KARACHI: Philip Morris International (PMI) announced that the factory of its Greek affiliate Papastratos in Aspropyrgos, has ceased cigarette production and is now exclusively producing HEETS, the tobacco units used with IQOS, the company’s most advanced smoke-free product.
This first full conversion of a cigarette factory is a landmark step towards its vision of a smoke-free future where people who smoke switch from the most harmful form of nicotine consumption – cigarettes – to scientifically substantiated smoke-free alternatives.
The €300 million investment includes the construction of three new buildings and the replacement of cigarette production lines with high-tech facilities capable of producing 10,000 smoke-free tobacco units per minute. The conversion of the factory started in August 2017 and the facility is expected to be fully operational by the end of 2018 and will create 400 new jobs.
PMI Chief Executive Officer (CEO) André Calantzopoulos said, “This is a historic day for our company. Papastratos is the first of our factories to end cigarette production and fully shift to manufacturing our smoke-free alternatives. We will continue to convert existing sites and invest in new facilities to answer global adult smoker demand for better alternatives to cigarettes. The momentum around this revolutionary change for the benefit of the world’s 1.1 billion smokers, public health and society at large is growing, and we will continue working towards a smoke-free future.”
Along with its plant near Bologna, Italy, Papastratos is PMI’s second facility fully dedicated to manufacturing smoke-free products. It has also announced plans to either fully or partially transform our cigarette factories in Korea, Romania and Russia.
Since 2008, the company has invested more than $4.5 billion in scientific research, product and commercial development, and production capacity related to IQOS and other smoke-free products. In 2017, over 70 per cent of its global R&D expenditure and over 30 per cent of its global commercial expenditure was allocated to smoke-free products.
According to PMI estimates at the end of January 2018, nearly 5 million adult consumers around the world have already stopped smoking and switched to IQOS.
