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Villiger
Söhne AG, the renowned Swiss cigar maker, opened a factory in Nicaragua just
over a month ago.
This
decision aims to exercise total control of its production of premium cigars in
that Central American country, from the purchase of raw tobacco to shipment.
Although the proposed strategy is to strengthen and expand its position in all
markets, there is no doubt that a key element is the proximity to the
attractive US market, the world's largest sales market for premium cigars.
The
factory, a modern facility located in Esteli, the epicenter of the Nicaraguan
premium tobacco industry, is a company in partnership with Joya de Nicaragua,
one of the most solvent firms in the production of hand-rolled cigars. Despite
not having been officially inaugurated yet due to control measures for the
COVID-19 pandemic, it began operations last October, after just 12 months of
construction. It currently employs about 100 people, a number that they hope to
increase very soon to about 160 people.
The
Villiger company was founded in 1888 by Jean Villiger in the small town of
Pfeffikon, Switzerland, where its main headquarters still operate today.
Although its 133 years of existence make it one of the oldest and most
recognized tobacco companies in the world, its foray into the premium cigar
market dates back to just 2008, when they entered this elegant world at the
hands of a cigar called Villiger 1888, made in the Dominican Republic.
The
evolution that the installation of this new factory signifies for Villiger,
occurs under the leadership of Villiger Cigars North America Inc., a subsidiary
specially formed in 2000 to distribute handmade cigars in the US market.
Although this instance of the company was restructured in 2016, within a few
years of its inception it had made significant progress in the US market by
adding brands such as Villiger Colorado and Villiger Talanga (made by Plasencia
Cigars in Nicaragua) to its premium portfolio. Also incorporated in that period
two other more avant-garde like Cabarete and Trill, conceived to attract young
smokers. After 2016, Villiger North America moved its headquarters from North
Carolina to Miami, Florida, to better serve the interests of the company in
Latin America. In addition to this Nicaraguan factory, Villiger also owns a factory
in Brazil, and contracts the ABAM factory in the Dominican Republic for other
brands such as Bock and La Flor de Ynclan.
This new
plant in Estelí, called Villiger de Nicaragua, is currently producing the
brands that were previously manufactured in Joya de Nicaragua, under direct
contract. Some of the best known are Villiger San’Doro, La Vencedora, La
Meridiana, Corrida Nicaragua and Casa de Nicaragua. They also decided to transfer the development
of the La Libertad brand, previously made in the Dominican Republic.
In essence,
with its Nicaraguan plant, Villiger Söhne AG proves once again that it is an
innovative and bold company that adjusts to the changing demands of the global
tobacco market. This was recognized by the prestigious U.S. Tobacco Business
Magazine, in 2020, when it presented its Hugo Chairman Award to Heinrich
Villiger, 90, and the founder's grandson, in recognition of his tremendous
contribution to the tobacco industry.
Images
courtesy of Villiger Cigars North America
