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JANUARY/FEBRUARY 2016 TOBACCO INTERNATIONAL 33 of its distribution knowledge, channels and retail outlets also. There are ways for Western and for- eign firms to cut their costs and their losses in Iran in order to offset the need to sell cigarettes at a lower price, and given that EI reports the combined sales of the foreign companies in Iran are actually greater than the sales of Iran Tobacco, Iran is clearly not an impene- trable or seriously unprofitable market. As always, it's a matter of boxing clever and doing deals, behind the scenes or otherwise, when tackling a tricky mar- ket that is not as closed as it might ap- pear to be, or is intended to be. Only $1.00 EI reports that a "very affordable $1 dol- lar per pack" is driving the Iranian to- bacco market, together with no health or other restrictions on tobacco in a country where "the number of smokers continued to increase in 2014, following the trend from previous years," and that it did so "in spite of widespread mass media coverage of the harmful effects of smoking on health." Where the pricing of Western cigarettes is concerned in Iran, EI reports that: "Iranian cigarette smokers remained highly price sensi- tive in 2014 and it was very common for them to switch brands given even a small increase in the unit price of their favorite cigarettes. Visibility was of the utmost importance in both the whole- sale and retail environment, as the use of various forms of consumer communica- tions media, such as point-of-sale mate- rials, are permitted in Iran and thus to- bacco companies fought hard to increase their share of voice inside each retail outlet. Thanks to agreements between Iranian Tobacco Company and the glob- al manufacturers, the latter had a better chance of growing their business in Iran as import procedures were eased." Observing that "the young Iranian population" –thought to be starved of so many other pleasures– "regard smoking as one of the few amusements allowed," EI also reports that this has resulted in a "rapid growth of smoking, known as ghalioun," in what stands in contrast to other parts of the world where people say they smoke in order to relax and get happy. In Iran, some indications suggest that the nation's smokers are denied other pleasures and that they have no choice but to smoke. The Iranian author- ities also announced that the consump- tion pattern of tobacco products has changed towards younger consumers on account of "the improved availability of multinational cigarette brands." In this way, perhaps Western manufacturers and distributors of both traditional and emerging (healthier) tobacco products, daunted by the challenges in others mar- kets, are looking to Iran for the same rea- son Iranian smokers are…perhaps it's the only thing left that they can do. OUTSTANDING LOOKS. SUPERIOR PERFORMANCE. STAND OUT FROM THE CROWD WITH OUR ICON RANGE Available in multiple variants, Icon range filters are novel but not novelties. Which means you can add real value to your brand. Built on Essentra Filters' cornerstones of quality and innovation, the Icon range will make your brand look different. So customers will look at your brand differently. ESSENTIAL SOLUTIONS, DELIVERED DISCOVER MORE AT WWW.ESSENTRAFILTERS.COM ©2015 Essentra 58062_NDS_HP_Ad_TobaccoInternational_Icons_121015_SJ.indd 1 12/10/2015 18:14 TI•1-2H•Essentra.indd 1 3/10/16 11:08 AM