Cigarette Wars -- The battle for the future of a $60 billion industry. America's original cash crop is under attack. Smokers have been pushed out into the cold. Tobacco growers are a dying breed. The Feds tackle a thriving black market. And Big Tobacco survives to fight another day. CNBC goes inside the global battle over tobacco.
|
|
In this CNBC original documentary, Correspondent Brian A. Shactman reports on an industry that continues to thrive despite all we know about the dangers of smoking. 50 million Americans, and nearly a billion people overseas, still light up every day. And as cigarette taxes continue to skyrocket in the United States, driving the price up to as much as $14 per pack, a crime wave is booming, with black market profiteers cheating the U.S. government out of $5 billion in cigarette tax dollars each year.
We follow American tobacco farmers as they endure one of the worst growing seasons in four decades, facing record drought and increased pressure from the anti-tobacco movement. Increasingly marginalized, these growers refuse to give up or give in, trading their overalls for suits and traveling overseas to sell American tobacco in emerging markets. Their efforts, and those of the tobacco industry, to sell their product in places like China, India, and Eastern Europe, have prompted accusations that they are exporting a public health crisis.
We follow American tobacco farmers as they endure one of the worst growing seasons in four decades, facing record drought and increased pressure from the anti-tobacco movement. Increasingly marginalized, these growers refuse to give up or give in, trading their overalls for suits and traveling overseas to sell American tobacco in emerging markets. Their efforts, and those of the tobacco industry, to sell their product in places like China, India, and Eastern Europe, have prompted accusations that they are exporting a public health crisis.
Cash Crop
Tobacco was once the biggest cash crop in America. But today farmers are facing many challenges as the World Health Organization and politicians continue to wage war on tobacco.
Tobacco was once the biggest cash crop in America. But today farmers are facing many challenges as the World Health Organization and politicians continue to wage war on tobacco.
Global Market
If you wonder why the American tobacco companies are thriving, despite the fact that smoking is dying a slow death in the U.S., just travel to a place like Krakow, Poland where smoking rates are the among the highest in the world.
If you wonder why the American tobacco companies are thriving, despite the fact that smoking is dying a slow death in the U.S., just travel to a place like Krakow, Poland where smoking rates are the among the highest in the world.
Organized Crime
Criminal groups have carved out new territory selling counterfeit or stolen cigarettes. This has long been a moneymaker for the mob. Today, it yields billions on the black market for a wide range of criminal groups.
Photo Credit: Getty Images
Criminal groups have carved out new territory selling counterfeit or stolen cigarettes. This has long been a moneymaker for the mob. Today, it yields billions on the black market for a wide range of criminal groups.
Photo Credit: Getty Images
Future Farming
Banning tobacco flavorings could be disastrous for many tobacco growers. The Canadian government, in an attempt to reduce teen smoking, has enacted a ban on flavorings in cigarettes. Nearly 200 countries have pledged to follow suit.
Banning tobacco flavorings could be disastrous for many tobacco growers. The Canadian government, in an attempt to reduce teen smoking, has enacted a ban on flavorings in cigarettes. Nearly 200 countries have pledged to follow suit.
CNBC invited representatives of the four largest tobacco companies headquartered in the U.S. to appear in the documentary, "Cigarette Wars." Each of them declined the offer. Three of the companies, Altria, Phillip Morris International, and Reynolds American, sent CNBC written statements, which you can read below. Lorillard declined to participate in any way.
» Reynolds American [PDF]
» Phillip Morris International [PDF]
» Altria [PDF]
» Reynolds American [PDF]
» Phillip Morris International [PDF]
» Altria [PDF]
SHOW TIMES
SHOW HOST
CONTACT US
Data is a real-time snapshot *Data is delayed at least 15 minutesGlobal Business and Financial News, Stock Quotes, and Market Data and Analysis
© 2012 CNBC LLC. All Rights Reserved.
