Philip Morris Holland B.V. in Brabant is where the world meets

When Philip Morris Holland B.V. commenced operations in Bergen op Zoom in Brabant over 25 years ago, production was expected to be in the region of 25 billion cigarettes a year. But work started on expanding the company before the first pack even left the building. The staff complement, almost a thousand at that time, has now grown to 1,750 and production has been on the rise throughout those years, hitting a record output of 96 billion cigarettes in 2006. That makes Philip Morris Holland B.V. the international company’s largest cigarette factory. To give you some idea of the technology involved: one high speed machine in Bergen op Zoom manufactures 16,000 cigarettes a minute.

Philip Morris Holland B.V. in Bergen op Zoom is, as it were, where the whole world meets. The raw tobacco comes from Turkey, Greece, North and South America and Africa, amongst other locations. The cigarettes, in turn, go to Japan, Italy, France, Spain and the Benelux region. And on top of this, there is also the export of semi-manufactured goods, which provide the so-called primary for the company in Bergen op Zoom. It is this primary stage which is part of the challenge Philip Morris Holland B.V. takes on every day, combining the natural products - the various types of tobacco - into consistent melanges. In the secondary stage the cigarettes are manufactured and packaged. Anybody who might believe that, just because it involves cigarettes, the entire process is uniform would be mistaken. Today there is a huge variety of flavours, special characteristics and, of course, the packaging itself. Contemporary cigarette production is a very different entity from what it was a few years back. The cigarette market is also largely different. Five years ago the cigarettes primarily left Bergen op Zoom destined for France and Italy, while today Japan is the biggest consumer.

Since its launch in Bergen op Zoom, Philip Morris International has invested millions of euros in expanding, quality control and optimising production. A unique aspect is the company’s approach to logistics, which has been the operation’s biggest strength since the very start. From the moment the goods arrive to the final distribution of the end product, the entire logistical process is fully automated.

Philip Morris Holland B.V. is amongst the biggest employers in Brabant, and it is mostly locals working at the factory in Bergen op Zoom, a fact reflected in the regional and local involvement of the company. In spite of restrictions resulting from tobacco legislation, Philip Morris has still succeeded in implementing the company’s social themes in both the town and the region.

When Philip Morris International first arrived in Brabant, the tax climate in the Netherlands and the logistical conditions of the region were the deciding factors. “We are still profiting daily from the latter,” says general manager of Philip Morris Holland B.V. Don McDowell. “Rail, road and water transport are of essential importance to us, and Brabant offers excellent facilities with respect to all of them.”