Altria launches smoking rights website….

Altria has launched a smoking advocay website which can be found by clicking on the link below or pasting it into your browser.

http://www.tobaccorights.com/ctr/advocacy/default.aspx

Interested individuals can sign up and post views and get involved in defending smoker’s rights.

GD – Bologna – acquisitions:

GD and its parent company have been busy in the last couple of months, acquiring first Sasib in October immediately followed by Flexlink in November. According to GD’s website Sasib will continue to operate as a separate business.
This consolidation trend reflects the tobacco industry’s manufacturing consolidation where the number of large multinationals dominte the cigarette manufacturing sector operating from large regional or national factories.

Who will be next we wonder?

TabExpo – Prague 2011

TabExpo Prague wrapped up last Friday and was by all accounts successful.
The show was well attended by visitors from all parts of the industry. By the second day it had exceeded attendance at the smaller WT Expo held the week before in Munich. Visitor traffic was at times heavy for three of the four days. The last day is always slow in any exhibition.
Exhibitors were well pleased both with the quality and quantity of attendees. Several exhibitors closed business on their stands and nearly all came away with good prospects

Organisation was also well executed and communicated.

Filtrona Mexico factory to close

Filtrona PLC will close their filter factory located in Monterrey Mexico effective today – Monday August 1 2011.
Staff are being informed and we wish them every success in finding new positions and for their families.

Opened less than 10 years ago, the Monterrey facility was originally the latest model for cost-savings by opening a facility where labor costs were lower than the neighboring US. In reality only direct labor was lower and the cost-savings elusive. As gas prices rose the facility became increasingly expensive to supply customers located East of the Mississippi.

High-speed combining machinery was relocated some time ago, leaving a residual mono-acetate filter business predominently supplying independent customers in North America. This business will presumably be relocated to the Greensboro facility – which apart from Paraguay is the only remaining facility in the Americas.

Special filter volumes have continued to slowly decline as special filter cigarettes were relocated to other multi-national cigarette factories outside the US – pressuring Filtrona with two large facilities in Monterrey and Greensboro.

Tabacchi Pojana – looking for sales partners

TABACCHI POJANA s.c.a.m.p
Società Cooperativa Agricola a Mutualità Prevalente
Pojana Maggiore (VI) – Largo Europa, 101
Tel.: +39 (0)444898036 – Fax: +39 (0)444794234

Introduction

Tabacchi Pojana is an Italian company specializing in tobacco growing and processing. It was established in 1947 by a group of farmers from the Veneto who are mainly engaged in manufacturing and marketing of tobacco grown by its members. The headquarters and factory are located in Pojana Maggiore close to the city of Verona in Northern Italy

Tabacchi Pojana is committed to the promotion of tobacco through its control of the production process, from sowing and care in the fields to final processing for clients. We handle the marketing, both direct and indirect, to a mixture of manufacturing industries.

The Flue-Cured (also called Virginia or Bright) tobacco varieties of Verona are Tabacchi Pojana’s flagship products. It is the result of the summation of good climatic, agronomic and soil conditions, making them excellent in quality and universally recognized. Additionally, our Burley tobacco, is a traditional Burley, where the plant is topped removing the button flower. This, together with sucker control,allows for a more aromatic and colorful tobacco. This is generally referred to as Burley high nicotine and is another high-quality traditional tobacco from Tabacchi Pojana.

Our research is directed primarily towards tobacco manufacturing companies producing cigarettes, cigars and cigarillos who are interested in tobacco varieties (Flue-Cured or Burley high nicotine – from green to strips) in a long-term business relationship supplying volume and consistent quality.

If you are interested do not hesitate to contact us for any further info.

You can contact us by email at: tabacchipojana@hotmail.com
Ask for Flavio Carassini

Lorillard and RJR sue FDA:

Alleging conflicts of interest among members of the Food and Drug Administration (FDA) scientific advisory committee, Lorillard filed suit to stop FDA from receiving or relying on recommendations from their advisory committee – called tpsac – including proposals regarding menthol cigarettes. The lawsuit was filed jointly by Lorillard and R.J. Reynolds Tobacco Company in the United States District Court for the District of Columbia. The TPSAC advisory committee is expected to make a recommendation on menthol cigarettes on March 23, 2011.

The suit alleges that the Tobacco Products Scientific Advisory Committee as currently constituted fails to meet requirements of the Federal Advisory Committee Act to be fairly balanced and not to be inappropriately influenced by any special interest. Instead, the suit alleges, conflicts of several members of the committee render the panel unable to deliver any report or recommendation to the FDA that is “free of the taint of conflicts of interest.”

The suit specifically alleges that three members of the committee, Drs. Neil Benowitz, Jack E. Henningfield and Jonathan M. Samet are conflicted because they have made tens of thousands of dollars as paid expert witnesses in litigation against tobacco products manufacturers and due to their continuing financial relationships with pharmaceutical companies that make smoking-cessation products.

Beginning last year, the two companies and others urged the FDA to ensure that members of the panel were free of conflicts. Those concerns, however, were either summarily rejected or entirely ignored.

“We are taking this action reluctantly after the FDA failed to constitute the committee in accordance with the law and failed to properly address legitimate concerns regarding fairness and impartiality,” said Ronald S. Milstein, senior vice president and general counsel of Lorillard.

Fire at Filtrona Paraguay filter factory

Reports coming from Brazil indicate Filtrona’s filter factory (Filtrona Paraguaya,) located on the outskirts of Ciudad Del Este, Paraguay was badly damaged by fire earlier this week. It is reported that all of their stock was destoyed along with most machinery.
The exact extent of the damage is unclear but local customers in Paraguay and Brazil are scrambling to find alternative sources of supply.

It is not known when, or if, the facility may be restored.

TABEXPO Prague or WT Expo Munich – what to decide?

Since WT announced their Munich show directly on the heels of TABEXPO Prague the Tobacco Industry has been a regular gossip column. Why?
Almost everybody agrees holding two shows, within a week of each other, in Europe, makes no sense. Indecision is rife and not surprisingly; making the wrong decision will be costly in many ways and what’s the harm in waiting it out?
More than you think…..
First, we all agree there are too many shows. This is a mature industry, which is consolidating and new products / developments don’t appear every year. Exhibition costs are large – why spend on a booth if you don’t have to?
Having two shows dilutes both. Nobody wins. Not you, the Tobacco Industry not TABEXPO or WT Expo.
Many argue TABEXPO and WT should get together and have one show. It’s not going to happen. It’s not even a great idea as competition will be diminished (meaning eliminated) and that’s really not good for the Industry. The best solution would be if WT re-scheduled. Moving the Munich show, from the week before TabExpo which has been held in November since 1994, would actually be helpful to the Tobacco Industry.
This seems unlikely. So what to do? Well the future is in your hands; here are some suggestions…..
Do your research and find out who’s really going to exhibit? There are some shenanigans going on. Quite a few exhibitors are listed as exhibitors at Munich who haven’t paid deposits; meaning they’re not going. In some cases they are still listed as exhibitors when they’ve paid to attend TABEXPO and told WT they will not exhibit in Munich.
Consider which show is likely to be the best supported and attended. WT does a good job with their shows but TABEXPO is an Olympic exhibition – a World Trade Show – a four-year event. You can guarantee TABEXPO will be well attended; and by key Tobacco Industry executives from around the World. Go for the show that will be best for your business.
If you’re looking to do business, find opportunities, update yourself on the industry; make plans to be at TABEXPO – the show with the best exhibitor profile, attendee track record and congress participants? At TABEXPO you have an extra day to do it; in Prague, a city which costs considerably less than Munich.
WT is now offering bargain basement prices on booth space. Sound good – you bet – but check further before you leap. Is the bargain basement pricing possibly a sign of desperation and is it at the expense of early signers who find they paid more to exhibit than those who waited? What a deal! What if prices fall even further?
If you exhibit in Munich, what if the show attendance is disappointing? Do you have a fall-back? Can you afford to exhibit at both? Do you want to? Can you afford not to?
If you are a major raw material supplier or equipment vendor then one good order or prospect will cover your investment. Where will you, most likely, get that order; meet those prospects and others……..?
Analyze where your prior exhibition business came from – did it come from TABEXPO or did it come from WT?
Many industry insiders have confirmed they will go to TABEXPO Prague, some, if they can afford it, may go to both.
If I had to choose just one show to attend in 2011 – it will be TABEXPO Prague. Good prospects, well attended, excellent connections and at a fair price.