Tag: Featured

Stories featured at the top of tobaccoreporter.com

  • Trading Update: BAT’s Business ‘Resilient and Growing’

    Trading Update: BAT’s Business ‘Resilient and Growing’

    Photo: British American Tobacco

    British American Tobacco’s (BAT) business is performing well in a challenging and volatile trading environment, the company announced in a trading update today.

    BAT said it continues to see good pricing and strong volume and value share growth across its combustibles business, together with good share growth across all three of its new categories—vapor, tobacco heating and modern oral.

    Results in developed markets—which account for approximately 75 percent of the group’s revenue—are strong, with continued good pricing, little evidence of accelerated downtrading to date and a particularly strong performance from its business in the U.S., which has been highly resilient throughout the Covid-19 crisis.

    The impact of Covid-19 in emerging markets, including Bangladesh, Vietnam and Malaysia, has been more pronounced, according to BAT. In addition, closures and other lockdown measures in certain countries, in particular South Africa, Mexico and Argentina, have persisted longer than anticipated.

    “We have made a good start to the year, with strong volume and value share growth in combustibles underpinning the sustainability of the business,” said BAT CEO Jack Bowles.

    “Our focus on becoming a faster, simpler, more agile business through Project Quantum has positioned us well for continued delivery in the current environment and these efforts have ensured we are a highly resilient company.”

    Bowles also referenced the work of its Kentucky Bioprocessing subsidiary, which is developing a potential vaccine for Covid-19. The vaccine candidate has demonstrated its ability to generate an immune response in pre-clinical testing and is poised to move to clinical trials.

  • Tobacco Firms Defend Donations

    Tobacco Firms Defend Donations

    Photo: Pogonici | Dreamstime.com

    Philip Morris International (PMI) and Imperial Brands have hit back at allegations they are using the Covid-19 health crisis to improve their public image and gain access to politicians, reports Euronews.

    Earlier this year PMI subsidiary Papastratos donated 50 respirators to help Greek hospitals cope with the pandemic. The Romanian Red Cross received a financial donation—reported to be $1 million—from PMI. PMI and Imperial Tobacco both donated money in Ukraine.

    Critics denounced the gestures, suggesting they were part of a PR effort to lobby governments to loosen tobacco controls. They also said that the donations contravene the World Health Organization (WHO) Framework Convention on Tobacco Control (FCTC).

    PMI and Imperial Tobacco denied wrongdoing.

    “Imperial Tobacco Ukraine, as a prominent employer in Kyiv, was asked to donate one ventilator to the hospital by the regional authority and other local groups,” the company told Euronews.

    “The business was happy to do so and did not seek any publicity. It is clear that no regulations have been breached and to be criticized for agreeing to support the Kyiv community in these challenging and unprecedented times is a disgrace,” Imperial Tobacco Ukraine wrote.

    Nataliya Bondarenko, external affairs director at Philip Morris Ukraine, noted that the FCTC does not prohibit interactions between commercial operators and government organizations. Instead, she said, it asks parties to protect public health policies from the tobacco industry’s commercial and other vested interests.

    “This provision implies that regulators should act with impartiality and transparency,” said Bondarenko. “Our donation was done in full compliance with the law, demonstrating our integrity and transparency.”

  • Foundation to Probe Menthol Bans and Social Justice

    Foundation to Probe Menthol Bans and Social Justice

    Photo: Viachaslau Bondarau | Dreamstime.com

    The Foundation for a Smoke-Free World has begun a series of surveys analyzing the behaviors of adult smokers in several countries before and after the EU menthol cigarette ban that came into force on May 20, 2020.

    While there is solid science to suggest that a ban of menthol combustible cigarettes would ultimately improve public health, the foundation says it is crucial that legislation does not put already vulnerable communities in even greater danger.

    The organization hopes that the findings from its survey will help inform other jurisdictions considering similar measures.

    Last November, Massachusetts became the first U.S. state to ban the sale of menthol cigarettes. And in February of this year, the House of Representatives approved a bill to eliminate the sale of these cigarettes at the federal level.

    Yet many researchers point out that the use of menthol cigarettes is disproportionately high among U.S. ethnic minority groups, especially African Americans. Democratic Congresswoman Yvette Clarke noted that nationwide menthol bans would have little effect on white smokers, while “black smokers could face even more sweeping harassment from law enforcement if the hint of menthol smoke can justify a stop.”

  • BAT Slammed for ‘Tattling’ on JTI Menthol Substitutes

    BAT Slammed for ‘Tattling’ on JTI Menthol Substitutes

    Photo: simisi1 from Pixabay

    Bob Blackman, chairman of the U.K. All Party Parliamentary Group on Smoking and Health, has criticized British American Tobacco (BAT) for leaking information about products made by Japan Tobacco International (JTI) following the ban on menthol cigarettes sold in the European Union, reports I News.

    Blackman said he received a letter from BAT that claimed it had data showing that a new range of JTI cigarettes still contained menthol. “As I responded, their offer is completely inappropriate; their public duty is to share the evidence with the appropriate authorities without delay,” said Blackman.

    A spokesman for BAT said the group had analyzed several JTI products and found them to contain menthol characteristics.

    While admitting its new cigarettes contain menthol, JTI insisted they do not break the new laws.

    “Some JTI cigarettes and rolling tobacco sold in the U.K. do still contain very low levels of menthol,” a spokesman for JTI said. “This is not prohibited under the law, provided that the use of such flavorings does not produce a clearly noticeable smell or taste other than one of tobacco—which they do not.”

    Blackman said he had forwarded a copy of the letter to Public Health Minister Jo Churchill who responded that the issue was “being followed up” by her officials to investigate. 

  • Estonia Mulls End to E-Liquid Taxes

    Estonia Mulls End to E-Liquid Taxes

    Photo: Purilum

    Lawmakers have submitted a bill to Estonia’s Parliament that would stop the collection of excise duty on tobacco e-liquids for two years.

    The legislators hope the measure will help to control the border trade and black market.

    In the draft explanation, the bill’s authors note that stopping the collection of excise duty will give entrepreneurs an opportunity to cut the price of e-liquids and encourage the sale of legal products.

    If passed, the legislation will enter into force on Dec. 1, 2020. 

  • BAT Opens Threshing Plant in Fiji

    BAT Opens Threshing Plant in Fiji

    Photo: HeikoBrown from Pixabay

    British American Tobacco (BAT) has opened a $10-million green leaf threshing factory in Votualevu, Fiji.

    Speaking at the inauguration, Minister for Economy Aiyaz Sayed-Khaiyum said cooperation from all stakeholders and sectors of the economy will ensure there are job sustainability and creation in the country.

    The new factory, he added, will not only provide high-quality products to consumers but also create more employment opportunities.

    BAT’s local general manager, Jeremy Hackett, said the new factory represents the culmination of more than two years of planning and hard work.

    “Fiji is one of the very few countries where BAT undertakes tobacco farming to support the growth of local agriculture, providing employment to approximately 1,100 seasonal workers and hundreds of local farmers,” he said.
     

  • South Africa Ordered to Overhaul Lockdown

    South Africa Ordered to Overhaul Lockdown

    Image by jessica45 from Pixabay

    A South African court has found some coronavirus lockdown regulations imposed by the government “unconstitutional and invalid,” reports the BBC.

    The high court in the capital, Pretoria, ruled that the measures were not connected to slowing the rate of infection or limiting its spread. The judge described rules around funerals, informal workers and amount of exercise as “irrational.”

    Judge Norman Davis argued it was wrong to allow people to travel to attend funerals but not to earn their livelihoods by street trading, as many South Africans do.

    South Africa initially had some of the world’s most restrictive lockdown measures, including a ban on tobacco sales.

    Some restrictions were recently lifted but the ban on tobacco sales remains in place despite earlier indications that it, too, might be eased.

    British American Tobacco and The Federation of International Trade Associations have mounted a legal challenge to the restrictions.

    It was unclear if Judge Davis’ ruling also covered tobacco. The government was given 14 days to overhaul the regulations.

  • Altria Donates $5 Million to Fight Racial Inequality

    Altria Donates $5 Million to Fight Racial Inequality

    Photo: Tumisu from Pixabay

    Altria Group is donating $5 million dollars to address systemic racism faced by black Americans and advance social and economic equity. These funds will be used to support national and local organizations working across the United States and in Altria’s operating communities, as well as provide immediate support to small businesses in the company’s communities impacted by recent vandalism. This commitment is incremental to Altria’s planned 2020 corporate giving.

    “These are difficult times, and we must find ways to embrace our differences, address underlying systemic issues and move forward as a country,” said Billy Gifford, Altria’s chief executive officer. “We know we don’t have all the answers, but we will learn by listening to our diverse colleagues, community members and others as we seek progress within our company and the places we call home.”

    Altria will also launch a month-long employee giving campaign which will match on a two-for-one basis all employee donations. Recipient organizations will be selected by Unifi, Altria’s Black Employee Resource Group (ERG) and other ERGs. Altria also announced a company-wide paid “Day of Healing” on June 19 to allow employees time for personal reflection and healing. Altria is also voicing support for removing confederate monuments in its hometown of Richmond, Virginia, USA, once the capital of the Confederacy.

    Matthew L. Myers, President, Campaign for Tobacco-Free Kids, dismissed Altria’s donation as “shameless hypocrisy.”

    “With its announcement today of a $5 million donation to African-American organizations, Marlboro-maker Altria is once again trying to divert attention away from the enormous harm it has done and continues to do to the health of African Americans with the targeted, decades-long marketing of menthol cigarettes,” he stated.

  • PMI declares dividend, participates in Consumer Conference

    PMI declares dividend, participates in Consumer Conference

    Photo: Philip Morris International

    Philip Morris International (PMI) has declared a regular quarterly dividend of $1.17 per common share, payable on July 10, 2020, to shareholders of record as of June 22, 2020. The ex-dividend date is June 19, 2020.

    PMI will also host a live audio call of a presentation and question and answer session by Jacek Olczak, chief operating officer, and Emmanuel Babeau, chief financial officer, at the Deutsche Bank Global Consumer Conference on June 11, 2020, at approximately 7:00 a.m. Eastern Time.

    The call will be held in a virtual format and provide a live audio of the entire PMI session in a listen-only mode. Participants can register at PMI’s website to receive dial-in instructions and numbers.

  • Pakistan Moves up the Value Chain With Cigarette Exports

    Pakistan Moves up the Value Chain With Cigarette Exports

    While Pakistan has long exported raw tobacco, this is said to be the first time it exports cigarettes.
    Photo: Taco Tuinstra

    Pakistan has earned at least $6.28 million from cigarette exports over the past 11 months, reports Pakistan Today.

    Although Pakistan has long exported leaf tobacco and raw materials to various countries, this was the first time that the country exported finished products, a step that experts believe would help the country capture more markets and earn better returns in the future.

    According to government data, there was zero export of cigarettes in fiscal 2019, whereas negligible quantities of some tobacco products were exported in 2018, 2017 and 2016, amounting to $50,000, $92,000 and $78,500, respectively.

    An official attributed the increase in imports to improved quality. At the request of customers in the Gulf, manufacturing plants in Khyber Pakhtunkhwa upgraded the quality of their tobacco, paper, filters and packaging.

    Over the past 11 months, Pakistan collectively exported tobacco worth $38.12 million, which included $15.26 million kg of tobacco and 720,000 kg of cigarettes.

    Major tobacco export destinations include South Korea, Malaysia and Indonesia.