, the total surface of the
package: and 7

(3) All surfaces or panels, exterior or interior, of any tobacco product
packaging or carton not specified above.

SEC. 5. Picture-based Health Warnings. - Beginning July 1, 2011 or within ninety
(90) days from the effectivity of this Act, whichever is earlier, cigarette packages and other
tobacco product packages found in the market, including cartons or master cases, shall bear
highly visible full-color “picture-based health wamings”, as prescribed as to all particulars
‘that shall have two components: a photograph picture warning and an accompanying textual
warning that is related to the picture:

a) The picture-based health warnings shall be printed on at least 60% of the principal
display surfaces of any tobacco package; it shall occupy no less than 60% of the
front and 60% of the back panel in the case of packaging described in Section 3
(a)(b) hereof;

It shall be located at the upper portion of the said panels or principal display
areas;

Nothing shall be printed or applied on a location where it is likely to obscure or
cover, in part or in whole, the picture-based health warnings;

No part of the warning may be obliterated, obscured, folded, severed or become
unreadable when the tobacco package is opened or closed;

The picture-based health warning shall be printed in full color, with the minimum
resolution of 600 dpi using at least 4-color printing;

b)

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f) A minimum of eight (8) variations of picture-based health warnings shall be
printed simultaneously and these shall be rotated periodically, so that any time
within the twelve (12) month period, when a set of picture-based health warnings
are scheduled to be rotated, the variations of the warnings shall appear in the
market with proportionate frequency;

2) In no case shall the picture-based health waming measure less than 2475 square
millimeters in size regardless of the type of tobacco package. Furthermore, the
shortest side of the health warning shall measure no less than 55 millimeters; and

h) Picture-based health warning specifications:

1) The text accompanying the picture for the picture-based health warning
shall be placed on areas of the photograph where:it will not obscure the
picture itself and will be prominently displayed;

‘The accompanying text shall use up no more than 30% of the entire area

of the picture-based health warning and shall appear to clearly legible

type and in contrast by typograph, layout and color, without the use of any
border or frame; and

‘The accompanying text shall be printed in English on the front panel and

Filipino on the back panel. In the case of other containers where there is

‘only one (1) external surface area, the accompanying text will be in

English only.

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SEC. 6. Side Panel. — In addition to the picture-based health warming, cigarette
packages as well as other tobacco product packages found in the market, shall bear, on one
side panel, concise information about the picture-based health warming as issued by the
Department of Health according to Section 15 of this Act. This information shall be
prominently displayed and the text thereto shall appear in clearly legible type and in contrast
by typograph, layout and color, without the use of any border or frame.

SEC. 7. Descriptors. - Beginning July 1, 2011, or within ninety (90) days from the
effectivity of this Act, whichever is earlier, no cigarette packs or other tobacco product
packages shall contain any term, descriptor, trademark, figurative or any other sign,
(including colors, images, or numbers) or any package or product design feature, that directly
or indirectly, creates or is likely to create the false impression that a particular tobacco
product or brand is less harmful than any other tobacco product or brand, or that promote a
tobacco product by any means that are false, misleading, deceptive, or likely to create an
erroneous impression about its characteristics, health effects, hazard or emissions. These
may include terms such as “low tar”, “light”, “ultra light”, or “mild”.

SEC. 8. Costs. - All printing costs pertaining to packaging and labeling shall be
shouldered by the tobacco companies.

SEC. 9. Minimum Principal Display Surface/Prohibition on Smaller Packages. ~
To ensure that the visibility, prominence, and impact of picture-based health warnings, no
person or legal entity shall make, fabricate, or distribute cigarette packages or repackage
cigarettes with packages that have for its principal display surface, a total area of less than
4950 square millimeters nor each of the two largest sides in case tobacco packages describe
in Section 4(b)(1). For other tobacco products that fall under Sections 4(b)(2) and. 4(b)(3) the
minimum size for the principal display surface shall also be 4950 square millimeters.

SEC. 10. Prohibition on Sales. —No person or legal entity shall sell or commercially
distribute or display any cigarette or tobacco product without ensuring that labels and
packages meet the requirements under this Act.


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SEC. 11, Prohibition on Display. - No person or legal entity shall obscure or cover
in part or in whole the picture-based health warning in the selling areas. The picture-based
health warning shall be prominently displayed whenever the said packages are commercially
displayed.

SEC. 12. Liabilities of Manufacturers, Importers, and Distributors. —
Manufacturers, Importers, and distributors of tobacco products shall be directly liable for
any violations of the provisions of this Act. In the case of business entity or establishment,
the chair of the Board of Directors, the owner, president, manager, and the corporate
officials thereof shall be directly responsible therefore and shall be made accountable.
Agents/Representatives of the aforecited manufacturers, importers, and distributors who
‘commit any violation of the provisions of this Act and its implementing rules shall be jointly
and severally liable with the manufacturers, importers, and distributors.

SEC. 13. Liability of Retailers and Sellers. — Retailers and sellers of tobacco
products shall be directly liable for violations of Sections 10 and 11 of this Act. In the case
of a business entity or establishment, the chair of the Board of Directors, the owner,
president, manager, and the corporate officials thereof shall be directly responsible therefore
and shall be made accountable.

SEC. 14. Penalties for Non-Compliance. - (a) The following penalties shall apply
to manufacturers, importers, exporters, and distributors of tobacco products, as well as their
agents/tepresentatives for failure to. comply with Sections 5 to 11 of this Act or any
violations of the provisions of this Act:

(1) On the first offense, a fine of not more than One million pesos (Php
1,000,000.00) shall be imposed;

(2) On the second offense, a fine of Five million pesos (Php 5,000,000.00)
shall be imposed;

(3) On the third offense, in addition to a fine of not more than Twenty million
pesos (Php 20,000,000.00) or imprisonment of not more than one (1) year,
or both fine and imprisonment at the discretion of the court. The business
permits and licenses, in the case of a business entity, or establishment shall
bbe revoked or cancelled;

4) I the guilty officer is an alien, he shall summarily be deported after the
finding of probable cause on the second offense and shall be forever
barred from re-entering the Philippines;

(5) Each batch of non-compliant tobacco packages, regardless of size, that are
withdrawn from the manufacturing facility, imported into the Philippines
for sale in the market, transferred to other facilities, or delivered to the
retail establishments after the compliance date shall constitute one offense.
And an additional penalty of One hundred thousand pesos (Php
100,000.00) per day shall be made for each day; and

(6) The violation continues after having received the order from the
Department of Health or other appropriate body, notifying the company of
the infraction.

(©) The following penalties shall apply to retailers /sellers of tobacco products, as
well as their agents/representatives for failure to comply with Sections 10 and 11
of this Act or any violations of the provisions of this Act:

(1) On the first offense, a fine of not more than Five thousand pesos (Php
5,000.00) shall be imposed;


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(2) On the second offense, a fine of Ten thousand pesos (Php 10,000.00)
shall be imposed;

(3) On the third offense, in addition to a fine of not more than Twenty

thousand pesos (Php 20,000.00), or imprisonment of not more than one

(1) year or both fine and imprisonment at the discretion of the court, The

business permits and licenses, in the case of a business entity or

establishment shall be revoked or cancelled;

If the guilty officer is an alien, he shall summarily be deported after the

finding of probable cause on the second offense and shall be forever

barred from re-entering the Philippines; and

(5) Each day that non-compliant tobacco packages are found in the retail
establishments of the retailers afier the compliance date shall constitute
one offense. And an additional penalty of One hundred thousand pesos
(Php 100,000.00) per day shall be made for each day the violation
continues after having received the order from the Department of Health
or other appropriate body notifying the retailers of the infraction.

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(d) Prosecution under this Section may be commenced by the Department of Health,
the Philippine National Police, a Prosecutor by himself, or any private citizen.

SEC. 15. Schedule for Picture-Based Health Warning Guidelines. — Beginning
March 1, 2011, or within thirty (30) days from the effectivity of this Act, whichever is
earlier, and every year thereafter, or as frequently as the need arises, the Department of
Health shall issue a template of picture-based health warning to be rotated as well as
guidelines respecting the printing instructions, specific design or content of the information
relating to the picture-based health warnings that must appear in the tobacco product
packages. The template and the guidelines shall be based on the recommendation of the
Philippine Cancer Society (PCS) and the Philippine College of Chest Physicians (PCCP, as
approved by the Secretary of Health. In the absence of the two non-government
organizations cited above, the Department of Health shall select other leading organizations
that have an established and proven record of dealing with tobacco related diseases and
deaths. All picture-based health warnings issued shall comply with the specifications above
and must always present the devastating effects of tobacco use and exposure to second hand
smoke. Nothing in this Act shall preclude the Department of Health for imposing standards
for tobacco product packages and printing that are beyond those provided in this Act.

Picture-based health warning regulations issued by the Department of Health
Secretary, upon recommendation of the PCS and PCCP or other duly recognized non-
government organizations, shall be presumed compliant with the specifications listed above
for purposes of implementation by the tobacco companies.

Tobacco manufacturers and importers shall have no more than two (2) months to
comply with any new templates issued.

SEC. 16. Administrative Agency. - The Department of Health is hereby charged
with implementing and enforcing the provisions of this Act.

Within one (1) year from the effectivity of this Act, the Department of Health shall
issue regulations and administrative sanctions to facilitate the implementation of this Act.
‘The Department of Health is hereby authorized without need of approval from Congress:

(a) To promulgate rules governing the hearing of reported violations of this Act
which shall be summary in nature shall be conducted by means of position
papers and affidavits and a decision must be rendered by the Department of
Health no longer than thirty (30) days from the date of filing;


262

(b) To impose, after notice and hearing, administrative fines of up to Ten million
(Php 10,000,000.00) the proceeds of which will be used for health promotion
campaigns of tobacco control of the Department of Health; and

(c) Other administrative rules and regulations it deems necessary to effectively
implement the provisions of this Act, such as, but not limited to seizure,
forfeiture, and destruction of non-compliant packages as described under this
Act.

‘The Department of Health shall have the power to call upon law enforcement
agencies and the managing authorities in the economic zone for assistance in the
implementation and enforcement of the decisions, orders, rules and regulations, In addition,
the Department of Health may also deputized when necessary, provincial governors, city and
municipal mayors, and representatives of the national government agencies, tobacco control
organizations, and concerned sectors to help monitor compliance with and report of any
violations of the provisions of this Act.

For administrative case for an act constituting a violation of the administrative
regulations to be issued by the Department of Health shall not preclude the simultaneous
criminal prosecution for the same act constituting a violation under this Act through criminal
proceedings authorized under Section 14 of this Act.

Ss! 17. Strict Compliance and Inspection. — Absolutely , no extension of time to
comply with the provisions of this Act shall be granted to tobacco manufacturers, or any
affected party, for enforcing the law and for ensuring compliance therewith. The Department
of Health, upon presenting appropriate credentials to the owner, manager, or agent in charge,
are authorized to: (1) enter, at reasonable hours, any factory, warehouse, or establishment in
which tobacco products are manufactured, processed, packed or held, for introduction for
domestic commerce or are held after such introduction or to enter any vehicle used to
transport or hold such tobacco products; and (2) to inspect, in any reasonable manner, such
factory, warehouse or establishment ot vehicle and all pertinent equipment, finished and
unfinished materials, containers and labeling therein. If the officer, employee, or person
designated making any such inspection of a factory, warehouse, or other establishment has
obtained any sample in the course of the inspection, upon completion of the inspection and
prior to leaving the premises he shall give to the owner, manager, or agent in charge a receipt
describing the samples obtained.

SEC. 18. Citizen Suits. - For purposes of enforcing the provisions of this Act or the
implementing rules and regulations, any citizen may file an appropriate civil, criminal or
administrative action in the proper courts or bodies against:

(a) Any person who violates or fails to comply with the provisions of this Act, its
implementing rules and regulations, including the templates, guidelines or other
regulations;

(b) The Department of Health, with respect to rules and regulations issued
inconsistent with this Act; and

(©) Any public officer who willfully or grossly neglects the performance of any act
specifically enjoined as a duty by this Act, its implementing rules and
regulations, including the template, guidelines, or other regulations or abuses his
authority in the performance of his duty, or in any manner improperly performs
his duties under his act or its implementing rules and regulations, including the
template, guidelines, or other regulations.

he administrative, civil, and criminal actions begun under this section shall be
alternative and cumulative and shall not preclude any other person from filing a similar
action.


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In civil suits brought under this Act, the court shall exempt such action from the
payment of filing fees, except fees for actions not capable of pecuniary estimations, and shall
likewise, prima facie showing of the non-enforcement or violation complained of, exempt the
plaintiff from the filing of an injunction bond for the issuance of a preliminary injunction.

SEC. 19. Separability Clause. — If any clause, provision, paragraph, or part thereof
shall be declared unconstitutional or invalid, such judgment shall not affect, invalidate, or
impair any other part hereof, but such judgment shall be merely confined to the clause,
provision, paragraph, or part directly involved to the controversy in which such judgment has
been rendered.

SEC. 20. Repealing Clause. — All other laws, decrees, executive orders and other
administrative issuances and parts thereof which are inconsistent with the provisions of this
Act are hereby modified, superseded or repealed accordingly. Sections 13(c) and 32(c) of
Republic Act No. 9211 are hereby repealed.

SEC. 21. Effectivity. - This Act shall take effect fifteen (15) days following its
publication in the Official Gazette or in any major daily newspaper of national circulation in
the Philippines.

Approved,