Issue link: https://read.dmtmag.com/i/743340
tobaccoasia 49 Yuri Gagarin's Hauni multi filter combiner products which we can then offer to all our cus- tomers with confidence," Arabyan said. Yuri Gagarin Plc at present is by far the largest producer of filter rods and tobacco-related printed materials (blanks, outer packaging, inner frames, filter tube boxes, etc.) in Bulgaria. "Bulgaria currently has three [major] cigarette manufacturers, and Yuri Gagarin works with all of them, at least to a certain extent," said Zisov. Meanwhile, the company also supplies customers in more than 30 countries worldwide, mainly in Europe and the Middle East. "But we have se- cured some customers from Africa, the United States, and the Far East too," Zisov asserted. Over the course of the coming three to five years the company intends to research other un- tapped markets in the Far East, Central and South- ern Africa, and Northern America. Meanwhile, the company is pondering further expansion of its product portfolio, particularly with regards to printed aluminum foil and tipping papers. "Most of our customers are frequently ask- ing about those products and we are thinking if we should add those to our portfolio within the next two to three years as well," said Zisov. "Yet even without these additions, Yuri Gagarin can al- ready fulfill pretty much every requirement, offer- ing both rotogravure and offset printing. We can definitely supply hard packs, outers and soft packs, and have huge experience in applying special ef- fects such as hot-foil, soft-touch inks, embossing, debossing, micro embossing, holograms for brand protection, and others," explained Zisov. Filters are meanwhile produced using a robust machine inventory covering the whole range of mono-acetate filters in terms of various lengths, diameters, pressure drops, PWP, etc. The compa- ny also has made its mark in special filter produc- tion, such as dual-combined filters with charcoal or different additives, recess filters in different for- mats or menthol, and fruit-flavored filters. "And we are definitely going to complement our portfolio with other special filters for queen size and other newly developed cigarette formats," Zisov assured. This also seems necessary, because Yuri Gagarin has observed that "different com- panies have vastly different sets of mind when it comes to filters." Some of them, Zisov said, are very pragmatic and rely on mono-acetates only, while others like to experiment extensively with triple- combined, hollow, or capsule filters – and anything in between." KT International SA: more formats, more choice, more success Together with Bulgartabac and Yuri Gagarin, KT International SA (KT) like- wise was born from the meltdown of the now-defunct state monopoly; and just like its "siblings" the company has fared exceptionally well and against all odds. Founded as recently as 2008, KT inherited a former BSTM factory with an annual cigarette production capacity of 3.5 billion sticks. While over the following two years this was gradually increased to 5 billion sticks, the old BSTM factory eventually proved no longer able to keep up with rising de- mand. In 2014, the company therefore opened a brand new, state-of-the-art manufacturing facility in the city of Plovdiv, which currently employs more than 460 people and has an annual capacity of 20 billion sticks. "It has parallel production capabilities that provide total flexibility in manu- facturing and, equipped with the latest technology, delivers against rigorous Eu- ropean standards and requirements," elaborated Stuart Buchanan, global sales and marketing director. Besides a global portfolio of consumer-led cigarette brands, the company today also supplies processed tobacco leaves and cut rag. "Moreover, we also offer our processing, preparation, and production fa- cilities to independent companies and customers with private label brands," remarked Milen Shterev, KTI's head of global marketing. While after its inception in 2008 KT initially began to kick off with sales restricted to the domestic market, management almost immediately also em- barked on a determined global expansion drive. With its export division hav- ing grown stronger and stronger over time, the company and its products have since penetrated 31 countries on three continents. "Our products are already well established in European countries like France, Spain, Italy, Romania, Czech Republic, Bulgaria, and others and we are currently also building our brands in the Middle East, for example in the U.A.E., Palestine, Egypt, and Israel," explained Shterev. "We still only have a very small base in Asia… but countries like Malaysia, Singapore, and Japan will become important markets for us to enter, because it is there where we can give already very price sensitive consumers access to international brands with EU manufacturing quality at an affordable price." "Our results for the first quarter of 2016 have shown a 34% growth in value turnover compared to the same period in 2015, which translates to a 30.7% increase in volume," Buchanan said. "We pride ourselves on the fact that this was not achieved through excessive price increases but through sus- tained volume growth in our key markets." He insisted that although the com- pany entered a few new markets recently, the largest portion of that growth came "from organic growth in existing markets where consumers are moving Cigarette making at KT International images courtesy of Yuri Gagarin Plc images courtesy of KT International SA