China Tobacco Firms Start Making Marlboro Cigarettes Under License - Report

Source from:  BEIJING (AFX)  04/26/2005

Two mainland tobacco firms have begun making Marlboro cigarettes under licence from Philip Morris International before a key approval meeting scheduled by the State Tobacco Monopoly Administration for next month, the South China Morning Post. The Hong Kong-based newspaper, citing an executive close to Philip Morris' partners, Longyan Cigarette Factory in Fujian province and Baisha Group in Hunan, said the tobacco regulator is expected to announce the first orders for mainland-made Marlboros after a semi-annual planning meeting scheduled for May 16. 'Both factories have already started manufacturing but they haven't put the cigarettes on the market yet,' the executive said. 'They are waiting on a production quota. You can't sell cigarettes unless you have orders for them.' Longyan is expected to receive a first-year production quota of 24,000 cases, or 1.2 bln cigarettes, with slightly less for Baisha. Official approval would enable them to start selling Marlboros on the domestic market as early as July. Enditem