August 26, 2017

US Afghan Policy: Hawkish but Hopeless

By: Azhar Azam

Long before the candidature of White House habitation, Trump has been a strong knocker of US involvement in Afghanistan. ‘Our troops are being killed by the Afghanis we train and we waste billions there. Nonsense! Rebuild the USA.’


But running into presidential election campaign, Trump reversed his ‘original instinct’ to cede Afghan war; opining US to stay in Afghanistan to avoid total collapse of Afghan government and to keep a check on neighboring nuclear country, Pakistan.

Though he still maintains touting to oppose ‘nation building’ (in Afghanistan) but now is more interested in ‘killing terrorists’ – a posture inflamed many Afghans who believe that it would escalate tensions, perpetuate casualties in Afghanistan and would make no difference to common Afghans.

In his hard-nosed speech on Monday, Trump finally bared key sockets of long awaited US policy on Afghanistan – a strategy that engrosses Pakistan more than the conflicted territory, Afghanistan, where the United States is fighting its longest battle ever.

In his hopeless rhetoric toward Pakistan, he accused Pakistan for providing safe havens to ‘agents of chaos, violence, and terror’ and paying billions of dollars in aid; pushing Pakistan ‘to demonstrate its commitment to civilization, order, and to peace’.

A hawkish but a naive on complex regional dynamics, Trump’s boxing policy is only a futile effort to prevent betrayed Pakistan to join the camps of US rivals – China and Russia. Instead, Trump blitz over Pakistan has rallied both Beijing and Moscow to defend Pakistan and denounce new US plan.

In a press briefing on Tuesday, Chinese foreign ministry spokesperson defended its ‘all-weather’ friend Pakistan and praised for its ‘great sacrifices’ and ‘important contributions’ in the war on terror. Talking on telephone to secretary of state Rex Tillerson, Chinese foreign minister Yang said that US must value Pakistan’s role in Afghanistan and respect Pakistan’s sovereignty and reasonable security concerns.

Russian special envoy to Afghanistan, Zamir Kabulov, also echoed a similar sentiment and slated US Afghan policy – declaring Pakistan ‘a key player regional player to negotiate with’ and need not to be pressurized that may seriously destabilize peace in the region and may result in negative consequences for Afghanistan.

Pakistan has commendably gained a great success in combating terrorism by reaching out and destroying their hideouts – an action US troops feared to take in Afghanistan to avoid casualties. The country has sacrificed nearly 70,000 people and armed forces and suffered over $100 billion of economic loss in the war on terror.

According to US State Department’s Country Reports on Terrorism 2016, 75% of deaths were caused by 55% of all terrorist attacks in five countries – including Pakistan. In 2016, Pakistan experienced a substantial decline of 27% and 12% in terrorist attacks and total deaths respectively.


More surprisingly, terrorist attacks and total deaths in Afghanistan also fell considerably by 22% and 14% correspondingly – thanks to border management services by Pakistan on its western borders – to control arms and terrorist movements, and drug trafficking.


In an epitome of great successes against terrorism in both Afghanistan and Pakistan, according to US State Department itself – United States must have had acknowledged Pakistan vital role and great successes in fighting terror. Instead, Pakistan is being accused for safe havens, using proxies, and supporting terrorism by US administration – contradictory to its own certified reports, posing serious concerns over Pakistan’s trust on United States.

Military and economic sanctions is an old tactic, Trump is trying to sell Americans in a new pack. Ash Carter, Obama’s secretary of defense, had before refused to certify Pakistan over the same paranoid basis to cease $300 million. Pentagon, under leadership of current secretary of defense, James Mattis, withheld another $50 million. Last year, Congress put on hold the proposed sale of eight F-16 to Pakistan as well.

This amount is ridiculously low to challenge Pakistan economic and defense challenges. US is threatening to ‘act’ much latter when Pakistan has already made a major strategic shift to getting close to China and Russia.

According to a report ‘Direct Overt U.S. Aid Appropriations for and Military Reimbursements to Pakistan, FY2002-FY2016’ prepared by Congressional Research Service (CRS) for distribution to multiple congressional offices, a total of $33.4 billion was appropriated for US aid to Pakistan for 15-years. Trump’s catchphrase of ‘billions and billions of dollars” centers this report so as most of the analysts’.


It distinctly shows a vertical decline in US aid appropriations to Pakistan over the period of 5-years on account of economic, security-related, and Coalition Support Fund (CSF) Reimbursements. These are just appropriations which have been subject to obligations and final disbursements, which are generally far lower than these appropriations.

As Note ‘f’ expounds, CSF Reimbursements are disbursed to Pakistan for logistics and operational support of US-led military operations – a bias to overvalue the aid. In total, US appropriations for FY2016 totaled just $322 million and $226 million on account of a number of economic-related and security-related programs. Actual releases are even lower than this.

foreignassistance.gov is State-owned institution that provides information of US assistance to other countries including planned, obliged, and actually spent. It also demonstrates an invariable declining trend in US aid to Pakistan over the years – spending values too have been much lesser than allocation.


For example, US apportioned $742 million to Pakistan for FY2017 (ending 30-September-2017) but obligated just $142 million and spent only $130 million for the fiscal year on various programs such as: Humanitarian Assistance, Economic Development, Education and Social Services, Democracy, Human Rights, and Governance, Health, Program Management, and Peace and Security.

Trump stance on funding Pakistan is entirely opposite to the state’s data and seriously doubts US intent to resolve issues to bring peace and stability in the region. In nutshell, Trump announced a plan to ‘ditch’ Pakistan which was devised much before his road to the White House.

Praising India, a country with literally no contribution toward ensuring peace in the region, hints at the changing US tactics in the region, Pakistan realized quickly and reciprocated valiantly by tying with Russia along with China. United States repeatedly stunk Pakistan after obtaining its objectives and in the last few years, US tilt to India already warned Pakistan of ‘inclined US approach’ in the region.

Galvanizing distant India into Afghanistan is ‘lesson’ meant to convey Pakistan for actively supporting and partnering China’s Silk Road aiming to connect 4.4 billion people, more than 60 countries, and share 30% of the global economy. US hopes that India could downgrade Chinese growing influence in the region.

But Trump invitation to India to help US in resolving the Afghanistan puzzle would draw a more bizarre situation that would only tremor peace in the South-Asia. US is seeking support from a country that has failed to prevent riots in its own territory – Indian held Kashmir – despite deploying almost a million security forces.

The United States is relying on a country that is unwilling to have any combatting forces’ footprints in Afghanistan and at a place, where 150,000 NATO and US troops failed to achieve country’s national security interests and goals over a period of 16-years. Whatever kind of support Trump is seeking from India; it is going to be an inevitable flaw of his strategy in this part of the world.

At the same time, Trump might bully on Pakistan but options scant! Pakistan is the only source for the United States from where it can resupply its troops and other supplies to land-locked Afghanistan. US officials fret if Pakistan becomes an active foe, it could further destabilize Afghanistan and more importantly jeopardize lives of US soldiers on the Afghan soil.

Talking to ABC News, Brookings Fellow Vanda Felbab-Brown said ‘The president says this is a strategy for victory – I don’t think this is a strategy for victory. I think it’s a strategy of avoiding catastrophe, but essentially it’s a strategy of buying us hope'.

Former Defense Secretary and CIA Director Leon Panetta responded, ‘the words that concern me the most that we are going to win this war and I think the reality is that Afghanistan is not a war that is going to be won in traditional sense’.

‘If we try to somehow tell the American people that there is going to be a military victory here, I think frankly that’s going to mislead the American Public’, Panetta added.

In an interview with RT, former Congressman and presidential candidate blasted Trump for his ‘U-Turn’ and also detonated his speech in a Tweet storm:




 Terrorism is one thing, but what about massive collateral damage? Killing civilians creates more terrorism. Round and round we go.


August 19, 2017

PepsiCo and Coca-Cola take battle to still beverages



FY2016
(US$ Billion Except Per Share Data & Employees)
Net Revenues
41.86
62.80
Net Income
6.53
6.33
Net Assets
87.27
74.13
Long-Term Debt
29.68
30.05
Stock Price per Share (18-August-2017)
45.86
118.39
Employees
100,300
264,000
Cash Dividend per Common Share
2.96
1.40
Market Cap (18-August-2017/Bloomberg)
195.61
168.77
Brand Value (Interbrand)
73.10
20.27

The feud to dominate the nonalcoholic beverage market between the two US companies, Coca-Cola Company (NYSE: KO) and PepsiCo (NYSE: PEP), is ancient – more than 100-years. Although Coke has mostly prevailed in this global rivalry, but PepsiCo has outperformed The Coca-Cola Company on the Wall Street – thanks to strong sales in junk food.

All the same, the net revenues of both the largest carbonated drinks conglomerates have been stroked by health imperils, structural reforms, and currency headwinds; yet the fierce competition between the two is irrepressible as the two take the soda-war to the still beverage market – waters, flavored waters, and enhanced waters, juices, juice drinks, ready-to-drink teas, juices, and energy drinks.

The Coca-Cola Company is the world’s largest nonalcoholic beverage company that owns and licenses more than 500 sparkling and still beverage brands and nearly 3,900 beverage choices. It has the largest beverage distribution system that makes its products available to consumers in 200-countries of the world. So it would take more than 10-years to try all Coca-Cola products.

The company owns four of world’s top-5 sparkling beverage brands; Coca-Cola, Diet Coke, Fanta, and Sprite. It also accounts for 1.9 billion beverage servings in 200-countries out of nearly 56 billion servings each day in the world. Dasani, vitaminwater, Powerade, Minute Maid, Simple, Del Valle, Georgia, and Gold Peak are the brands, features in its 21 billion-dollar brands.

According to ‘The Coca-Cola Company Investors Overview April 2017’, the industry retail value of nonalcoholic beverage (NAB) industry is expected to cross $110 billion @ CAGR of 4% by 2016. Sparkling soft drinks (SSD), water, value-added dairy, energy, juice & juice drinks, other NARTD (Non-alcoholic ready-to-drink), RTD (ready-to-drink) tea, sports drinks, and RTD coffee are the main NAB industry segments estimated to grow in the years to come.

The company estimates that the KO value share in sparkling soft drinks exceeds 50%; focusing to shift ‘to a Category Cluster Model to drive growth across total portfolio (consumer-centric)’. Ranked #1 by Euromonitor 2016 in SSD, Water, Enhanced Water/Sports, and RTD Coffee/RTD Tea, it is also ranked #2 in Juice/Dairy/Plant-Based and #4 in Energy for 2016-unit case volume.

It has Beverage Partners Worldwide (BPW) joint venture with Nestle which markets and distributes Nestea products in Europe and Canada under agreements with its bottlers. The Nestea trademark is owned by Société des Produits Nestlé S.A.

The Coca-Cola system sold 29.3 billion, 29.2 billion, and 28.6 billion unit cases of its products in 2016, 2015, and 2014. Sparkling beverages represented 72%, 73%, and 73% of its worldwide unit case volume for 2016, 2015, and 2014. Trademark Coca-Cola accounted for 45%, 46%, and 46% of its worldwide unit case volume for 2016, 2015, and 2014.

The company’s net operating revenues have been declining continuously; 4% in 2015 and 5% in 2016 as well as long term debt has also been doubled in the past five years. Its employee strength has also been curtailed to 100,300 in 2016 from 123,200 in 2015.

PepsiCo is also a leading global food and beverage company with a complementary portfolio of enjoyable brands such as Frito-Lay, Gatorade, Pepsi-Cola, Quaker, and Tropicana. Through its operations, authorized bottlers, contract manufacturers, and other third parties, PepsiCo makes, markets, distributes, and sells a variety of conventional beverages and foods and snacks in over 200-countries and territories.

Its products are sold across the world through six global divisions. Some of the company’s other famous brands are: Mountain Dew, Naked Juice, Lipton Tea (Pepsi-Lipton Partnership), Lay’s, Wavy and Ruffles chips, Doritos tortilla chips, Aquafina, Cheetos snacks, Fritos corn chips, Diet Mountain Dew, Diet Pepsi, Diet 7up, Kurkure, and many more.

In 2016, Pepsi Co (24%) had a larger market share than The Coca-Cola Company (20%) of the United States liquid refreshment beverage category; however the latter has significant carbonated soft drinks (CSD) market share advantage in many markets outside the US.

The company’s net revenues have also been erratic over the years; -5% in 2015 and flat in 2016 whereas long term debt has grown by nearly 28% since 2012. Its total staff strength is 264,000 as of 2016; including 113,000 employed in the United States.

August 16, 2017

Once again: America owes China more than anyone else



Ratcheting up Treasuries purchases for the fifth consecutive month in June; China once again proclaimed the slot of largest foreign lending country to the United States of America, according to data released by US Treasury.

China invested another $44.3 billion in US holdings to oust Japan – who offloaded $21 billion for the month. America now owes $1,146.5 billion to China and $1,090.8 billion to Japan; posting total holdings to $6,171.3 billion.

The largest economy of the world has steadily piled up capital outflows to increase its debt since Trump took over the White House in January this year.

In 2016, China consumed nearly $320 billion of its forex reserves to control the yuan depreciation against US dollar.

This month, China foreign exchange reserves ticked up for ninth-consecutive month due to tighter controls on capital outflows and a weaker US dollar. Reserves rose by $24 billion last month to post record $3.08 trillion.

“The rise was mainly attributed to the increased value of non-US dollar assets in China’s forex exchange portfolio”, said Liu Jian, a senior analyst with the Bank of Communications in Shanghai.

As the US dollar index hit almost a year low, the Chinese currency advanced to its highest level since last October; forcing research houses to revise their currency valuation estimates, favoring yuan.

Ireland ($302.5 billion), Brazil (269.7 billion), Cayman Islands (254.0 billion), Switzeland ($244.5 billion), United Kingdom ($237.3 billion), Luxembourg ($211.7 billion), and Hong Kong ($202.6 billion) are the other largest, though distant of China and Japan, creditors to the United States.

August 8, 2017

Stay Strong Dr. Zakir Naik



Zakir Abdul Karim Naik – a famous Indian doctor-turned-televangelist, Islamic preacher, and an authority on comparative religion – is now declared a ‘proclaimed offender’ by a special court in India; initiating the process to attach his assets in the country.

Naik, forced to leave his native country, is being probed by Indian National Investigation Agency (NIA) over terror and money laundering allegations after neighboring country Bangladesh claimed that one of the perpetrators of July 2016 Dhaka attack, that left 22 dead, was inspired by him. The country responded to banning his Peace TV; broadcasted from Dubai since 2006 and reportedly has over 100-million worldwide.

In the aftermath of Babri mosque demolition by Hindu extremists in the hometown (Mumbai) of Zakir Naik, which left around 1,700 dead (mostly Muslims), Muslims in India felt betrayed. Naik not only emerged as a savior to Muslim youth in India but also came up with answering Islamophobic questions, Mohammad Reyaz, a communications teacher in Kolkata, said while talking to aljazeera.

His whereabouts currently are unknown although he is rumored to have granted the citizenship of Saudi Arabia. He has also been traveling frequently between Malaysia, Saudi Arabia, and UAE, although stays mostly in Saudi Arabia.

The backdrop of this made-up enquiry hinges on a Bangladesh newspaper ‘The Daily Star’ deceitful report which interpreted that one of terrorists was inspired by Dr. Zakir Naik. The daily latter denied the accusation for making him responsible for inspiring one of the terrorists.

But the Indian media and investigative agencies picked up the report to propagate Naik as an inspiration to the terrorists and NIA finally filed criminal cases against the invaluable Islamic clerk in November last year. His organization, Islamic Research Foundation (IRF) along with its website was also imposed 5-years suspension without any substantial evidence and despite newspaper’s renunciation.

In March this year, Delhi High Court held the center’s decision to ban Naik’s foundation, dismissing its plea that challenged the ban. The court harmonized Indian government step in a bid ‘to safeguard national security’ and prevent Indian youth to radicalize by his speeches.

Naik’s lawyer pronounced the ban ‘illegal, unjustified, unwarranted’.

Since controversial 9/11 attacks, almost everyone is screaming at Muslims calling them terrorists, extremists, jihadists, and islamists. Many of the Munafiqeen (hypocrites) have always distinguished themselves from Muslims to unconditionally support such voices just to prove their allegiance to tyrants.

We should expect such an imposter attitude from both of them but shame on unprejudiced social activists, intellectuals who lock up their cheeks to speak the truth in the shadows of fear or going against fabricated-built public opinion in the context of Dr. Zakir Naik.

Dr. Zakir Naik is not only preaching Islam for years but also bridging up the gap between religions to develop interfaith harmony so closing this petite connection between religions would only delink the love, care, and urge for peace he is thinning out.

This perhaps is the unpardonable offense in the sight of the biased media manipulated by real hatemonger(s) sitting in the governing bodies of different states. How predisposed is this Indian media who remained sarcastic on the ‘selection’ of Modi as Prime Minister over the rapes, killings, and tortures on Muslims and mayhem in Indian Gujarat but razor-sharp on Dr. Zakir Naik.

It goes to make absolute nonsense when media quotes that the terrorists in Bangladesh were inspired by him. He is an eminent personality and followed by millions all over the world including Bangladesh by followers of various religions; Dr. Zakir can certainly not be blamed for the acts or deeds of each and every one.

Even if we buy this argument then before prosecuting him shouldn’t Naredra Modi, George Bush, Barrack Obama, Vladimir Putin, and Tony Blair be pushed in international court of justice for killing huge number of innocents in Iraq, Afghanistan, Pakistan, Libya, Sudan, Syria, Palestine, and Kashmir.

If someone inspired by Modi, Obama or Putin commits a terrorist attack or an evil act; would anyone of these be banned, barred or interrogated? They have apparently double-standards for Muslims who themselves opt to be complaisant all the time despite being killed in millions.

When Dr. Zakir Naik is quoting Bible, Bhagwad Geeta or Mulmantra; he is serving Christians, Hindus and Sikhs and when he quotes Glorious Quran: "Say: 'O People of the Book! Come to common terms as between us and you: That we worship none but Allah; That we associate no partners with him; that we erect not, from among ourselves, Lords and patrons other than Allah'. If then they turn back, Say ye: "Bear witness that we (at least) are Muslims (bowing to Allah's Will)", he is striving for peace and is serving humanity.

Read “Concepts of God in Major Religions by Dr. Zakir Naik” and tell is he inspiring terrorists or provoking hate? Instead he is rejoining humans with the forgotten origin according to their scriptures so there is no question of abhorrence. He personally has denied all the allegations regarding supporting or inciting terrorism. He also rightly said that most of the clips shown on television were either out of context, half statements, or doctored.

“In conclusion, I repeat what I have always maintained – I DO NOT SUPPORT TERRORISM OR VIOLENCE in any form whatsoever. I have never supported any terrorist organization and have mentioned this over and over again in thousands of my public talks worldwide. I STRONGLY CONDEMN anyone taking my statements out of context and using it for VIOLENCE OF ANY FORM.”

Tarek Fatah is the man who misled MPs about Dr. Zakir to forbid his entrance in Canada. Earlier United Kingdom (UK) banned him for his lecture about Osama bin Laden and Taliban. Read this news that half-quotes Dr. Zakir Naik “every Muslim should be a terrorist” but watch the video it contains and check he actually says “every Muslim should be a terrorist if he is terrorizing the terrorists”.

So if a Christian, Hindu, Sikh, or Jew does not act in lines with the commandments of the scriptures; would the followers be blamed or the scriptures? You cannot obviously prosecute Bhagwad Geeta or Bible because one of its followers behaved inhumanly???

Stopping the voice of Dr. Zakir Naik would mean stopping the efforts of peace, reconciliation, and interfaith harmony so come across and #SupportZakirNaik as it isn’t about winning or losing; it’s about right or wrong!

August 3, 2017

Marlboro Reigns $700 billion Global Cigarette Market

By: Azhar Azam

Pounding all the harmful and fatal consequences of tobacco; tobacco industry yet pivots substantial economic contributions to many countries around the world. The livelihoods of millions of people are associated with this toxic industry including farmers, retailers, and the employments in the tobacco supply chain.

Albeit nearly all the countries have enforced strict laws – such as plain packaging, product specific regulation, smoking ban at public placed, constraints on outlets to display tobacco products and restrictions on manufacturing, sale, and marketing of tobacco products – to prevent people from smoking; the value of global cigarette market continues to grow despite decline in global industry cigarette volume.

Global Cigarette Market

The global tobacco market is estimated at an eye-watering value of $770 billion a year; nearly 91% or $700 billion is derived from cigarettes consumption worldwide. And there are about one billion adult smokers consume 5,600 billion cigarettes a year.

There are many types of tobacco products available in the bazaar worldwide; however, cigarettes remain the pick of the tobacco products for the global tobacco consumers. Fine-cut, cigars, pipe tobacco, snuff, chewing tobacco, and water-pipe tobacco are some of the other products which continue to temp the consumers.

In addition, Next Generation Products (NGP) – alternative tobacco and nicotine products uttered to reducing the risks associated with smoking conventional cigarettes – are making their footprints in the global tobacco market.

e-Vapor or e-Cigarettes is one of the fastest growing next generation emerging products that contain no tobacco and deliver nicotine to consumers in the form of vapor. Many scientists believe them to be 95% less-harmful than smoking the conventional cigarettes.

There are Tobacco Heating Products in the marketplace as well which heat tobacco to release the nicotine (not at a temperature to burn it) to drastically lowering the levels of toxicants. The market value of these NGPs is estimated at over $18.0 billion by 2020.

Where many countries are benefiting economically from tobacco industry; excessive regulations such as abrupt increase in excise rates have forced tobacco consumers to switch over to cheaper brands and also plugging illegal trafficked products. This illegal market of tobacco products is estimated at about 460 billion cigarettes; over 8.2% of the total market.

Largest Tobacco Markets in World


China is the largest cigarette market that makes up nearly 44.5% of global tobacco consumption, according to JTI estimate; nevertheless, Chinese cigarette market is monopolized by its state-owned institution – China National Tobacco Corporation (CNTC). Russia (5.3%), United States (4.8%), Indonesia (4.4%), and Japan (3.3) are the next four countries with the largest global market share.

China is also the largest producer of the tobacco and nearly 48% of the men in China smoke cigarettes. China National Tobacco Corporation (CNTC) produced a total of 2,490 billion sticks in 2015 – about two-times of its international competitors, Philip Morris International and British American Tobacco.

CNTC primarily targets domestic market that consumes nearly 99% of its tobacco production. Headquartered in Beijing, it employees 510,000 people. The Chinese market basically comprises of low-priced cigarettes as up to 75% of China’s population resides in rural farming areas and cannot afford to buy high or even mid-priced cigarettes, according to a study conducted by KEN Research.

By the end of 2015, China’s national tobacco industry’s operating income increase by $18.4 billion (4.2%) and prodigious revenue of $183.8 billion. If CNTC is in Fortune 500; it will be ranked 6th much higher than the likes of Amazon, General Electric, J.P. Morgan Chase, Alphabet (Google), Microsoft, Johnsons and Johnsons, and many other world’s largest companies.

China’s State Tobacco Monopoly Bureau (STMB) says that the country sold 4.7 billion cigarettes (excluding cigars) in 2016; 5.6% less than the previous year. It also stated that the country revenue also fell 3.6% to 1,370.6 billion yuan.

Top Market Players (Excluding China)


Excluding China, two-third of the global industry cigarette volume is produced by just four tobacco companies – Philip Morris International (26.2%), British American Tobacco (19.1%), Japan Tobacco Inc. (15.8%) and Imperial Brands, earlier Imperial Tobacco Group (8.9%). The global ranking of these major competitors in world cigarette market has remained unchanged for the past few years so as the market share with a slight variation. 

Leading Cigarette Brands in World


Marlboro, a brand of Philip Morris International (PMI) that was separated from Altria Group in 2008, is by far the leading international cigarette brand in the world – producing 392.5 billion units in 2015, according to JTI estimate. L&M, another PMI brand, is ranked 4th in the estimate; with production of 108.3 billion units in 2015. 

“Marlboro is complimented in the premium-price category by the Parliament and Virginia S.” Furthermore, according to an estimate by PMI, over 2.9 million consumers have switched to IQOS, company’s first Heat-Not-Burn product.

PMI produced net revenue of $75.0 billion and net earnings of $7.3 billion in FY2016. The company shipped a total of 813.0 billion units in FY2016 out of global estimation of 5.3 trillion cigarettes in 2016; Marlboro (281.7bn), L&M (96.8bn), Parliament (45.7bn), Bond Street (44.6bn), Chesterfield (46.3bn), Philip Morris (36.0bn), Lark (27.6bn), and others (234.4bn). PMI also have a number of local cigarette brands in various countries. It staffs 79,500 employees as of FY2016.

JTI posted revenue of $14.8 billion and operating profit of $4.5 billion in FY2016. Launched in 1954, Winston became the second largest selling brand worldwide in 2007 and is sold in 120 countries. Its volume grew 5.5% to 139.3 billion units in 2016.

Camel (52.2bn), LD (47.6bn), Mevius (17.9bn), and Benson and Hedges are some of other JTI’s Global Flagship Brands (GFB) major brands besides Mild Seven, Silk Cut, Sobraine, Glamour, and Natural American Spirit. In 2016, JTI acquired Reynolds American’s Natural American Spirit business outside of the United States.

Pall Mall (3rd), Kent (8th), and Dunhill (9th) are the top selling brands of British American Tobacco (BAT). In FY2016, BAT’s Dunhill market share remained flat whereas its shipment volume fell from 59bn to 57bn year-over-year, driven mainly by industry declines in Malaysia and Brazil.

The volume of Pall Mall, third biggest international brand, and Kent also remained flat at 92bn and 66bn respectively for the year. Lucky Star (36bn) and Rothmans (73bn) however recorded growth of 13.5% and 36.9%. In FY 2016, BAT reported revenue of $10.9 billion and profit from operations of $3.4 billion.

Pakistan Cigarette Market

Pakistan Tobacco Company (PTC), a subsidiary of British American Tobacco (BAT) is the largest cigarette manufacturer in Pakistan. In 2016, although the company cigarette volume dropped 15.6% to 36.1 billion sticks but net turnover and profit from operations rose 4.6% to PKR44.9 billion and 45.1% to PKR10.4 billion respectively.

The largest tobacco company in Pakistan referred retail audit data indicating the size of illicit sector increased from 30.6% to 40.6% of the total Pakistan cigarette market. In the premier segment, John Player Gold Leaf (JPGL) delivered sustainable growth and rebounded to recapture a market share of 15% in Pakistan. Dunhill, Benson and Hedges, Capstan by Pall Mall, Gold Flake and Embassy are its other eminent brands.

Philips Morris (Pakistan) Limited is the other cigarette manufacturing company which posted revenue of PKR40.3 billion and net profit of 545 million in 2016. The company, in collaboration with Philip Morris International (PMI), produced a total of 12.3 million cigarettes in Pakistan. Morven by Chesterfield, Marlboro, Diplomat, Philip Morris, and Red & White are its main brands.