Industry Analysis & Industry Trends
The Tobacco Product Manufacturing industry is in a state of rapid decline. Rising health awareness, advertising restrictions, black market trade and ever increasing taxes have created a challenging environment for the few producers left in the United Kingdom. As a result, the only two producers of manufactured cigarettes have entered consolidation phases and are shifting their production plants abroad. Once these moves have been completed, the industry will have almost disappeared. Industry revenue is expected to decline at a compound annual rate of 11.4% over the five years through 2015-16, reaching £6.2 billion. This includes a contraction of 25.8% during the current year.
Smoking rates in the United Kingdom have fallen considerably in recent decades... purchase to read more
Industry Report - Industry Locations Chapter
Imperial Tobacco and Gallaher are the major players in the industry and account for the majority of revenue in the industry. This means that the distribution of industry revenue across the United Kingdom is affected by the locations of these companies' facilities.
Many cigarette factories have been closed, both in the United Kingdom and around the world, as manufacturers have attempted to become more productive. There is limited official data regarding the geographic spread of establishments and revenue in this industry. The data below gives the locations of the two major players' manufacturing facilities, which account for almost all industry revenue.
England accounts for 60% of revenue in this industry... purchase to read more