Assessment of the Role of the Regie on the Development of the Tobacco Sector in the Ottoman Empire from the late 19th to the early 20th century

The condition of the tobacco sector in the European territories of the Ottoman Empire at the end of the 19th and the beginning of the 20th century was determined by the functioning of the Tobacco Regie – a foreign consortium established in 1883 following an agreement with the Ottoman Public Debt Administration and the Ottoman state. Through this concession, foreign capital gained complete control for 30 years over the purchase, processing, and sale of tobacco produced in the state, with the exception of tobacco for export. Existing tobacco factories were closed, and new ones were opened, entirely under the control of the Regie. The Ottoman state renounced the collection of taxes on tobacco, except for the tithe, and agreed not to issue licenses for tobacco-related activities to other individuals or companies. These changes were not universally accepted, and according to contemporary assessments, the introduction of the Tobacco Regie in the Ottoman Empire had a negative impact on the quantitative and qualitative characteristics of tobacco production in certain regions. It led to an increase in tobacco smuggling and affected the interests of small tobacco producers, particularly in Macedonia and Thrace.