Oettinger Davidoff of Basel, Switzerland, has inaugurated a new factory in Danli, Honduras. After acquiring tobacco plantations in the Condega region of Nicaragua and in the Jamastran Valley in Honduras, the company purchased land in Honduras 2015 to build a new cigar factory.
The new facilities are located in the city of Danli, Honduras’s main tobacco region: southeast of the capital, on the Panamerican Highway, a few kilometers from the border with Nicaragua.
With this strategic move, the company responds to the fast growing global demand for its key Camacho brand as well as strong growth in the U.S. of its Baccarat, La Fontana, Legendario, National brands.
“I am proud to officially inaugurate our new factory,” said Hans-Kristian Hoejsgaard, CEO and Board member of Oettinger Davidoff. “It is not only a milestone in the history of our company, but also reflects our global ‘crop-to-shop’ philosophy with this extension of the vertical integration of the business.
“Our investments mirror the strong growth on Camacho over the past five years which saw its global sales double, as well as the needed production capacity to continue expanding Camacho globally.
“Furthermore, I am particularly glad that we are able to make a substantial contribution to Honduras’ economic and social development by employing over 500 people in Danli.”
“Leading and managing this splendid new factory is the greatest honor in my career thus far,” said Manuel Batista, general director Central America, Danli, Honduras.
“In view of important future projects, combined with our focus on cost optimization and improved working capital, this is the perfect time to consolidate and further expand the Honduran craftsmanship. It makes me very proud to see our team of master blenders and cigar artisans strive relentlessly to build up and continue to develop the business of Oettinger Davidoff worldwide. They are the ones who bring to life our finest quality cigars; thrilling aficionados across the globe.”
Productivity at Oettinger Davidoff’s new factory is expected to increase dramatically and processes in cigar production are to become more efficient in the years ahead. The high quality of the company-owned tobacco plantations enables Oettinger Davidoff to supply first-class tobacco and successfully implement plans for innovation with existing and new crops.
The site of the new facilities in Danli is just under 41,806 square meters. The factory building, designed by Honduran architect Gonzalo Nunez Diaz, has several production halls, cold rooms, loading/unloading zones, a spacious guesthouse and the refectory for employees who meet the highest standards of technology and logistics. It has been constructed on an area of more than 11,000 square meters; with an additional area of 3,500 square meters for warehouses.
“Thanks to the location of the factory, near Danli, we have access to a skilled workforce trained in manufacturing fine cigars, which, in a sense, guarantees business continuity over time,” said Javier Plantada, vice president global production at Oettinger Davidoff Honduras. “Our new facilities symbolize the momentum, the passion and enduring desire of our team to be an integral part of Oettinger Davidoff AG.”