Philip Morris will close its cigarette production factory in Australia
Tobacco company Philip Morris will close its tobacco factory in Australia, located in Moorabbin, reported BBC News. Factory will cease to exist after 60 years of work, about 180 workers will remain unemployed. Company transfers its factory in South Korea.
The company explained its decision: " because of extremely tough regulatory rules on trafficking tobacco products, existing in Australia. In particular, in 2012 Australia passed a law according to which all tobacco manufacturers are required to remove from cigarette packs any colored logos, leaving only the graphic warnings of the health risks.
Cigarette sales in Australia dropped significantly in recent years, because Australians smoking less. At the same time, was reduced the export of tobacco products from this factory, because the safety requirements of this cigarettes, which were imposed by Australian regulators, don't correspond to the preferences of consumers in other countries. As a result, the factory until now worked by less than half of its capacity. All attempts to increase sales in recent years have been unsuccessful.