JTI Awaits Response on Malawi Manufacture Proposal

Source from:  Tobacco Reporter 07/30/2012

The government of Malawi has not responded to a Japan Tobacco International proposal to build a cigarette plant in the country, two years after the proposal was presented for consideration, according to a story in The Daily Times. JTI Malawi managing director, Neville Young, was quoted as saying that it remained the company's vision to venture into local cigarette manufacturing. "We submitted our proposal to government in 2010 and that proposal is still sitting with government," said Young. The Tobacco Control Commission (TCC) chief executive, Bruce Munthali, confirmed in a separate interview that JTI had submitted the proposal two years ago, at which time it had requested investment incentives. "They asked for incentives that include duty waiver for equipment, tax holidays and land acquisition but the government is yet to respond to the proposal," said Munthali. Meanwhile, Young said his company would continue to increase the amount of tobacco it acquired from Malawi’s growers, especially through contract farming. JTI is currently working with 3, 000 farmers for the direct supply of tobacco to the company. Enditem