Philip Morris International through its local affiliate PMFTC Inc. yesterday inaugurated its P8.8- billion facility in Tanauan City, Batangas that will boost its manufacturing capabilities for smoke-free products.
The company’s new manufacturing wing in the PMFTC factory in Batangas represents, to date, the largest investment in the cigarette-alternative category in the country.
Jacek Olczak, PMI chief executive officer, said the expansion of Philip Morris’ presence in the country is also “a testament to our confidence in the Philippine economy and the local tobacco farming industry.”
Olczak told reporters PMFTC will likely purchase more than $120 million worth of local tobacco this year.
“Because the quality of the tobacco in the Philippines is getting better and better… We’re also thinking about…using Philippine tobacco in the smoke-free products. They require even better quality, consistency, etc. But I believe the farmers, the tobacco growers in the Philippines can deliver on that quality,” Olczak added.
“When we embrace smoke-free alternatives, we take a proactive step towards expanding the potential of the local tobacco crop, ensuring a sustainable future for generations of local farmers and individuals who rely on the tobacco industry,” said Denis Gorkun, PMFTC president.
The new facility will house manufacturing lines for specially- designed heated tobacco sticks under the brand Blends which is for exclusive use of the company’s Bonds by Iqos brand.
Bonds by Iqos heats tobacco instead of burning it but still delivers tobacco taste without ash and less smell than cigarettes and emits on average 95 percent lower levels of harmful chemicals compared to cigarettes.
PMFTC first launched the tobacco- heating device in the Philippines in 2020 with Iqos, together with its accompanying tobacco sticks called Heets.
Bonds by Iqos was introduced in November 2022 which also utilizes tobacco heating technology but for a more affordable package compared to Iqos.
