China: Yunnan Local Tobacco Company, BAT Sign Pact on Cooperation in Development of Brands, Supply

Source from:  TobaccoChina Online 08/08/2011

Wenshan Prefecture Tobacco Company in southwest China's tobacco-producing Yunnan Province and British American Tobacco (BAT) signed on July 29 an agreement on cooperation in research and practice in the development of 555-Wenshan tobacco brands and the system of guaranteeing the supply of high-quality raw materials of leaf tobacco from exclusive production bases. Signing the agreement were Manager Zhang Shufeng of Wenshan Prefecture Tobacco Company and Zou Runsheng, leaf tobacco chief inspector for BAT's China area operation. Pedro Seambelar, BAT's regional head of agronomy for the Asia Pacific Region, was present at the signing ceremony. Before signing the agreement, the two sides held a seminar on bilateral cooperation, in which both sides expressed satisfaction over the merry cooperation between the two sides over the past many years, particularly over the achievements in bilateral cooperation in the establishment of exclusive high-quality leaf tobacco production bases, formulation of technical standards for leaf tobacco production, tobacco growing, biodiversity, etc. Both sides agreed that the signing of the agreement will be playing an important role in further deepening cooperation between the two sides. Speaking at the seminar, Zou said that establishment by the two sides of the platform for bilateral cooperation in research and practice in the development of 555-Wenshan tobacco brands and the system of guaranteeing the supply of high-quality raw materials of leaf tobacco from exclusive production bases will be advantageous to increasingly usability of leaf tobacco produced in Wenshan in the formula of the 555 cigarette brand, improving the structure of the BAT's raw materials supply bases and production areas, increasing the supply of high-quality raw materials, and ensuring harmonious and stable development of both the 555 and Wenshan tobacco brands. Speaking on the same occasion, Zhang said that Wenshan Prefecture Tobacco Company will take the signing of the agreement as an opportunity for greater development, and will, proceeding from the principle of "long-term cooperation, mutual support and joint development", keep promoting improvement of the structure of leaf tobacco, designated production at high-quality leaf tobacco production bases, research of leaf tobacco growing and biodiversity, formulation of ecological leaf tobacco with local characteristics, development of ecological farm model, etc, in promoting joint development of both sides. Wenshan Prefecture Tobacco Company and the BAT have been in cooperation for many years, with a broad and profound basis for cooperation. Since the two sides established relations of bilateral cooperation in 2000, the acreage of exclusive high-quality leaf tobacco production bases has steadily developed from 600 mu (40 hectares) to 17,000 mu (1,133 hectares). The two sides have established a favorable cooperation partnership, and have jointly formulated a set of standards governing the production of high-quality leaf tobacco for big competitive cigarette brands with the 555 at the core, which has played a role in promoting all leaf tobacco production in the entire Wenshan Prefecture to a higher level. Enditem