Global tobacco, independence investigation report

recent years, the increased costs and increased tobacco regulations under double pressures, the world’s major cigarette makers began to change in raw material purchasing yi zhang, set up a special department of tobacco, leaf tobacco business is increasingly global real independence of reduced.So, what kind of enterprise is independent tobacco business?They insisted that there is no future?

Some people think that do not belong to the manufacturers, can provide different customers with various types of tobacco leaf tobacco business is independent.

When it comes to independence, the reader can often think of “small” or at least “smaller” enterprise.Like global tobacco, united international stability of retaining a share of the global tobacco market in the first two should certainly ruled out.Union, however, the international claims on its web site is independent of the tobacco business.Global tobacco leaf after received inquiry from the media, immediately use email said they are “independent”.

For independent tobacco business, the industry doesn’t seem to have a unified definition.

For us, “independent means not directly affiliated with any of the cigarette manufacturers, can provide various types of tobacco leaves to all customers.”This is a global tobacco answer.

British high quality tobacco companies lauren huck, agree with this view.He thought: “the so-called independent, is to provide clients with tobacco, but not direct investment or holding a stake in another company, can be involved in the production or sales of famous tobacco brand products, including cigarettes, cigars, pipes, cigarettes, chewing tobacco and snuff.”

According to the “not directly affiliated with any of the cigarette maker”, the definition of the industry and several tobacco business I’m afraid I have to out.Such as Brazil, souza cruz, tobacco companies, British American tobacco had its ownership;And British Tribac company, has been incorporated into smoke international family.Many small traders also does not accord with a standard tobacco leaves.Zimbabwe, for example, most of the tobacco business is associated with a manufacturer in a variety of ways or subordinate relations, including the north tobacco company (Northern) Leaf tobacco main pin to British American tobacco.The definition should also rule out focus some type tobacco or only an area based companies, such as Adam International (Adams International), the company specializing in Thailand tobacco, with an International alliance.Greece and Turkey as part of the company is not in conformity with the requirements, they could trade with many countries have, but the main business focus on tobacco.

In addition, there are similar to American tobacco cooperatives such special case.Cooperatives established purpose is stable market prices of leaf tobacco in the United States, now it is not only production and sales of many kinds of tobacco, but also in cigarette manufacturing investment, tobacco is a case of the integration of production and operation.

Some of the personage inside course of study thinks, the independent significance lies in the tobacco business is not owned by any big buyers, operating flexibility.

John Wallace served by tobacco companies headquartered in the United States, Connecticut, is a rising star in the industry.The meaning of “independent first is that we don’t belong to any big buyers all, although we can often cooperation with them.”Wallace said, “I hope this name can give us on the business of flexibility.”

Iqbal, lambert, chief executive of the international tobacco Turkey’s stars.The company headquarters is located in Istanbul, Turkey, in Africa, Europe, Asia and the United States are conducting business activities.”Today’s tobacco industry has high integration, can become independent tobacco business means must have power, can independently of the big knockout, such companies, including universal international, high-quality tobacco leaf tobacco or the company, etc.”Lambert said. “the following is the first phalanx, including vertical parking tobacco company (Lippoel Leaf) and international stars and bada company (Abdac) and so on, this kind of company from different regions, various kinds of tobacco, the buyers are also different. The second phalanx is truly pure independent tobacco business, focusing on the service of one or two buyers, only work one or two tobacco varieties. Buy tobacco traders from these people and resell to producers.”

CNT tobacco company is a family enterprise, the headquarters is located in the German city of heilbronn, dirk, head of the seaman believes all does not belong to the customer of the enterprise is independent.”In our view, there should be three types of tobacco companies: public, private and manufacturers all classes.”Seaman said, “the third kind is surely not independent of each other. According to our understanding, the second than the first kind of more independent.”The private sector, he thought, especially the family enterprise, due to the strong collective sense of self-identity, easier to complete the enterprise long-term mission.

Greece’s second largest tobacco traders knicks grumman rudes, Gerry, President of ace audi said, family ties to ensure strong loyalty to the enterprise operator.Some enterprises established in more than a century ago, a generation after generation of managers will family of professional technology and the love of tobacco leaf planting new generation.These enterprises are also faced competition from multinational tobacco business, but giving full play to the advantages of enterprises, an operator successfully survived the test.These advantages are: interest is same, flexible operation and rapid determination of ability.

Gerry audi, it got some other small leaf tobacco business response.Greece, Ryan tobacco company, ke, t. massey said: “have conveniently small independent company organization structure, flexible and rapid decision-making process, highly professional dedication and enthusiasm of creativity and innovation.”In addition, accessibility, and contact with senior management can handle any size of orders, etc., are treated as is one of the competitive advantage of small independent companies.

Independent tobacco company, says rick Smith, head is not only a small customer, even the big producers sometimes because product development or other project need small orders.For customers, cooperation need quick decisions, if can interact directly with other management can make them save a lot heart.

Japan Senri tobacco companies active in Asia, its head of kirill sent this thought, a small independent tobacco business not like large multinational companies of the purchasing department staff stationed around the world in turn, but can employ some familiar with local conditions, living in a country for many years, familiar with local culture, can speak the local language.To some extent, independent tobacco business is equivalent to the level 2 department of cigarette maker.”Producers of tobacco team does not need to be equipped with too many people, such both high efficiency and save manpower cost more.”Send this said.

And another advantage of independent tobacco business cooperation has a convenient information resources.”In some markets, obtained from various information valuable to producers, sometimes even don’t have to send their crop assessment and market research department, can reduce a lot of management costs.”Send this said.

High quality tobacco companies according to the tobacco business investment and scale is different, divided into the different types of independent tobacco business.

Another way to identify different type tobacco business nature of the way, is to see what they do in their respective business areas of investment.Because the cigarette producers in tightening controls on tobacco planting and processing process, to do what kind of investment is supposed to be looking tobacco business is the most effective way of a business prospects.

High quality tobacco companies as this way will be all kinds of so-called independent tobacco business is divided into the following categories:

International tobacco business: refers to the core market, the tobacco leaf production and tobacco processing infrastructure investment company.Its long-term tobacco raw materials for big cigarette manufacturers supply, provide stable service.This kind of company’s business scope is clear, reliable business model, in compliance with good agricultural practices, and so on.

Regional tobacco makers: usually refers to limited to operating the individual interests of the tobacco variety or only in one area of the company.Its business has a long history, and the international tobacco business investments similar but smaller, and focus on individual species.This kind of company is considered a niche market player, but given their location, product or regional influence, may get big customer support.

International tobacco dealers: refers to less investment in tobacco leaf production market, but due to accurate positioning, knowing the local language, etc., have been supported by some producers.Such companies may employ only a few employees, not for the large customer with large order or long-term service.

Some people think that international tobacco business is involved in various forms of activities, to stop the flow to the illicit trade in tobacco has the sense of responsibility.Of course, different countries and regions, the term also is not the same.In Greece and eastern Europe, people usually place for tobacco classification, packaging and from the hand of the tobacco farmers directly buy tobacco merchant called “packagers.In these places, traders only refers to the intermediaries involved in tobacco leaf deal.And a variety of big tobacco companies have international business preferred the term “supplier”, rather than a dealer or trader, they think the latter is far from covering the broad scope of business.

To sum up, the definition of independent tobacco business is not unified.Still, such a consensus: tobacco supply area is most likely to impact of the international tobacco industry upstream and downstream integration, harmony between past and future may compete for some market together.Intercontinental as Zimbabwe tobacco co., LTD., chief financial officer Greg MacDonald had asserted: “in the field of tobacco trade, tobacco merchant services 30 customers 15 days are gone, large-scale mergers and acquisitions is the trend of The Times.”