JAKARTA (Yosefardi) – The Indonesian Cigarette Producers Association (Gapri) noted that more factories producing hand-rolled clove-flavored cigarettes might close their operations as the market trend is leading to machine-rolled clove-flavored cigarettes products, Bisnis Indonesia reported.
HM Sampoerna has closed its operation of hand-rolled clove-flavored cigarettes factory and laid off 4,900 workers.
Currently the consumption of machine-rolled clove-flavored cigarettes products jumps 66%. While within past 5 years, around 4,100 factories producing hand-rolled clove-flavored cigarettes had closed their operations, laying off 102,500 workers.
In 2013, hand-rolled clove-flavored cigarettes held markets share of 26%, producing 94.9 billion sticks.
This year, national cigarettes production is targeted to reach 345 billion sticks, a 4% growth.