Eastern Boosts Production to Cigarette End Shortage

Egypt’s Eastern Co. will provide 50 million more cigarettes daily starting Aug. 13, 2023, to alleviate the prevailing cigarette crisis, reports Ahram Online.

The company will increase the number of cigarettes in the market to 150 million per day, up from 100 million cigarettes, Eastern Co.’s Managing Director and CEO Hany Aman was quoted as saying.

Tobacco prices have surged recently on the black market amid a shortage of supply in the market.

Aman said that by boosting supply in the market, the company aims to control unjustified price hikes and curb speculative practices by some traders, who began to stockpile cigarettes after they heard of a new cigarette taxation legislation.

The MD expected cigarette prices to return to normal within three to four weeks following the production increase.

Fakhry El-Fiqi MP, who heads the Planning and Budget Committee in the House of Representatives, recently said that the committee will discuss a new cigarette taxation law at the beginning of the fourth legislative session in October.

 According to Eastern Co., Egyptians spent EGP17 billion ($550.15 million) cigarettes during the 2021-2022 fiscal year.