JOHANNESBURG - British American Tobacco SA has announced it will shut down its only local cigarette manufacturing plant.
The plant in Heidelberg in Gauteng will be shuttered by the end of 2026.
The company blames the devastating impact of illicit trade.
The company says with an estimated 75 percent of the market now illegal, local production is no longer viable.
The factory is operating at just 35 percent capacity, putting around 230 jobs at risk.
BATSA insists it's not leaving the country and will switch to an import-based supply model.
But, it warns that the closure is a stark warning of how illegal trade is eroding industries, jobs and communities.