The CEO of the company and his deputy for “Al-Mal”: “Philip Morris International” aims to reach 50% of income from heated tobacco by 2025.
“Continuous attempts and quick movements.” In these short words, you can describe the effort of Philip Morris International, which works in the field of cigarette production and heated tobacco technology, to reach a smoke-free world within about 10 years. , according to his estimates.
More than $9 billion spent on development and innovation over the past 13 years
This mission, which Philip Morris embarked on to continue its leadership in this industry in the category of smokeless products, prompted it to establish the largest research center specialized in the development of less harmful tobacco products in the world in Neuchâtel, Switzerland, which includes more than 980 experts , scientists and employees in the field. Research and development and spent more than 9 billion dollars in research, development and scientific evidence for smokeless products, ensuring its transformation from a simple tobacco product to a company that relies on science and innovation as a core approach to its work.
Tommaso Di Giovanni, Philip Morris International’s executive vice president for media communications, said in statements to Al-Mal on the sidelines of a tour organized by the company, for numerous journalists, at the headquarters of its research center and factory in Neuchatel. , Switzerland, last week, as part of the TECHNOVATION (smoke free by. PMI) conference, that the company’s profit from smoke-free products and less harmful alternatives recorded about 6.4 billion dollars by the third quarter of 2022, and this value represents about 30% total profit.
He revealed that his company aims to increase the share of its revenue from smokeless tobacco products to 50% by 2025.
It is important to note that heated tobacco products are smokeless cigarettes that rely on heating the tobacco to inhale nicotine, and are manufactured by Philip Morris as part of its plan to come up with free products that help consume nicotine in a less harmful way.
Di Giovanni explained that the number of adult smokers who switched to smokeless tobacco products was about 19.5 million as of last September, and the company aims to reach 40 million people by 2025, he said.
Converting 8 factories to provide alternative products from a total of 39 factories worldwide
Philip Morris smokeless products are available in around 70 international markets, and the company owns around 39 factories, 8 of which have been repurposed to operate in the production of alternative cigarettes using heated tobacco technology.
Di Giovanni said that, for example, the Philip Morris factory, which is located in Lausanne, Switzerland, produces hundreds of types of products of different sizes and flavors, which are exported to some markets such as Sudan and Morocco, and the factory became carbon neutral in 2020.
And Philip Morris, in previous press statements, said that the results of an independent survey conducted by it on the knowledge of smokers about the main causes of harm from smoking revealed that there are only a few smokers in the world who understand that the main problem lies in the smoke. created by the combustion process that takes place in the smoke. traditional cigarettes.
The company emphasized that a scientific understanding based on proven facts about the process of burning tobacco and the resulting harm helps adult smokers who choose to continue smoking to make informed decisions about switching to a better alternative to cigarettes, especially in light of scientific evidence that confirms that the process of lighting a cigarette produces about 6,000 harmful chemicals, and high levels of these harmful substances in cigarette smoke are the main cause of diseases associated with smoking, because scientific research has shown that the damage caused by smoking is closely related to the combustion process.
The company’s CEO, Yachik Olchak, revealed that the least harmful heated tobacco products are currently available in about 70 markets worldwide, and we aim to increase them to about 100 in the next three years by 2025.
Olchak pointed out that it is not fair to leave some low-income countries behind in the transition process, and a product must be available for them to purchase.
Philip Morris aims to transition to smoke-free products by 2030, investing billions of dollars in scientific research and development of products that reduce the level of harmful – or potentially harmful – chemicals emitted from cigarette smoke by up to 95%.
The CEO continued, saying that his company is trying to convince adult smokers who want to continue smoking to switch from traditional smoking to a better alternative such as heated tobacco, but faces obstacles such as the lack of government approval for the alternative in many countries. products.
Predict the disappearance of traditional cigarettes within 10 years
Nevertheless, Yachik Olczak expected the disappearance of traditional cigarettes within 10 years, after adult smokers who did not want to quit around the world switched to using less harmful alternatives such as smokeless products, while spreading awareness of these less harmful alternatives.
He pointed out that providing users with information about the electronic product will help to fully convince them, anticipating a smoke-free world in the coming years, saying that we may soon see traditional cigarettes in museums.
He added that several years ago “Philip Morris” decided to invest in the innovation of transforming traditional cigarettes, in order to reduce the components that cause health damage due to the combustion of tobacco.
He continued, saying: “There was a problem with smoke and we have to give it up and convince people to get rid of it, but some people continue to smoke, and when a cigarette is lit, some harmful elements are emitted, and despite this, people smoke, so it is therefore there was a problem, but solutions can be found for this problem. With science and recourse to reducing exposure to health risks, adding: «30 years ago research was not possible nor did it exist».
He pointed out that “Philip Morris” invests in risk reduction, from a scientific point of view, and we wanted to help people to leave traditional cigarettes, and the situation was not rosy in the past, but now we are satisfied with what we have. accomplished.
It is worth noting that Philip Morris Egypt announced the change of the manufacturer’s name printed on all its products, including “Marlboro”, “Mert” and “L&M” cigarettes of all types, to “Made in Egypt at United Tobacco Company”, after United received the license for the production of cigarettes, traditional and electronic cigarettes in Egypt.
She explained that the Eastern Tobacco Company will continue the production of all Philip Morris cigarette products until the supply of raw materials and raw materials necessary for the production of these types is exhausted, after which the United Tobacco Company begins the production process.
Philip Morris Egypt expressed its satisfaction with the successful strategic partnership with the Eastern Tobacco Company, which lasted almost half a century, and the aspiration to continue this partnership through the contribution of the United Tobacco Company.
She highlighted the effort to continue with great success in the Egyptian market, to meet all the needs of adult smokers through a new phase in which all brands owned by Philip Morris are produced in the United Tobacco Company.
At that time, Philip Morris Egypt announced its full commitment to all contracts with retailers and suppliers to ensure the availability of all products in all governorates of Egypt, explaining that its ultimate goal is to contribute to supporting the Egyptian economy and meet the needs of adult smokers, and that it will continue to provide all its products at the same prices that it recently set, without any changes to the packaging of cigarettes or their shape, in accordance with the best quality levels.