HYDERABAD: The industrial unit of Phillip Morris (Pakistan) Limited in Kotri SITE area, Jamshoro district, has been permanently closed as the company claims having suffered financial losses due to declining sales.

The company's spokesman Farhan Ahmed informed here Monday that the action was prompted following the decreasing revenue because the unregistered tobacco companies had taken the market share.

He informed that the industry was set up in 1970 and it was taken over from its previous owner by the Phillip Morris in 2007.

According to him, as many as 194 regular employees worked in the industry.

"The affected employees will be given separation packages under which they will receive higher amount than what is lawfully due on the company," he claimed.

Ahmed told that the company, however, would continue the production in its largest industrial unit in Sahiwal district of Punjab while its thrashing plant in Mardan district would also continue.

"The illegal tobacco industry in the country has adversely affected the legally operating tobacco industries," Ahmed said quoting the Managing Director.

"This has increased our manufacturing than the demand of our products. Owing to this Phillip Morris has decided to consolidate the existing manufacturing footprint," he said.

According to him, the MD said the company would do justice with all the employees as it acknowledged that the news of the industrial unit's closure would disturb them.