BAT aims to lead the transformation of the tobacco industry from Pécs - VIDEO REPORT

BAT aims to lead the transformation of the tobacco industry from Pécs - VIDEO REPORT

The inauguration of the first new production lines out of the 6 of BAT in Pécs

The first production line of the British American Tobacco factory in Pécs was handed over, which is to produce potentially reduced-risk, innovative products compared to the traditional tobacco products. In the framework of the EUR 23.8 million investment even tobacco-free nicotine pouches are soon to be produced on five additional production lines. As a result of the development creating 60 new workplaces, the production of the unit in Pécs might increase more than threefold.

British American Tobacco (BAT), which has been listed on the London stock exchange for over 10 years, is one of the oldest, largest and most well-known stakeholders of the international tobacco industry. The company with more than 400 operations currently runs 55 factories in 48 countries, employing over 57,000 people. The product portfolio of BAT includes more than 200 brands, however, in addition to traditional brands, the ratio of so-called potentially reduced-risk, even tobacco-free products is increasing.

The factory in Pécs with also more than 100 years of history was purchased by British American Tobacco in 1992. Over the last nearly three decades BAT realized an investment exceeding HUF 60 billion in Hungary, as a result of which it employs over 800 associates, however, with the completion of the planned developments, this figure might even approach 1,000. In parallel to serving the needs of the domestic market, British American Tobacco in Pécs supplies to more than 30 markets, and is the sole plant to produce filtered cigarillos.

Under the current investment, the production of nicotine pouches ‒ that can be rated as a potentially reduced-risk product ‒ is to be launched on 6 production lines in Pécs. The first line was already installed, and over the upcoming months another five production lines are to be commissioned, making the unit in Pécs the largest nicotine pouch factory of BAT. As a consequence of the development, the production volume of 2019 might increase more than threefold by 2020.

We found Pécs to be the most suitable location for our development for several reasons. One is the wide-scope expertise of the Hungarian colleagues, which uniquely enables the production of so far three, and now four entirely different types of products in Europe

- emphasized Bernd Meyer, Director of BAT in charge of production in the European and North-African region.