JOBS will go as the smoking ban proves to be the final straw for Guernsey Tobacco. The manufacturer, which is owned by Sandpiper, will cease trading at the end of the year when its lease on a property in the Braye Road Industrial Estate expires.
‘Tobacco consumption has fallen in both the UK and Guernsey because of health lobbying and duty increases,’ said Paul Luxon, managing director of Cimandis, the parent company of which is Sandpiper.
‘The manufacture of tobacco has been in decline, in line with the rest of the market, and that’s obviously part of the reason for our decision.’
The company has five employees, all of whom are under instruction not to talk to the media, but they are in talks with Cimandis about possible redeployment to another division. Mr Luxon said that because it was a small, niche business, relocating it was not a viable option.
The local production of tobacco, including Super Fine Shag, will also cease, although Mr Luxon said the company was investigating the possibility of having them manufactured off-island.
In 2006 there was a 12% decrease on the previous year in revenue on tobacco imports, showing a marked decrease in the demand for it. That is thought to have been a knock-on effect of the smoking ban, which came into force in July 2006.
‘It may be an indication of the general decline in smoking in Guernsey, as well as in England, Scotland, Ireland, Wales and Jersey, where smoking legislation has also been implemented,’ said health promotion officer Gerry Le Roy.
The number of people visiting Quitline has also been high since the ban, suggesting that more smokers are trying to give it up.
Article posted on 20th October, 2007 - 12.00am
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