The Chief Executive Officer of Philip Morris International (PMI), Jacek Olczak, has reaffirmed the company’s commitment to creating a smoke-free world by prioritizing alternative products.
Detailing its vision for a smoke-free future, PMI states in its corporate overview that cigarette sales could end in many countries within the next 10 to 15 years with the right regulatory frameworks, dialogue and support from civil society.
Speaking at the 2024 Technovation Smoke-Free event in Abu Dhabi, CEO Jacek Olczak revealed that PMI is working towards deriving two-thirds of its revenue from smoke-free products by 2030.
Cigarette smoking, which significantly raises the risk of cancer, heart disease, stroke, and other health issues, is responsible for 8 million deaths annually worldwide.
To tackle these risks, PMI has invested since 2008 $12.5 USD billion to develop, scientifically substantiate, and commercialize innovative smoke-free products for adult smokers. PMI’s ambition is for smoke-free products to account for two-thirds of their total net revenues by 2030.
Among PMI’s notable contributions to the alternative tobacco market are products like vaping devices, e-cigarettes, and its heat-not-burn flagship product IQOS, which recently celebrated its 10th anniversary, as a breakthrough in achieving a smoke-free future. The first heat-not-burn platform was introduced in 2014, in PMI’s smoke-free products portfolio, in Italy and Japan.
CEO Olczak reminded that since 2016 PMI has been strengthening its commitment to delivering a smoke-free future. In 2020, the company achieved a milestone in the regulatory process by submitting its smoke-free products to the U.S. Food and Drug Administration (FDA).
For his part, Fred De Wilde, PMI’s President for South & Southeast Asia, Middle East and Africa, emphasized the critical role of Africa and other developing regions in PMI’s smoke-free vision.
He noted that the Global South, with its young and growing population, will significantly contribute to shaping the future. According to the World Health Organization (WHO), 80% of the world’s over 1 billion smokers reside in emerging economies. De Wilde said to accelerate the transition to a smoke-free future and tobacco harm reduction, PMI aims to meet consumer preferences in these regions by providing affordable and accessible alternatives to cigarette smoking.
He noted that progress in these regions has been notable as PMI operates in 67 developing economies, with 27 offering smoke-free products.
According to PMI’s record, by June 2024, approximately 6.1 million individuals in these markets had switched to smoke-free alternatives. However, De Wilde acknowledged this is just the beginning, with over half of the world’s legal-age nicotine consumers living in these areas.
Despite significant progress, challenges persist. Many smokers remain unaware of the harmful effects of combustible cigarettes or the existence of less harmful alternatives. Additionally, affordability, availability and accessibility of alternative products remain major hurdles in low-income regions.
High costs and restrictive legal regulations, including outright bans on some products, further complicate efforts. Governments and regulatory frameworks also play a pivotal role. Inconsistent or inadequate regulations can hinder innovation and accessibility, leaving smokers with limited options and perpetuating harmful smoking habits.
De Wilde noted that PMI remains committed to overcoming these challenges through sustained efforts, research, and collaboration with stakeholders worldwide to achieve its vision of a smoke-free future.
We’ve got the edge. Get real-time reports, breaking scoops, and exclusive angles delivered straight to your phone. Don’t settle for stale news. Join LEADERSHIP NEWS on WhatsApp for 24/7 updates →
Join Our WhatsApp Channel
