STMA Approves Project to Establish Joint-Venture Tobacco Company in DPRK

Source from:  Jilin Province 11/19/2007

The State Tobacco Monopoly Administration - the regulator of China's tobacco industry - approved on November 6 the project of Jilin Tobacco Industry Co., Ltd. in northeast China's Jilin Province to establish the joint-venture Pyongyang White Mountain Tobacco Co., Ltd. in the neighboring Democratic People's Republic of Korea (DPRK), in continued business development in the DPRK. The approval signified the entry into practical implementation of the joint-venture project. Since 2000, Jilin Tobacco Industry Co., Ltd., making a full use of its geographical, cultural and technological advantages and with a foresight, have separately established the joint-venture Taedong River Tobacco Co., Ltd. and Nason Shinhung Tobacco Co. in the DPRK in seizing opportunities in promoting market development both in China and abroad. The cigarette output of the cigarette-making enterprises operated by Jilin Tobacco Industry Co., Ltd. outside China is expected to 2 billion cigarettes in 2007. Through exploration and business development over the past few years, Jilin Tobacco Industry Co., Ltd. has relatively well understood the political and economic environment, cigarette market and tobacco consuming habit in the DPRK, and has developed a team of business operators and managers who are enterprising and dedicative, who understand management know-how and foreign languages, and who are experienced in conducting international operations. The establishment of the joint-venture Pyongyang White Mountain Tobacco Co., Ltd. will contribute to further broadening the full-scale mutually beneficial cooperation between the tobacco industries of China and the DPRK, and creating yet another platform for overseas operations by Jilin Tobacco Industry Co., Ltd at a high level. Enditem