Greek factory leads shift to smoke-free future
In the industrial district of Aspropyrgos, just outside Athens, a modern facility operates with quiet precision. This is Papastratos—now a dedicated production hub for smoke-free tobacco products and the centerpiece of Greece’s transition away from traditional cigarettes.
Inside, heated tobacco sticks for IQOS are manufactured around the clock, the result of a major €300-million investment made in 2017.
Once a conventional cigarette factory, the site has been fully converted to produce only smoke-free alternatives. The change is tangible. Automated systems, digital monitoring, and strict quality checks reflect a larger mission: to support public health while driving innovation. Since the shift, Papastratos has steadily grown its impact—economically, socially, and globally.
More than 650,000 adult smokers in Greece have adopted IQOS, and in 2023, over 75 percent of the company’s net revenue came from these smoke-free products. IQOS was approved by the U.S. FDA in 2020 as a modified risk tobacco product, and it’s now available in 92 countries.
Exports have become a major part of the company’s operations. Today, around 90 percent of its production is shipped abroad to over 40 markets, with Japan as the largest destination. Heated tobacco sticks are now the top Greek export to Japan, making up 80 percent of Greece’s total exports to the country. Within just three years, export capacity and value have both more than doubled, reaching €300 million annually.
This growth has created jobs as well. Since the transformation began, Papastratos has added more than 1,000 positions. A recent €200-million expansion in 2023 alone led to the hiring of 300 new employees. The company has been recognized as a Best Workplace and Top Employer, and it holds the distinction of being the first Greek company to receive Equal Salary certification.
Sustainability also plays a central role. In 2021, Papastratos introduced a five-year strategy focused on responsible development—aiming to balance economic performance with environmental and social priorities.
Visiting the factory today offers a close-up look at how a single company can help reshape the country’s manufacturing identity. From employment and exports to public health and innovation, Papastratos continues to lead Greece’s shift toward a smoke-free future—one heated stick at a time.
More about the company’s transformation is available at www.papastratosmazi.gr.