The Continental Tobacco Group has started processing tobacco in the new preparation hall of its tobacco factory in Satoraljaujhely, Hungary.
According to Hungary Today, The company is constructing a HUF10 billion ($24.28 million) production hall comprising three stories with a floor area of 1,800 square meters each and modern machinery.
The investment will increase the tobacco factory’s capacity by around a quarter.
A family-owned business, the Continental Tobacco Group operates several tobacco companies in Europe and employs around 700 people.
According to publicly available data, Continental Tobacco last year generated sales of HUF56.41 billion and a profit of HUF6.35 billion. The company’s products are available in more than 30 countries.
Facing regulatory and competitive challenges, many Hungarian tobacco farmers have left the sector in recent years. While around five thousand people were growing tobacco in Hungary when the country joined the EU in 2004, this number has now fallen to around 600, according to Hungary Today.