First beginnings of production of minced tobacco in the Prilep's region, which was part of Ottoman Empire, started quite earlier before the building of the first tobacco warehouse in 1873. At first, production of minced tobacco was solely intended for private use, somewhere around 1573, after the first registered tobacco smoking in Istanbul (1571).
Significant production and processing of tobacco for smoking arrived at the end of XIX century, when large portion of Macedonian population accepted the smoking habit from Turkish population. In this period started the production for market, and in 1875 is registered the first selling of tobacco on Prilep's fair, in which there where quantites for direct consumption as minced tobacco.
Much later, actually starting from 1916 in Prilep is registered organized tobacco processing for consumption.
With the occupation of Macedonia in WWI, there was free banderole regime, through which the state had a right for taxing of tobacco fabricants with banderole (tax).
In the period between 1916—1919 in Prilep there where few tobacco workshops, called 'factories'. These 'factories' purchased leaf tobacco from tobacco workers, and processed final products for smoking, mostly minced tobacco for pipe and for 'make-your-own' cigarettes, packed in small packages. They were owned by the situated families in Prilep: Alekso Lepavtsa and Co, Rampo Slavev Topalo, Milan Kjovkarot, Yordan Ache, Pushmarkovtzi, Ribarovtzi, Plashevtzi, Osman Medinche, Lazar Zojcheski, Milan Crvenko and others.
Most popular workshop i.e. 'factories' in this period where: "Markos Towers", "Balkan", "Tzepelin", "Golden Lion" and others, mainly located in the center of Prileps bazaar, around the Clock tower.
The factory "Markos Towers - Markovi Kuli" was in the center of Prilep's bazaar. The work was organized in several stages. First the tobacco was bought from the tobacco workers in bales and was placed in own warehouses, in quantity 10.000 oka's per year (12.829 kg). The purchasing and processing was regulated with special regulations. Right for purchasing and processing of tobacco was necessary in order to be able to pay banderole (tax). The production was primitive, tobacco was shredded in mortars, then it was packed manually in packages of 20, 40 & 100 grams. Produced tobacco was sold through wholesaling on smaller registered shops. The name of the factory was printed on every package that was sold for 60 stotinki (0.01 coins). Beside the wholesaling in Prilep area, the factories also sold minced tobacco through wholesalers from Kichevo, Krushevo, Resen, Veles, Skopje and other towns. However, the work of these factories wasn't easy at all, as the competition was strong during the purchasing as well as in the selling of minced tobacco.
Reinstallment of monopoly system in tobacco production. In 1920 in Prilep were planted 4000 hA with 3,5 million kg.
Since the warehouse of Regie was burnt, the purchasing was performed in private houses; that's why in 1922 started the building of Stone Warehouse which was finished in 1924. The crop of 1924 was already placed in the new warehouse. In that period, all purchasing stations were abolished and all services and personnel were transferred in the new building. In that warehouse, base floors were workshops, while upper floors were used for fermentation of the tobacco.
In the same year 1922, is commencing the building of second "Shut" i.e. flat-roofed warehouse, but it is finished later, in 1927.
