British American Tobacco Company Inaugurates Regional Centre in Costa Rica

The British American Tobacco company yesterday inaugurated its new us$7.5 million office complex located in Heredia, northwest of San José.

The new headquarters called BATCCA Park - British American Tobacco Caribbean and Central America - will serve the company's operations in 31 countries.

In Costa Rica, BATCCA will provide human resources, financial planning, accounting and distribution services to its regional centres, employing 200 people. The regional director for Central America and the Caribbean, Federico Jenkins, said that for now Costa Rica will be at the heart of the company's operations.

British American Tobacco has been around for more than 100 years and currently employs some 85,000 people around world with 85 plants in 66 countries. The company merged with Rothmans International in 1999, making it one of the largest tobacco companies in the world. In 2001 the Republic Tobacco Company de Costa Rica was renamed the British American Tobacco Central America S.A. (BATCA) and later British American Tobacco Caribbean and Central America (BATCCA). Costa Rica has long had a cigarette culture, with cigarettes accounting for the majority of sales compared to other tobacco products.

The absolute leadership of cigarettes is explained by the increased market penetration and popularity of brands like Delta, Derby and Marlboro. Cigars and smoking tobacco have failed to make strong inroads, mainly because of smuggling and a general lack of interest among consumers.

The cigar market is purely driven by tourism in Costa Rica. According to a report published in Indicadores de Genero y Salud Costa Rica 2005, 14% of women and 29.9% of men are consumers of tobacco products in Costa Rica. In addition, approximately 17% of children under the age of 18 currently smoke cigarettes. This information was discovered after a Global Youth Tobacco Survey pointed out that currently 16% of boys and 17% of girls smoke cigarettes in the country. Although they are warned in school about the dangers of tobacco, many children are exposed to cigarette smoking by their parents, 30% of them having at least one parent who smokes at home.

Source: Inside Costa Rica