Croatian government in talks to keep BAT investment

By bne IntelliNews September 9, 2020

The Croatian government is in talks with British American Tobacco (BAT) in an attempt to keep the company in Croatia, Prime Minister Andrej Plenkovic said on September 8, cited in a government statement. 

Plenkovic made the statement in response to journalist enquiries following announcements from BAT that it could withdraw from Croatia as part of a global restructuring. 

“We are having talks, I am sure we will make a quality agreement that will enable them to stay in Croatia, I hope for as long as possible, regardless of their global restructuring,” the prime minister said. 

BAT bought Croatian tobacco producer Tvornica Duhana Rovinj in 2015, taking control of the Kanfanar factory. However, the company committed at the time to a five-year investment, a deadline that, as Plenkovic noted, is now coming to an end. There were reports earlier this year that the international tobacco giant might decide to move production out of Croatia. 

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