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News

First production line delivered to GTF Neman under investment project with BAT

The first production line of the Super Slim Compact type has been delivered to Grodno Tobacco Factory Neman (GTF Neman) under an investment project with the British American Tobacco (BAT) Trading Company, BelTA learnt from chief engineer of the factory Anton Shlopak.

The installation of the line will commence in the next few days. The whole installation may take up to 40 days. The line will become operational in late August or early September.

“We have received the equipment set including the Super Slim line, with the capacity of 6,000 cigarettes per minute, and a line to produce hard packs for these cigarettes. The equipment is worth about €5.5 million. Financing was provided on a parity basis,” Anton Shlopak said. The line was made in 2012. The Neman factory uses the same equipment to produce King Size and Super Slim cigarettes. The personnel will undergo training to operate the new equipment.

BAT Trading Company and GTF Neman agreed to implement an investment project earlier in 2012. The €11m project aims to upgrade production facilities of the factory and is financed on a parity basis. The investment project stipulates the delivery of the two production lines. One of them, the Super Slims line, has already been delivered, while the other, the Compact King Size line, will be delivered in late 2012.

Director General of the factory Yuri Chernyshev previously estimated that the Super Slims line will pay off in 1.5 years and the Compact King Size line in 2-2.5 years.

Grodno Tobacco Factory Neman is a major producer of tobacco goods in Belarus. Opened in 1861, it was reorganized into a joint stock company in January 2008. The company employs over 1,000 people.

British American Tobacco Trading Company has been operating in Belarus since 1995. The company began contract manufacturing of cigarettes at Grodno Tobacco Factory Neman in 2005. Since then this company has invested over €8.5 million to upgrade the factory’s production facilities. Investments of British American Tobacco Trading Company in Belarus currently exceed €14 million.

Source: BelTA