President of the Economic Bodies and former Minister Mohammad Choucair stressed that institutions generating revenue for the state “should not be sold,” emphasizing that privatization should instead target institutions that incur losses for the state.
Choucair made these remarks during a visit by a delegation from the Economic Bodies to the headquarters of Regie Libanaise des Tabacs et Tombacs (Regie) in Hadat on Wednesday.
Welcoming the delegation, Regie Chairman and General Manager Eng. Nassif Seklaoui highlighted the institution’s role in stimulating the local economy, noting that it collaborates with more than 800 Lebanese suppliers and spends approximately USD 60 million annually in cooperation with national industrial enterprises.
The delegation included Treasurer of the Economic Bodies and Vice President of the Beirut and Mount Lebanon Chamber of Commerce, Industry and Agriculture Dr. Nabil Fahd; Vice President of the Association of Lebanese Industrialists Ziad Bekdash; Vice President of the Beirut and Mount Lebanon Chamber of Commerce, Industry and Agriculture Gaby Tamer; President of the Lebanese-Gulf Economic Relations Development Authority Elie Rizk; and Secretary-General of the Economic Bodies Alphonse Dib.
The delegation met with Regie Chairman and General Manager Eng. Nassif Seklaoui in his office, in the presence of Management Committee members Eng. Georges Hobeika, Dr. Issam Salman, Dr. Mazen Abboud, and Eng. Imad Bassat, as well as representatives of the supervisory authority, Government Commissioner Mirna Baz and Financial Controller Carole Youssef.
During the meeting, Seklaoui presented Choucair with a commemorative shield and an artwork depicting tobacco cultivation from the “Manshar Souar” photography competition. He also offered delegation members copies of Ninety, a documentary book chronicling Regie’s history.
Seklaoui
Seklaoui welcomed the delegation and praised the Economic Bodies for their essential role in supporting Lebanese industry and defending its interests, particularly at a time when Lebanon needs, more than ever, to strengthen its productive capacities and restore confidence in its economy.
He recalled that Regie had independently adopted the concept of partnership with the private sector, without being required to do so.
He explained that supplementary activities, including cleaning, security, transportation, printing, healthcare administration, and IT systems management, are all entrusted to private-sector companies to ensure better and more cost-effective services.
“We have 800 Lebanese suppliers, and we work with printing companies across Lebanon,” Seklaoui stated, noting that new production activities previously unavailable in Lebanon had been established to meet Regie’s needs, including aluminum foil, adhesive tape, and filters.
“We give priority to locally available products that meet the required specifications, and we spend approximately USD 60 million annually supporting national industry,” he added.
Addressing Regie’s partnerships with international companies, Seklaoui explained that the institution manufactures dozens of varieties of international cigarette brands on behalf of major global companies.
He noted that Regie had recently inaugurated a new production line for Philip Morris International (PMI), despite the challenges resulting from the war, emphasizing the significance of a company such as PMI investing millions of dollars in Hadat under such difficult circumstances.
He further highlighted Regie’s achievement in PMI’s annual performance assessment, stating:
“In the annual report issued by Philip Morris, Regie received its first Gold Service Level Agreement (Gold SLA) rating, ranking among the top 20 companies worldwide in terms of performance.”
Seklaoui also explained that Regie operates entirely independently of the public electricity grid, relying on its hybrid power plant in Hadat and its generators.
Reiterating his expectation that Regie’s revenues would reach approximately USD 500 million this year, he acknowledged that maintaining production during the war had been extremely challenging.
He emphasized that additional state revenues could be generated through combating smuggling, an area in which Regie continues to intensify its efforts.
“We were the first public administration to introduce external auditing firms in 1996,” he said.
He also highlighted Regie’s pioneering achievement in financial management through the completion of the exceptional revaluation of its assets, making it one of the first Lebanese public institutions to undertake such an initiative, thereby strengthening transparency and the reliability of financial statements.
Seklaoui noted that Regie had completed the purchase of tobacco crops in southern Lebanon despite difficult circumstances and was working to finalize the process in other regions.
He also underscored Regie’s advanced archiving system, which enables information to be retrieved within a very short period.
Regarding employee development, he emphasized the institution’s commitment to training, noting that Regie had established a fully equipped training center capable of hosting both large- and small-scale training sessions in cooperation with the Basil Fuleihan Financial and Economic Institute.
In terms of social policy, Seklaoui affirmed that Regie’s management works in close coordination with the labor union.
Choucair
For his part, Choucair praised Regie for transferring USD 500 million to the state, describing it as “an institution we are proud of, one that fills our hearts with pride.”
He commended Regie’s transparency and professionalism, particularly in its procurement procedures.
“Companies tell us about the accuracy and transparency of your tenders and how you open your records to everyone.
This is a source of pride.
If all state institutions operated in this manner, we would not be calling for privatization or public-private partnerships,” he said.
Choucair continued:
“We have always advocated privatization. However, any institution that generates revenue for the state should not be sold. Instead, institutions that cause losses to the state should be privatized.”
“It makes no sense to sell an institution that contributes between USD 400 million and USD 500 million annually to the state.
On the other hand, institutions that should generate USD 500 million but produce only USD 50 million are the ones that should be sold,” he added.
Concluding his remarks, Choucair praised Regie’s employees, saying:
“During our tour of the offices, we saw employees we would wish to have in our own companies.”
Tour
of Regie’s Facilities
During the visit, the delegation watched an introductory film highlighting Regie’s activities and achievements.
Members also listened to Rihat El Janoub (“The Scent of the South”), a musical work by artist Hassan Thabet dedicated to tobacco farmers in southern Lebanon and the Regie community.
The delegation then toured several departments, beginning with the Information Technology Department, where they received a briefing from Financial Director Wael Dargham.
The visit continued to the Archives Department, where Head of the General Directorate Department and Quality Director Mariam Hariri explained the department’s operations and its advanced archiving system.
Hariri also highlighted Regie’s renewed achievement last year in obtaining two internationally recognized ISO certifications covering quality management and occupational health and safety.
The delegation subsequently visited the manufacturing facilities, where Head of Manufacturing Eng. Paul Ghanimeh provided an overview of the production process and the factory’s operations.