BAT to Shut South Africa Plant as Illicit Cigarettes Spread.

The article focuses on British American Tobacco Plc's decision to cease local cigarette production in South Africa due to the rise of illicit trade, which has significantly reduced market volumes and made operations unsustainable. The company will close its only factory in Gauteng by the end of the year, impacting approximately 230 employees, whose future will be determined through consultations. With an estimated 75% of the South African cigarette market now illicit, the factory operates at only 35% of its capacity. The article also notes the historical context of BAT's presence in South Africa and its previous partnership with Rothmans International, highlighting the broader implications of illegal trade on the tobacco industry. [Extracted from the article]