Tobacco Products International magazine – Quarter 3, 2018

Page 1

THE AUTHORITY ON TOBACCO DISTRIBUTION AND RETAILING

Quarter 3, 2018

INTERTABAC MARKS 40 YEARS Dortmund trade fair continues to expand its global reach and merchandise depth.

PLUS: • James J. Fox Brings La Casa del Habano to Harrods


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Quarter 2, 2018

The Dominican Republic’s association of leading cigar makers, Procigar, hosted the 11th Annual Procigar Festival where it welcomed Royal Agio Cigars as its newest member.

THE AUTHORITY ON TOBACCO DISTRIBUTION AND RETAILING

Quarter 3, 2018

INTERTABAC MARKS 40 YEARS Dortmund trade fair continues to expand its global reach and merchandise depth.

PLUS: • James J. Fox Brings La Casa del Habano to Harrods

THE AUTHORITY ON TOBACCO DISTRIBUTION AND RETAILING

Quarter 1, 2018

FESTIVAL DEL HABANO AT 20

Excitement at Cuba’s Habanos Festival 20 Años was boosted by strong Habanos S.A. financials for 2017, thanks to the surging Chinese market. PLUS: • Arnold André is Once Again 100% Family Owned • Cohiba Atmosphere Opens in Sofia, Bulgaria

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{Contents} 6

TOBACCO PRODUCTS INTERNATIONAL » Q3 2018

FEATURES

{ EDITORIAL }

{ TRADE FAIRS }

6 InterTabac 2018 Trade Fair Marks its 40th Anniversary InterTabac 2018 posted noticeable growth in both emerging categories, as well as traditional tobacco, as international participation continued to rise. » STAFF REPORT

DEPARTMENTS Industry News .......................................4 Showcase............................................. 16

E. EDWARD “TED” HOYT III Editor ROBERT M. LOCKWOOD Publisher & President { ART & PRODUCTION } MELINDA AYALA Production Coordinator ROXANNE CORDOVA MELENDEZ Accountant

12

{ ADVERTISING REPRESENTATIVES } ALL REGIONS

Robert M. Lockwood TEL: + 1-212-391-2060, x109 FAX: + 1-212-827-0945 EMAIL: robert@lockwoodpublications.com SPECIAL SALES REPRESENTATIVE

George E. Lockwood TEL: + 1-413-775-0005 FAX: + 1-413-775-9010 EMAIL: lockwood.george@gmail.com

{Editor’s Letter} InterTabac’s Domination of Global Tobacco Trade Fairs Continues to Grow While the InterTabac trade fair at the Messe Westfalenallen Dortmund continues to

Tobacco Products International Lockwood Trade Journal Co. Inc., 3743 Crescent Street, Second Floor Long Island City, New York 11101 U.S.A. Tel: +1 (212) 391-2060 Fax: +1 (212) 827-0945 SUBSCRIPTION SERVICES:

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solidify its position as the flagship international tobacco event, organizers have made

EDITORIAL SUBMISSIONS/INQUIRIES:

no small effort to accommodate not only closely-related tobacco accessories, but all

editor@tobaccoproductsmag.com

releated market segment, fully embracing vapor, hookah, and other tobacco products. Marking its 40th year in 2018, the event has grown particularly rapidly in recent years, enhanced by organizer’s decision to simulataneously host an industrial exhibition for the suppliers of equipment and products used in the manufacture of consumer tobacco goods, piggy-backing on. It was a brilliant move, given that the competing field of supply exhibitions are split among a number of other organizers, held in a varieties of changing locales, and rarely on an annual basis. InterSupply offers a synergistic magnet to draw an even broader, vertical slice of the industry to a well-established fair. This year, InterTabac hit 12,500 participants, and continues to become more inter-

AD INDEX Durfort Holdings, S.A. .................. 5 Custom tobacco products, private labeling and manufacturing services. durfortholdings.com Tobacco Products International ..... C2

national in its reach, branching well beyond its historical origins as a German trade fair serving the German market, and nearly dominating the entire Messe Dortmund facility.

» Ted Hoyt, Editor

Tobacco Products INTERNATIONAL

Tobacco Products International

TPI 3


{Industry News} Gurkha Cigars Adds First Branded Lounge in Europe Gurkha Cigars opened its first lounge in Europe on September 12th at Miguel Private Cigars in Berlin, Germany. The opening was a private ribbon-cutting event attended by over 50 VIP clients. “In our lounge, you get an excellent selection of fine cigars for every palate including two versions of

James J Fox, La Casa del Habano Partner to open La Casa del Habano in Harrod’s

the Lounge Exclusive Gurkha Dragon

UK cigar retailer James J Fox has partnered with Harrods and the leading global cigar

cigar lounge, which seats 20 people,

purveyor La Casa Del Habano to create a state-of-the-art cigar department in the

can be rented for private events.

world’s most iconic department store in Knightsbridge, the heart of Central London. The walk-in humidor designed by Europe’s leading humidor expert DeArt. Crafted

Cigar,” said Torsten Reich, owner of Miguel Private Cigars. The English-style

Miguel Private Cigars reopened in June following five months of

entirely from the best quality Spanish cedar wood, provides the ideal environment for

renovations under new owner Reich,

the entire Habanos portfolio, from the beloved classics to the rare, aged and limited

and was officially inaugurated by

editions and the sought after La Casa Del Habano exclusive lines.

the ambassador of the Dominican

Martin Brudnizki Design Studio created an opulent setting for the widest selec-

Republic in July. It features a

tion of premium accessories in the UK, including S.T. Dupont’s Art of Fire and their

20-square-meter walk-in humidor

made to order Haute Couture lighters, or, Elie Bleu’s stunning hand crafted humi-

stocked with cigars from all regions,

dors, to name a few.

including Cuba and Central America.

Cigars can be sampled

Gurkha has 20 exclusive lounges

on premises in a refined

worldwide and plans to continue

and intimate sampling

expanding in the coming year.

room featuring compli-

Recently, the company added distrib-

mentary refreshments

utors in Mexico and Italy and antici-

and a cutting-edge air fil-

pates rapid expansion in Europe and

tration system, designed

Asia. “The German market has been

by Swiss-based experts

very receptive to Gurkha and really

Airkel, to produce superb air

understands and appreciates the

quality through continuous extraction of smoke and the diffusion of clean air into the space. A limited number of Spanish cedar wood cigar lockers will be available exclusively to Cigar Club members, which includes an account via a dedicated website to manage locker inventory and check humidity and temperature levels, either online or via the mobile application. Among other benefits, Cigar Club members will have an exclusive opportunity to book a table or the lounge for private events, the opportunity to pre-order any exciting new releases. These and many more services will be available via personally tailored cigar advice, in person, via telephone or email, by a dedicated Cigar Club Manager.

TPI 4

Q3 2018

> Juan Lopez, Gurkha Director of Sales; Martina Kleinlagel of Klaus Kleinlagel distributors; and Torsten Reich, owner Martin Private Cigars.



{Tradeshow Roundup}

InterTabac 2018 Fair Marks 40th Anniversary InterTabac 2018 posted noticeable growth in both emerging categories, as well as traditional tobacco, as international participation continued to rise. » STAFF REPORT

T

Morocco, Egypt, and Nigeria. Asian visitors came from countries including China, India, Indonesia, and Hong Kong. The Middle East was represented by visitors from Israel, Saudi Arabia, and the United Arab Emirates. There were also visitors from Australia and New Zealand. European markets, of course, were widely represented with visitors from France,

he 2018 InterTabac trade show

for the production of tobacco goods

Great Britain, Italy, Austria, Poland, and

looked back on a 40-year history

and e-cigarettes—was co-located in

the Benelux countries.

this year, one that has firmly

Hall 3B for the fourth time. InterTabac

In addition to the many international

placed it in the leading market position

itself occupied more exhibition halls than

guests at the fair, there were also once

among global tobacco trade fairs.

ever before and, for the first time, the

again trade visitors represented from

Westfalenhalle event arena.

almost all German states. Larger visitor

A total of 625 exhibitors from 54 countries showcased their products

Since its founding, InterTabac has

groups came from, for example, Lower

and services at the Dortmund Exhibition

grown from local to regional in scope,

Saxony, Bavaria, Baden-Wurttemberg,

Centre from 21 to 23 September, an in-

and in recent years has expanded mark-

Hesse and Rhineland-Palatinate.

crease of about 12 per cent compared to

edly into an international forum of the

InterTabac caters strongly to the pur-

the previous year.

industry. In 2018, 45 per cent of all trade

chasing and information needs of the

“InterTabac is today the world’s flag-

fair visitors came from abroad, and the

industry. Within the scope of a visitor

ship trade fair of the industry and con-

percentage of foreign visitors has never

survey conducted by an independent ex-

firmed that again in 2018,“ said Sabine

been higher. It again increased by four

hibition market research institute, 91 per

Loos, CEO of Westfalenhallen Dortmund

percentage points in 2018 compared to

cent of the trade visitors stated that their

GmbH, which hosts the event every

the previous year.

visit to InterTabac was worthwhile. The

September. In all, 12,500 trade visitors

Trade visitors to Dortmund came

percentage of visitors who rated InterTa-

from representing every continent were

from a diverse range of markets includ-

bac even better than the year before

guests in the exhibition halls. Besides

ing the USA, Canada, Brazil, Chile, and

increased, expressing satisfaction with

InterTabac, InterSupply—the trade fair

Colombia, as well as Africa, including

the presence of market leaders.

TPI 6

Q3 2018


The largest visitor groups in 2018 again came from the retail sector, followed by the wholesale and industrial sectors. The largest professional groups were again entrepreneurs, managing directors, and departmental managers, with nine out of ten declaring involvement in purchase decisions at their companies in an advisory, co-deciding, or decision-making capacity. The range of products and services at InterTabac is one of the trade fair’s hallmarks, and product preferences were reflected by InterTabac’s extended range in the halls covering Next Generation Products (NGP) this year. In 2018, visitors were mainly interested in: cigarillos/ cigars/cigarettes, e-cigarettes/e-shishas,

Above: Per Georg Jensen, Mac Baren Tobacco Company’s pipe tobacco expert and master blender, discusses blends with visitors at the stand of the company’s German importer, Arnold André.

liquids, smoking accessories and ciga-

“It is good to know that the trade

tobacco to shishas, new tobacco heaters

rette paper, Next Generation Products,

fair takes the industry’s growth into ac-

and e-cigarettes shows a lively and highly

and fine-cut tobacco.

count,” said Dustin Dahlmann, Chairman

innovative industry that offers the right

In fact, InterTabac 2018 showcased

of the Board of the German Alliance for

product for all sorts of smoking and vap-

NGPs on a record-sized exhibition area

Tobacco-Free Enjoyment (Bündnis für Ta-

ing enjoyment desires.”

extending across the Westfalenhalle

bakfreien Genuss). Jan Mücke, Managing

More attendees also visited InterSup-

event arena and Halls 2 and 3A. Visitors

Director of the German Association of the

ply, featuring 114 exhibitors from 35 coun-

were also able to access the trade fair

Cigarette Industry (DZV), said, “InterTa-

tries exhibiting, primarily interested in raw

directly from the main entrance of the

bac was able to grow again this year. The

tobacco, flavours and additives, packaging

Westfalenhalle event arena if they want-

ever-increasing product variety ranging

materials and machines for the production

ed to get straight to the NGPs.

from classic cigarettes, cigars and pipe

of ecigarettes and tobacco goods.

2018 Cigar Trophy Winners

TPI

During the month of June, Cigar Journal readers were asked to nominate their top candidates in five categories

The 2018 Cigar Trophy Awards, which are among only a few

of cigars, and to then vote for a winner from the finalists in

in the industry determined by consumer voting, were pre-

eadh of those categories. The 2018 winners were:

sented by Cigar Journal Magazine on Friday, Sept 21, at the 2018 InterTabac Trade Fair in the presence of the biggest

Best Brand, Cuba: Bolívar

names of the industry. Only four of a total of 18 awards were

Best Brand, Dominican Rep.: Davidoff Winston Churchill Late Hour

determined by the Cigar Journal jury, and those honors were

Best Brand, Honduras: Alec Bradley Prensado Lost Art

not directed at specific cigars or brands. The winners were:

Best Brand, Nicaragua: Perdomo Reserve 10th Anniversary Conn. Best Brand, U.S.A.: Cornelius & Anthony Cornelius

Charity & Community: Pronica, initiated by Sasja van Horssen and Joya

Best Cigar, Cuba: Montecristo 80 Aniversario

de Nicaragua, donates to charities a portion of proceeds per cigar sold.

Best Cigar, Dominican Repupblic: La Flor Dominicana La Volcada

Outstanding Art: Subculture Studios, the artists’ collective founded by

Best Cigar, Honduras: Plasencia Cosecha 146 Toro

Drew Estate, was distinguished for its “aesthetic accentuation.”

Best Cigar, Nicaragua: Padrón 1964 Anniv. Series Presidente Maduro

Ambassador: The German city of Lorsch, whose tobacco project is bring-

Best Value, Dominican Repupblic: Kristoff Original Maduro

ing the cultivation and processing of tobacco back to the center of society,

Best Value, Honduras: Asylum 13 Corojo

The award for the promotion of cigar culture.

Best Value, Nicaragua: Oliva Serie O

Lifetime Achievement: Carlos Fuente Jr. received this prestigious

Best Cigar Accessory: PerfecDraw

award in recognition of his life’s work.

Best Cigar Lounge: BURN by Rocky Patel, Pittsburgh, U.S.A.

Tobacco Products International

TPI 7


{Showcase}

Wookah Hookah: Artistic, Handcrafted Wooden Hookahs from Poland Wookah aims to create shisha that are unlike anything else available on the market, with attention to every detail, connection, seal, and joint as well as the quality of materials, inspiring the company’s founders to use wood. Each Wookah (wooden hookah) is individualized by the unique nature of its particular wood and selected in a very strict quality control process. The company’s offerings include

Cigar Knives from Les Fines Lames

different types of wooden bodies made of natural exotic (imported) and European

Designed and made in France by skilled

(domestic) wood including oak, meranti, iroko, merbau, walnut, padouk, teak,

craftsmen, the White G10 Limited Edition

wenge, nox, and tenebris, which makes each piece unique. A variety of vases

cigar knife from Les Fine Lames is the

are also offered, from wooden to crystal (clear and colored) and smooth. Some of

latest release in the French company’s al-

the wooden bodies have undergone special treatment and also differ in finishes,

ways-changing portfolio of knive finishes.

such as the colored series. The whole production process takes place in Poland.

Every piece of this edition is num-

the varying nature of handcrafting. They are handmade products, made of wood

Other materials used include stainless steel, natural leather, crystal glass, glass

bered, out of a total production of 50.

and ceramic. Glues, lacquers, and the company’s “secret material” used for

The handle material is made from G10,

the hookah interiors are certified to use with potable water. The waterpipes are

a high-pressure fiberglass laminate

chiefly handmade, but more detailed pieces are made using CNC machines.

composite material especially used to

Wookah, Mielec, Poland, Email: info@wookah.pl, Web: wookah.pl.

make handles for knives, grips for firearms and other tools. Its high strength,

Xikar Introduces HP3 High Performance Triple Jet Lighters

durability and moisture absorption make

The streamlined appearance of

properties.

the High Performance Triple Jet

G10 a very well known and praised material in knife making for its impressive The blade is made using MOX27Co

Flame Lighter (HP3) from Xikar

steel, a top-tier cutlery stainless steel

is engineered for performance

made in France. Its 60HRC tempered

and precision. The trademarked,

hardness make the blade virtually

oversized double EZ-View red fuel

impossible to dull. Its registered design

windows allows users to easily inspect the remaining butane levels in the

allows it to be used either as a knife or a

tank, while a quick turn of the oversized adjustment wheel, centrally located

cigar cutter, without ever dulling the ci-

at the base of the lighter, allows users to fine-tune the desired flame height.

gar cutting part of the blade. It delivers a

The series is available in a choice of four finishes: Matte Black, G2, Daytona

razor sharp cut and won’t damage cigars

Red, and Burnt Yellow.

Les Fines Lames, Aix-en-Provence,

Xikar, Inc., Kansas City, Mo., U.S.A., Email: info@xikar.com, Web: xikar.com.

France, Web: lesfineslames.com.

TPI 8

Q3 2018


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