Tobacco Asia

16 tobaccoasia FRONT PAGE NEWS 卷首新闻 Asian Cigarette Market Expected to Reach US$643.5 Billion in 2026 ResearchandMarkets.com forecasts the Asian cigarette market will reach US$643.5 billion in 2026, experiencing growth at a CAGR of 5.61% during the period spanning 2022-2026. Growth in the Asian cigarette market by value is expected due to an increase in youth population, female smokers, people's stress levels, as well as inflation and the increase in gross domestic income driving cigarette prices, thereby increasing the cigarette market value. However, market growth would be challenged by increasing penetration of illicit cigarettes, next generation products, and the decreasing number of habitual smokers. By volume, the Asian cigarette market is forecasted to decline at a negative CAGR of 0.78% during 2022-2026. This decline is expected due to increasing awareness of the health issues which are driving people to reduce the consumption, rise in number of alternate products like NGPs, increase in the awareness through education system, and increase in cigarette prices. The market is antici- pated to experience certain trends like increasing preference for flavored cigarettes and increase in advertising campaigns. In 2021, the dominant share of the Asian market was held by China followed by Indonesia, Japan, India, Korea, Philippines, and Malaysia. . JTI Expansion Plans in the Philippines Japan Tobacco International (JTI), pledged to continue investing in the Philippines. This will include a sizable capital investment for next year, the hiring of additional staff for its Global Business Service (GBS) center, and perhaps even the production of heated e-cigarettes at its Batangas manufactur- ing hub. According to a Manila Bulletin report, JTI Philippines general manager, John Freda, said the company has been investing in the nation despite a falling tobacco market and a concerning illegal tobacco trade. Following the establishment of its successful GBC center in the country at the height of the pandemic in 2020, Freda stated that JTI will be hiring an additional 150 people this year, bringing their total shared service facility man- power to 600. This will allow them to better meet the needs of their affiliates in Asia Pacific and the Americas. Freda did not rule out the prospect of JTI producing its heated tobacco sticks Ploom in the nation even though there are no immediate plans, given that the Philippines is its production hub for the Asia Pacific area. Currently, Ploom is manufactured in the EU and Japan. Freda added JTI also "intend[s] to launch" the heated cigarette in the Philippines but could not say when. InterTabac and InterSupply's Comeback Sees 12,100 Visitors After a two-year break, InterTabac and InterSupply made a successful return in 2022 with a comprehensive program of events and strong exhibitor line-up featuring over 600 exhibitors from 69 countries. 160 of which were first-time exhibitors. The "comeback of the year" was a runaway success, as InterTabac and InterSupply picked up where they left off two years ago when Covid-19 struck. And there's more: the world's largest trade fair for tobacco products and smoking accessories and the international trade fair for the production of tobacco goods, e-cigarettes, pipes, and shishas attracted 12,100 visitors – another excellent result. "These superb figures and the consistently favorable opinions voiced within the industry show that, even after the compulsory two-year break, the twin shows in Dortmund remain the foremost meeting place for the global tobacco industry," said Sabine Loos, managing director of Westfalenhallen Unternehmensgruppe which owns and operates the Messe Dortmund venue. "The overall environment was difficult. The global political situation, faltering supply chains, the Covid pandemic, and visa problems posed enormous challenges for the participants and for us as organizers. We're absolutely delighted that the shows have actually been able to improve on 2019," said Loos, referring to the high levels of exhibitor satisfaction. In fact, over 92% of InterTabac exhibitors were already able to say they want to take part again. This figure represents another year-on-year increase on 2019. InterSupply also reported significant growth in satisfaction levels, with nearly 90% of exhibitors already making plans to come again next year – an- other 7% increase since last time. This year, the who's who of the global tobacco industry was back in Dortmund, including well-known representatives of producers, wholesalers, and the retail trade. A total of 12,100 visitors from home and abroad flocked to Dortmund, representing all major core target groups and business sectors including the classic tobacco retail trade as well as service station operators and newsagents. At nearly 50%, the proportion of visitors travelling from abroad to attend InterTabac and InterSupply was extremely high and included a major contingent from the US and Canada. The twin shows also registered high numbers of visitors from Asia, especially China, India, Indonesia, and Japan. South and Central America, too, were represented strongly by visitors from countries such as Chile, Brazil, Argentina, and Mexico. The shows also recorded a high number of European visitors from Spain, Belgium, Neth- erlands, Italy, France, and Turkey. The response from within Germany was also great, accounting for around 50% of visitors. "The global Covid pandemic has been a major challenge for the tobacco industry – and others – over the past two years, but we've used the break to our advantage and developed a lot of new content," said Loos. "Visitor take-up of offerings – both new and proven – at the twin shows has been superb, and people have been taking the opportunity once again to cultivate contacts and do business. Feedback from the industry has been absolutely great, and when you look at the stand bookings and ticket sales, it's clear the industry is still 100% behind InterTabac & InterSupply. I'm already looking forward immensely to InterTabac & InterSupply in 2023." InterTabac and InterSupply 2023 will take place September 14-16. For further details on the shows, please visit www.intertabac.com, www.intersupply.com About 12,100 trade visitors attended this year's InterTabac and InterSupply shows. Photo Credit Wolfgang Helm, Messe Dortmund

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