Régie announces new cigarette brand

Sales reached nearly $1 billion

Tobacco sales in 2013 reached $980 million, decreasing from $1.1 billion in 2012, according to the Régie, the state-controlled monopoly.

George Hobeika, Secretary General of the Régie, said: “2012 was as exceptional year in tobacco sales due to the crisis in Syria. Demand from wholesale dealers had grown, because more products were exported to Syria.” In 2013, Syria was able to get back its self-sufficiency.

Revenues to the state’s Treasury dropped 16 percent from $680 million in 2012 to $570 million, last year. But, according to Hobeika, these revenues increased 18 percent compared to 2011. He said: “The reason behind this increase was the rise in tobacco prices.”

Tobacco prices increased about 50 percent within two years and a half. For instance, the price of a Marlboro pack increased from LL2,500 in 2010 to LL3,500 in 2014.

The Régie launched on January 22 a new type of local cigarettes ‘Maestro’ with full and light flavors. The Ministry of Finance said: “This new type of cigarettes will be exported to Arab countries, and is expected to compete with international brands.”

Nassif Seklawi, Director General of Régie, said: “After conducting market studies, the Régie manufactured 28 samples of different tobacco mixes and distributed them to 5,000 consumers.” Choice was narrowed down to two flavors, before selecting the winner.

Cedars was the only brand that was manufactured by the Régie since 1990, with sales exceeding 100 million packs annually. Seklawi attributed the limited brand production to the absence of required equipment to come up with new brands.