Tobacco Exports Flourish as Swiss Smoke Less

Source from:  swissinfo.ch May 31, 2008 06/03/2008

Tobacco manufacturers in Switzerland are going from strength to strength, with exports almost doubling in the past five years. However, the number of Swiss smokers is gradually decreasing as anti-smoking measures gain momentum - Saturday is World No Tobacco Day - and the number of Swiss-made cigarettes sold on the domestic market continues to fall. Switzerland is something of a magnet for international tobacco companies, with three large firms - British American Tobacco Switzerland, Philip Morris International (PMI) and JT International - having headquarters or operations centres here. What makes Switzerland an attractive location for these firms? In a written statement, PMI told swissinfo that the company had 40 years of history in Switzerland. PMI has recently invested almost SFr500 million ($477 million) in the upgrade of its Lausanne and Neuchâtel sites. Switzerland is also an important market for PMI. "As a market leader on the Swiss tobacco market, we are continually strengthening our brand portfolio to meet the evolving preferences of adult smokers in Switzerland," PMI said. Harmful product Like all tobacco companies, PMI treads a delicate line, selling products that it knows to be harmful. "Our goal is to grow by winning market share from our competitors. ... At the same time we recognise and acknowledge that we manufacture a product that is addictive and causes serious disease," it stated. PMI also makes the argument that as long as there are smokers, there will be tobacco companies. "Regulation should govern the manufacture, marketing, sale and use of all tobacco products, while at the same time allowing us to commercialise products that meet adult consumers' preferences," said the company. However, many new smokers come from the ranks of the under 18s. The World Health Organization (WHO) has called for a ban on all tobacco advertising, promotion and sponsorship to protect young people. The WHO chose World No Tobacco Day to make its appeal. "This year's campaign focuses on the multi-billion dollar efforts of