Reclaiming the Initiative

Boosting efficiencies may help tobacco companies cope with tough times, according to CME Automation.

Contributed

Cigarette manufacturers should scrutinize their manufacturing processes and “go the extra mile” to maximize efficiencies in response to difficult market conditions, says Paul Knight, CEO of CME Automation.

Severe supply chain disruptions, climate factors such as El Nino and climate change in general, in addition to ever more stringent regulation, are posing significant challenges for cigarette manufacturers—particularly over the past year.

In its position as an automated systems supplier for the sector, CME Automation is highlighting how cigarette manufacturers are responding to these pressures by maximizing efficiencies in raw material usage—seeking to “soften the blow” of these global factors.

“Whilst most sectors are struggling in some capacity, the tobacco and cigarette markets are particularly vulnerable when you consider the global nature of the market in combination with ever increasing taxes and duties,” said Knight.

“It might seem counterproductive for companies to invest in equipment when times are tough. However, when supply chains are unstable and raw material costs are high—maximizing efficiencies is often the answer and automation is key to achieving this.”

Knight draws attention to the processing and packaging stages of production where cigarette manufacturers are driving further efficiencies.

“The labor-saving benefits of automated packaging such as cartoning, palletizing and tax stamping systems are widely understood and this is being demonstrated by the enquiries we are receiving.

“Another area we are seeing particular interest in is cigarette waste management through the increasing popularity of our tobacco reclaimer system.”

The tobacco reclaimer is an automated solution that recovers usable tobacco from rejected cigarettes and is capable of processing up to 100 kg of tobacco per hour, with recovery rates of up to 95 percent.

“Manufacturers are always going to want to minimize waste but recent turbulence may have sharpened minds somewhat,” continued Paul Knight.

“Fundamentally, tackling the current market difficulties comes down to making the most of what you have in terms of raw materials – and that means cutting wastage down to an absolute minimum.”