Complaint Filed by JTI Against Egyptian Tobacco Monopoly

BusinessJTI by 2FIRSTS.ai

Nov.21.2023

Complaint Filed by JTI Against Egyptian Tobacco Monopoly

Japan Tobacco International (JTI) has lodged a complaint against Egypt's leading tobacco producer, Eastern Company, accusing it of monopolizing the market.

According to Shafaqna news, Japan Tobacco International (JTI) has filed a complaint with the Egyptian Competition Authority (ECA), alleging that the largest tobacco producer in Egypt, Eastern Company, holds a monopoly position in the market.

A senior insider has alleged that the complaint involves 日烟国际's brand, Golden Coast, which is in direct competition with low-priced cigarettes provided by the Oriental Corporation in the Egyptian market.

According to sources, Japan Tobacco International previously manufactured the brand at its factory in Turkey and imported and sold it in Egypt. However, the recent tax amendment imposes value-added tax on low-priced cigarettes, preventing Japan Tobacco International from importing the brand and limiting its sales to local production.

Over the past year, the Egyptian cigarette market has witnessed several controversial events. This includes the issuance of new licenses to Eastern Company, the sole government-owned manufacturer, after several decades, as well as the sale of a 30% stake in the Eastern Company to a global investment holding company for 625 million dollars.

References:

[1] JTI accuses Eastern Company of monopoly in cigarette market

Also Read:

[1] JTI Greece Plans €3 Billion Investment in HTPs

[2] JTI Expands International Investments in HNB Tobacco Market

[3] JTI: Not in Disposable Game Yet, Exploring Opportunities in Nicotine Pouch

#Traditional tobacco #Market #Africa #Egypt #JTI

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