Vietnam National Tobacco Corp

Vietnam

OWNERSHIP

State Owned

RANK

(out of 15)

FINAL SCORE

0.54

(out of 5)

Operating Environment

Vietnam National Tobacco Corp (Vinataba) operates in one Index Region (Asia Pacific), and in one of the 36 Index Countries (Vietnam).

Vinataba operates exclusively in LMICs.

Vinataba’s product portfolio consists of cigarettes, cigars and cigarillos.

Publicly Stated Position on Tobacco Harm Reduction

“Today, new generation cigarettes are being traded illegally in thousands of retail locations. The Vietnam Veterans Association is also proposing the Ministry of Industry and Trade to amend Decree 67 to submit to the Prime Minister to establish a clear legal basis and strictly manage...new generation tobacco products on the Vietnamese market."
(Vinataba, “News” section of company website, April 2022)

Change Since 2020 Index

Vinataba’s Product Sales category score increased following a moderate decline (CAGR: -0.7%) in the company’s Volume Sales of HRPs.

Vinataba’s ratio of R&D expenditure on RRPs increased following the company’s statement in August 2021 that it plans to “invest in production and develop new generation tobacco and alternative products”.

Vinataba does not disclose details of its R&D expenditure. The Index has estimated that 3% of the company’s R&D expenditure, and 0.5% of the company’s capital expenditure, was on RRPs in 2021.

Category Scores

Strategy & Management

Vinataba does not publicly acknowledge its role in, nor make a formal commitment to reducing, tobacco-related death and disease.

Vinataba does not set any objectives related to tobacco harm reduction.

Product Sales

Vinataba has the 11th-highest Volume Sales of HRPs (2021: 46.4 billion stick equivalent).

With 100% of its total volumes coming from HRPs, Vinataba has the lowest score for Ratio of Volume Sales (RRPs versus HRPs).

Capital Allocation & Expenditure

At 3%, Vinataba’s allocation of R&D Expenditure on RRPs (versus its total R&D expenditure) is the 11th-highest of the Index Companies.

At 0.5%, Vinataba’s allocation of Capital Expenditure (RRPs versus HRPs) ranks it in 11th place.

Product Offer

Vinataba offers HRPs (cigarettes, cigars, cigarillos) in one Index Country (Vietnam), and currently does not sell any RRPs.

In terms of product categories, Vinataba has three HRPs and no RRPs in its portfolio.

Marketing Policy & Compliance

Vinataba does not publicly disclose a Youth Access Prevention Policy.

Lobbying & Advocacy

Vinataba does not disclose its policy positions related to tobacco harm reduction.

Vinataba does not disclose specific lobbying activities and memberships in all jurisdictions in which it operates.

Net Value Sales

In 2021

High-Risk Products

100.0%

Reduced-Risk Products

0.0%

Products Offered

In 2021

High-Risk Products

Reduced-Risk Products

Capital Allocation & Expenditure

In 2021

High-Risk Products

99.0%

Reduced-Risk Products

1.0%

ppts = Difference in percentage between 2021 and 2019