China: Chuxiong Cigarette Factory Completes Project of Relocation, Transformation

Chuxiong Cigarette Factory of Hongta Group in southwest China's tobacco-producing Yunnan Province – a leading Chinese tobacco manufacturer – held a grand ceremony on December 5 to mark its completion of a project of relocation and technological transformation and its entry into operation following completion of the construction of the project over the past five years.

The dignitaries attending the ceremony included He Zehua, deputy director-general of the State Tobacco Monopoly Administration; Cheng Yingxuan and Yang Yingnan, vice-chairmen of the Standing Committee of Yunnan Provincial People's Congress; Ding Shaoxiang, deputy provincial governor of Yunnan; Luo Lihui, vice-chairman of Yunnan Provincial Committee of the Chinese People's Political Consultative Conference; and Su Zhengguo, a veteran leader of Yunnan Province. Besides, Luo Zhengfu, chairman of Yunnan Provincial Committee of the Chinese People's Political Consultative Conference, sent a congratulatory message to Chuxiong Cigarette Factory.

The project of relocation and technological transformation of Chuxiong Cigarette Factory was approved and registered by the STMA on December 26, 2006. The execution of the project was started on December 12, 2007. With a total investment of 2.7 billion yuan (429 million U.S. dollars), the project was intended to enlarge the annual cigarette production of Chuxiong Cigarette Factory to 600,000 cases (30 billion cigarettes).

After completion of the project, the new Chuxiong Cigarette Factory now possess a12,000 kg/per hour leaf tobacco slitting, threshing and redrying line, a modern leaf tobacco cutting line, and 27 sets of cigarette rolling, joining and packing equipment. As a result, Chuxiong Cigarette Factory has become the first modern cigarette-making enterprise in China that integrates the collection and allocation of leaf tobacco, industrial grading of leaf tobacco, modular combination, leaf tobacco threshing and redrying and cigarette production into a same production zone, and that integrates into a whole the application of advanced technological ideas and techniques for raw materials processing and cigarette production.

From 2004 to 2011, the annual output of Chuxiong Cigarette Factory grew by 11 percent, the current-price gross industrial output value of the factory went up by 121 percent, and the annual amount of its taxes and profits increased by 154 percent. Enditem