Plain cigarette packs lead to factory closure | Fin24
 
  • Ferial Haffajee

    Why should SAA employees pay for the sins of Dudu Myeni and Jacob Zuma?

  • The Namibian Link

    Evidence is mounting that VBS Mutual Bank aided another elaborate bank heist.

  • Mobile Merger?

    Telkom has confirmed it is in talks to buy network operator Cell C.

Loading...

Plain cigarette packs lead to factory closure

Apr 02 2014 11:07


Sydney - Global tobacco giant Philip Morris announced on Wednesday it will cease manufacturing cigarettes in Australia.

The move comes after a steady decline in the number of smokers in Australia and a law banning the use of colourful product designs on cigarette packs.

The company blamed the government's plain-packaging laws for restricting export opportunities. The firm said plain packaging had not caused a decline in domestic sales, The Australian newspaper reported.

Around 180 factory workers will lose their jobs in Melbourne as the manufacturing operation moves to South Korea at the end of the year.

Official statistics show the proportion of Australians who smoke declined between 2001 and 2012 from 27% to 20% for men, and 21% to 16% for women.

Philip Morris is the second-largest cigarette maker in Australia.

The largest, British American Tobacco, plans to continue manufacturing in Australia.

australia  |  tobacco  |  cigarettes
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
1 comment
Comments have been closed for this article.
 

Company Snapshot

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

What do you think about private healthcare in SA?

Previous results · Suggest a vote

Loading...