BAT Bets on MENA as the Key Driver of Its Smokeless Transformation
British American Tobacco (BAT) is accelerating its transition toward a smokeless world, with the Middle East and North Africa (MENA) region at the heart of its transformation. As the company rolls out smokeless products with reduced risk profiles relative to cigarettes, BAT sees significant potential to turn Tobacco Harm Reduction (THR) into a lived reality in the region. This effort is underscored by the interplay of science, regulation, and consumer readiness, which BAT frames as the driving forces behind its regional strategy.
BAT’s MENA cluster, guided by Alexandre Ghanem, cluster manager for BAT in MENA, emphasizes that the region’s six-decade legacy holds strategic significance not only for local growth but for the company’s global transformation. The MENA region is viewed as a proving ground where adult smokers are increasingly willing to switch from traditional cigarettes to lower-risk alternatives. This shift aligns with BAT’s ambition to accelerate its THR journey by offering a broad range of high-quality, scientifically substantiated reduced-risk nicotine products to adult consumers, while maintaining rigorous safety and regulatory compliance.
The MENA Strategy: A Centrally Positioned, Long-Term Transformation
BAT’s strategic emphasis in MENA rests on a multi-layered approach that integrates product innovation, regulatory engagement, and consumer education. Ghanem notes the region’s immense opportunities, pointing to a consumer base that is increasingly receptive to alternatives that deliver nicotine with lower risk profiles than conventional smoking. The company’s plan is to respond to this demand by expanding access to mature, well-substantiated smokeless products that meet stringent quality and efficacy standards. The objective is not merely to introduce new products but to evolve the consumer ecosystem toward sustainable THR outcomes, where responsible choices are supported by robust evidence, clear regulatory pathways, and transparent communication about risk.
The strategic importance of MENA is anchored in BAT’s broader global mission, encapsulated in the vision of “A Better Tomorrow.” In practice, this translates into the pursuit of a Smokeless World, with emphasis on reducing reliance on combustibles while ensuring that adult smokers have access to safer alternatives. BAT’s MENA cluster is tasked with translating this vision into concrete regional impact, leveraging the region’s regulatory developments, market dynamics, and consumer education initiatives to create meaningful, measurable progress in tobacco harm reduction. This includes not only product offerings but also talent development and alignment with government strategies to support innovation-driven economic growth.
Dubai was chosen as the regional headquarters for the Asia Pacific, Middle East, and Africa – West regions, reflecting its strategic importance as a hub for innovation, logistics, and business regulatory ecosystems. The decision underscores BAT’s commitment to integrating regional operations within a global framework while optimizing local capabilities. By situating its regional leadership in Dubai, BAT aims to harmonize global standards with local regulatory realities, ensuring that product launches and educational campaigns are contextually appropriate and locally supported.
BAT’s outlook for the GCC markets highlights rising consumer demand for smokeless products. In these markets, adult smokers are increasingly seeking alternatives that offer reduced risk without sacrificing the reliability and satisfaction associated with nicotine delivery. Local studies, including consumer research in the UAE, indicate a noteworthy openness to switching from smoking to non-combustible options, with a strong appetite for high-quality products backed by credible science and regulatory validation. This signals a favorable environment for the expansion of smokeless offerings and THR initiatives in the region.
The MENA strategy also places emphasis on building local talent and advancing workforce development in line with government visions for diversified economies and innovation-led growth. This aligns with BAT’s broader corporate responsibility goals, which include nurturing skills, fostering scientific literacy around nicotine products, and supporting economic development in regions where the company operates. Ghanem highlights that BAT’s regional expansion is not limited to product portfolios; it encompasses people, capabilities, and partnerships that collectively advance a smokeless future in the MENA region.
Science-Driven Innovation: Building a Comprehensive Non-Combustible Portfolio
A central pillar of BAT’s approach in MENA—and globally—is a science-led innovation program. The company asserts that its innovations are underpinned by world-class science and are designed to build a comprehensive portfolio of non-combustible nicotine products capable of meeting evolving adult consumer preferences. This strategy is framed around a continuous synthesis of data, regulatory alignment, and consumer insights to ensure that new products are not only acceptable but demonstrably safer relative to smoking.
Ghanem describes the enterprise’s innovation framework as anchored in a robust, evidence-based process. He notes that BAT operates with a 9-step risk assessment framework to evaluate emissions, exposure, risk, and the overall harm associated with smokeless products. The goal is to establish a weight of evidence that substantiates the relative risk profiles of these products compared to cigarette smoking. This rigorous approach is intended to provide transparency and confidence for regulators, healthcare professionals, and adult consumers seeking reliable information about harm reduction options.
The organization invests heavily in research and development, committing more than £300 million annually. This investment supports ongoing scientific inquiry, product development, safety testing, and regulatory submissions that collectively advance the credibility and acceptance of smokeless products. A notable milestone cited by BAT is the introduction of tobacco-free oral nicotine pouches under the VELO brand in the UAE, illustrating the company’s capacity to translate scientific findings into market-ready, consumer-focused options that align with THR objectives.
The R&D effort is further reinforced by the involvement of a large global network of science and innovation resources. BAT highlights the presence of more than 1,750 specialists across global innovation centers who contribute to a coordinated, cross-border approach to nicotine product development. This global talent pool enables the company to leverage diverse expertise—from chemistry and toxicology to consumer psychology and behavioral science—ensuring that smokeless products are designed, tested, and positioned with rigorous scientific rationale.
In addition to product development, BAT emphasizes a rigorous assessment of risk communication. The 9-step framework supports an evidence-based dialogue about product risk relative to smoking, helping regulators and consumers understand the relative harm and the conditions under which smokeless products may offer a less harmful alternative. The company’s reliance on science is paired with a commitment to regulatory compliance and transparent, data-driven narratives that can help shift perceptions in markets where misinformation or misinterpretation about nicotine products persists.
The combination of substantial R&D investment, a large scientific talent pool, and a methodical risk assessment framework forms the backbone of BAT’s strategy to westernize and mainstream smokeless products in MENA. By ensuring that the product portfolio is grounded in credible science and validated by regulatory scrutiny, BAT aims to foster trust among adult smokers, policymakers, and health professionals. This ties back to the broader THR agenda: offering scientifically substantiated, reduced-risk products as legitimate alternatives to combustible cigarettes.
Education, Perception, and the Need for Clear Communication
One of the persistent challenges BAT identifies in its THR journey is the persistence of misperceptions about nicotine and smokeless products. Ghanem frames misperceptions as a global barrier that affects not only the MENA region but also international markets. He notes that many people incorrectly assume that all smokeless alternatives carry the same level of harm as traditional tobacco products. This misunderstanding can undermine the adoption of reduced-risk options and impede progress toward THR objectives.
To address these misperceptions, BAT emphasizes the importance of education and clear risk communication. The company points to public health authorities’ statements that acknowledge nicotine vaping as not risk-free but comparatively less harmful than smoking. For example, endorsements from reputable health bodies such as the NHS UK have highlighted that while nicotine vaping is not risk-free, it is less harmful than smoking. BAT argues that aligning with evidence-based guidance from health authorities is critical to building consumer trust and supporting informed decision-making among adult smokers.
The Ipsos survey cited by BAT illuminates the scale of misperceptions. Across 27,000 smokers in 28 countries, the survey found that 74 percent believe vaping is at least as harmful as smoking. This disconnect indicates a broad information gap that can hinder THR adoption. BAT’s response to this challenge centers on transparent education campaigns, credible science communication, and collaborations with regulators and health professionals to present the relative risk profile of smokeless products in a clear, evidence-based manner.
In parallel, BAT emphasizes the need to ensure that promotional narratives do not mislead or oversell benefits. The company’s THR strategy appears to focus on adult smokers, rather than non-smokers or youth, and on presenting smokeless products as part of a harm-reduction continuum. The educational component is designed to complement product innovation and regulatory alignment, creating a coherent ecosystem where science, regulation, and consumer understanding reinforce one another.
BAT’s commitment to education extends beyond product information. The company is actively involved in workforce development and community engagement, reinforcing the social license required to introduce smokeless products in sensitive markets. This includes building local awareness about THR concepts, partnering with health professionals to disseminate accurate information, and supporting regulatory systems that foster transparent, science-driven policymaking.
The MENA region’s education-and-communication strategy is therefore integral to BAT’s broader mission. By addressing misperceptions, aligning with regulatory guidance, and presenting credible risk information, BAT seeks to create a favorable environment for THR uptake. The ultimate aim is to equip adult smokers with access to validated investigative evidence that supports the transition from combustibles to reduced-risk alternatives, while ensuring that the messaging is appropriate for different market contexts.
Regulatory Alignment, Local Talent, and Regional Growth
BAT’s regional growth narrative in the GCC mirrors its global emphasis on regulatory alignment and local capability development. The company’s MENA operations highlight an intent to harmonize its smokeless product portfolio with regional regulatory expectations, thereby facilitating safer, well-regulated product introductions. The Dubai-based regional headquarters signal the importance of a centralized governance model that can navigate the regulatory landscapes of multiple markets within Asia Pacific, the Middle East, and Africa – West, while enabling scalable, compliant market access.
Beyond regulatory alignment, BAT underscores its commitment to local talent development as a cornerstone of sustainable growth in MENA. The company positions itself as a responsible corporate citizen that contributes to the economic growth of the region by investing in people, skills development, and career opportunities aligned with national development visions. This approach complements BAT’s product strategy by cultivating a workforce capable of supporting innovation, regulatory engagement, and consumer education that collectively advance a smokeless future.
Market research from the GCC indicates a favorable environment for smokeless products driven by rising consumer interest and a growing willingness to switch. In the UAE, for example, local research by Kantar reveals that 7.8 percent of consumers currently use non-combustible products, while a substantial 83 percent express openness to switching from smoking to these products. These data points suggest a notable market receptivity to BAT’s smokeless offerings and THR messaging, reinforcing the strategic logic of expanding smokeless portfolios in the region.
BAT’s MENA strategy also emphasizes alignment with government ambitions for innovation-led economic growth. By integrating local talent development with the expansion of smokeless product offerings, BAT aims to contribute to employment, skills development, and knowledge transfer that support broader socio-economic objectives. This alignment supports the company’s long-term goal of becoming a major stimulant for THR in the region while ensuring that its activities are consistent with public policy priorities.
In addition to product and talent development, BAT’s regional strategy includes the establishment of robust partnerships with stakeholders across the regulatory, healthcare, and consumer education ecosystems. This collaborative approach is intended to strengthen trust, facilitate informed decision-making among adult smokers, and ensure that smokeless products are introduced with appropriate safety standards, quality controls, and post-market surveillance. The ultimate objective is to create a resilient market environment in which smokeless products can gain sustainable traction, backed by science, regulation, and credible consumer education.
BAT’s regional performance indicators reflect growing consumer demand for smokeless options in the GCC. The company views this demand as a signal that smokeless products can play a meaningful role in reducing smoking prevalence, particularly among adult smokers who are seeking alternatives that balance satisfaction with reduced risk. As BAT expands its regional footprint, it will continue to monitor market dynamics, regulatory developments, and consumer attitudes to refine its approach and maximize the positive impact of THR in MENA.
The regional narrative also emphasizes a commitment to responsible marketing and communications. BAT maintains strict adherence to ethical standards and regulatory requirements across markets, prioritizing consumer safety and transparency in messaging. This includes clear risk communication, age-verification measures where appropriate, and ongoing dialogue with policymakers to ensure product categories remain evidence-based and appropriately regulated. The company believes that such disciplined practices are essential to building credibility and sustaining long-term success in the smokeless product space.
Local Impact, Consumer Acceptance, and the Road Ahead
In sum, BAT’s MENA strategy reflects a concerted effort to integrate science-led product development, regulatory readiness, and education-driven consumer engagement. By leveraging its Dubai hub, substantial R&D investment, and a broad portfolio of non-combustible nicotine products, BAT aims to accelerate the THR journey in the region. The company’s approach is holistically designed to address the complex interplay of expectations from regulators, healthcare professionals, and adult smokers seeking safer alternatives to combustible tobacco.
The regional path forward will likely involve continued collaboration with regulators to refine product standards, enhance risk communication, and maintain safety safeguards throughout the product lifecycle. BAT’s ongoing commitment to local talent development and alignment with government development goals is poised to create a sustainable ecosystem where smokeless products can thrive in the GCC and broader MENA landscape. As more adult smokers consider switching to reduced-risk alternatives, BAT’s strategy seeks to convert intention into action, contributing to a smokeless future that aligns with public health objectives and the region’s economic growth priorities.
Conclusion
BAT’s push toward a smokeless world in the MENA region is anchored in a disciplined, science-driven strategy that unites product innovation, regulatory alignment, and consumer education. The company’s focus on a comprehensive portfolio of non-combustible nicotine products, supported by a substantial R&D investment and a robust risk-assessment framework, positions BAT to advance Tobacco Harm Reduction in markets across the GCC and broader MENA. The Dubai regional hub, the emphasis on local talent development, and the alignment with government development visions further reinforce the likelihood of durable, positive change in adult smoking behavior. While misperceptions about nicotine persist, BAT’s commitment to transparent education and credible, evidence-based messaging remains central to its mission of creating a Better Tomorrow by building A Smokeless World. The evolving regulatory landscape, growing consumer openness, and ongoing market research signals a clear trajectory: a progressive shift toward higher-quality smokeless options that empower adult smokers to make informed, safer choices, with science and regulation providing the backbone for responsible expansion.