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Our History

Saigon Tobacco One-Member Limited Liability Company (VINATABA SAIGON) is a state-owned enterprise under the ownership of Vietnam National Tobacco Corporation. Since April 2014, VINATABA SAIGON has operated under the parent-subsidiary company model with 05 subsidiary companies, consisting of: Dong Thap Tobacco, An Giang Tobacco, Cuu Long Tobacco, Ben Tre Tobacco, Long An Tobacco. In internal organization, VINATABA SAIGON consists of Members' Council, Board of Directors, 15 functional departments, 03 manufacturing departments and 08 auxiliary divisions. Being the first enterprise of Vietnam National Tobacco Corporation operating under this model, VINATABA SAIGON has its certain advantages and disadvantages in the extensive integrating and developing trend of the national economy. From establishment to development since 1929 until now, we can clearly see 06 distinct stages corresponding to the national historical stages over the past 85 years.

M.I.C - Manufactures Indochinoises de Cigarettes

The first period since its establishment till April 30th, 1975 was marked by impressive development in many aspects. Especially, the merging of M.I.C with a multi-national company to concentrate all resources and invest heavily in finance, technology, market etc., has made a great stride in terms of products in which many cigarette brands have obtained customers’ confidence as well as made deep impression in their consciousness.

The period from 1975 to 1986 was marked by the milestone that M.I.C was officially renamed Saigon Cigarette Factory (1977), directly under the management of Southern Tobacco Union. In this period, the national economy operated in the centrally planned mechanism and the industry was established by the socialist relation of production. Operating under this mechanism, Saigon Cigarette Factory could establish its own distinctive operational mode in seeking for the direction to recover production, enhancing the staff’s creativity, building a production model corresponding to its apparatus. Besides, this mechanism also created favorable condition for the Company to do research and experiment on products’ diversity for adapting to market. Many creative practices, initiatives and new operational modes originated from staff’s emulation movement were applied in production and quickly adapted to the actual condition of the industry of Ho Chi Minh City in particular and the whole country in general. This has deeply marked particular identity for Saigon Cigarette Factory. 

One of the most noteworthy accomplishments of this period is the plan to "Finish 40% of yearly production target within December" at the end of 1980, which had been achieved with spectacular record of 31 millions packs of cigarettes produced in only a month and met the target. 

In the periods of 1986-1995 and 1995-2014, Vietnam launched a comprehensive and profound renewal campaign that introduced reforms intended to facilitate the transition from a centrally planned economy into the socialist-oriented market economy. During this stage, VINATABA SAIGON confronted many challenges and difficulties when its production and business activities was operated after the new national mechanism. It can be said that generations of leaders and staff in this period had made right steps while it had to construct a new management model in the transitional stage of the national economy and concurrently planning strategies for developing production and boosting consumption. Series of solutions for in-depth investment in order to modernize backward equipment and machines, diversifying product structure, improving cigarette taste and design, expanding domestic market, boosting exports. For only a short time, the said solutions had made the obvious efficiency in series of important criterion in terms of production, consumption, export volume which all increased as many times as the previous years. Thereby, they created favorable conditions and abundant resources for VINATABA SAIGON to put forward the strategic goal of taking part in the extensive international integrating market in the region and the world. Besides, the Company also carried out series of strategies for building up VINATABA SAIGON brand name and applying management system in production process and organization, product quality improvement in accordance with international standards. The said performances has created impetus for gigantic development in many aspects in the coming periods. 

By the end of 2004, Vinataba Saigon had exported to oversea markets more than 250 millions packs of cigarettes and had our trademark registered with the aim to promote the brand all over the world. 

In the period of 2004 - 2009, VINATABA SAIGON has performed two parallel strategic goals that were decisive to the survival of the Company in severe competitive market domestically and globally. In these goals, the mission of arranging the organization together with receiving Vĩnh Hội Tobacco Factory, merging into Saigon Tobacco Company under a Decision issued by Ministry of Industry and Trade and the mission of implementing the Company’s relocation project in combination with investing in modern equipment and building, moving production facilities were prioritized. In parallel, the Company carried out the strategic goal of diversifying products, enhancing brand of some products that had occupied market and expanded export market to region and the world. 

In the sustainable development period of 2009 up to now, in order to overcome the severe competition in both domestic and overseas market, right in 2009, the Company initiatively set forth a series of solutions: focus on expanding and renovating business mode suitable to the features of each market; expansion and strict management of distribution channels, in addition concentration on shifting the middle and high class product with reasonable price in order to compete with illegally imported brand names.

Overseas market also has relatively sustainable development with tens of cigarette brand names coming into West African, Southeast Asian, Middle Southern American markets, etc. with constantly increasing output, on average more than 33% increase a year (nearly 6% in 2013). Export turnover from 2009 to 2014 has grown impressively with over 54%, becoming the leading unit of Vietnam Tobacco Corporation with the highest output and export value over the past years.

In the year of 2012, the Company completed the relocation project in which moved the main production facilities and office to Vinh Loc Industrial Park, both meeting safe and on-schedule requirements but maintaining continuous production and business activities.

In accordance with the organization restructuring scheme of Vietnam National Tobacco Corporation, from 2014 to January 2016, five tobacco companies in western provinces: An Giang Tobacco Company, Dong Thap Tobacco Company, Cuu Long Tobacco Company, Long An Tobacco Company, Ben Tre Tobacco Company were transferred over to Saigon Tobacco Company and operated under Parent - Subsidiary company model. This restructuring scheme has offered many advantages for Saigon Tobacco Company in expanding domestic and oversea markets.

In accordance with determination to follow up the planned goals and with regularly evaluating efficiency of solutions to improve quality of corporate governance from-first-to-final section in the production process, the leader generations and all staff of VINATABA Saigon in this stage were united, created close relationship and tried their utmost to lead Company to impressive results in all aspects. In which, indicators of turnover, volume, payment for State budget increased year by year and therefore VINATABA Saigon was a leading unit in production and business activities of Vietnam National Tobacco Corporation.

Developing production and continuously-increased profit created favorable conditions for VINATABA Saigon to invest in equipment, new technologies, to expand production, care and improve labour’s health,  materials and spirit life. This orientation were maintained in many years and created a traditional environment full of distinctive characteristic "VINATABA Saigon corporate culture", it contributed more motivation and strength for Company to overcome difficulties, challenges always posed during Company’s integration and development.