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2008 Report on China's Cigar Market


Description: Currently, Chinese people pay RMB2.2bn for 370 million cigars every year, among which the low-end market accounts for 200 million, with the price per cigar at RMB0.3 or below; while 170 million real-sense cigars are sold, delivering a sales total of RMB2.1bn. As for market shares, top-end cigars account for 25%, mid-priced 30%, and low-end 45%, which are different from those in European and American countries, where the proportion of mid- to top-end cigars is close to 50%:50%, almost excluding low-end cigars.

Cigars sold in China mainly fall into two categories, handmade and machine-made. The former are the traditional cigars totally made by hand. They are more expensive and are true cigars. The latter, on the other hand, are the result of mass production with machines. They look more like common cigarettes, and have lowered barriers for industry.

In the current market situation, Chinas mid- and top-end cigar markets are mainly dominated by foreign cigars that have entered China through illegal channels. Incomplete data show that in Shenzhen, Guangzhou and Zhuhai these foreign cigars account for 90% of the local cigar markets. As for Chinas home-grown cigar makers, they focus on the low-end market, targeting consumers of middle and lower income brackets, mainly because the tobacco for Chinas local producers is from China itself, and the taste is not considered favourable. As a result, the finished products are not considered as superior. Currently Chinas home-grown cigar makers mainly include Chuanyu Tobacco Corporation, Wuhan Tobacco, Anhui Tobacco, and Shandong Tobacco, with Great Wall, Lion, Maoda, and Three Gorges as the major brands.


Contents: Chapter One: Business Environment of Cigar Industry in China
1.1 Economy
1.2 Government Policies
1.3 Society

Chapter Two: Overview of Chinas Cigar Industry
2.1 History
2.2 Status Quo
2.2.1 Scale of the Industry
2.2.2 Industrial Structure
2.2.3 Features of the Industry
2.2.4 Status Quo of Technology
2.3 Problems

Chapter Three: Overview of Chinas Cigar Market
3.1 Status Quo
3.1.1 Product Mix
3.1.2 Regional Markets
3.1.3 Sales Channels
3.1.4 Feature of Consumption
3.2 Supply and Demand
3.2.1 Supply
3.2.2 Demand
3.2.3 Supply and Demand
3.3 Import and Export

Chapter Four: Major Economic Indicators of Chinas Cigar Industry
4.1 Gross Industrial Output Value
4.1.1 General
4.1.2 Companies of Different Sizes
4.1.3 Ownerships
4.2 Revenue
4.2.1 General
4.2.2 Companies of Different Sizes
4.2.3 Ownerships
4.3 Costs and Expenses
4.3.1 General
4.3.2 Companies of Different Sizes
4.3.3 Ownerships
4.4 Profit
4.4.1 General
4.4.2 Companies of Different Sizes
4.4.3 Ownerships

Chapter Five: Top Cigar Makers in China
5.1 Chuanyu Tobacco
5.1.1 Operational Performance
5.1.2 Product Mix and Markets
5.1.3 Competitive Advantage and Development Strategies
5.2 Wuhan Tobacco
5.2.1 Operational Performance
5.2.2 Product Mix and Markets
5.2.3 Competitive Advantage and Development Strategies
5.3 Shandong Tobacco
5.3.1 Operational Performance
5.3.2 Product Mix and Markets
5.3.3 Competitive Advantage and Development Strategies
5.4 Anhui Tobacco
5.4.1 Operational Performance
5.4.2 Product Mix and Markets
5.4.3 Competitive Advantage and Development Strategies
5.5 Shanghai Tobacco
5.5.1 Operational Performance
5.5.2 Product Mix and Markets
5.5.3 Competitive Advantage and Development Strategies
5.6 Hunan Tobacco
5.6.1 Operational Performance
5.6.2 Product Mix and Markets
5.6.3 Competitive Advantage and Development Strategies

Chapter Six: Status Quo of Cigar-related Industries
6.1 Packaging
6.2 Advertising
6.3 Tobacco Machinery
6.4 Logistics

Chapter Seven: Investing in Chinas Cigar Industry
7.1 Investment Opportunities
7.2 Risks
7.2.1 Macroeconomic Controls
7.2.2 Competition
7.2.3 Volatility in Supply and Demand
7.2.4 Management and Operation
7.2.5 Other Risks

Chapter Eight: Development Trend of Chinas Cigar Industry
8.1 Development Trend
8.2 Forecast for Industrial Scale
8.3 Outlook of Market
8.3.1 Outputs and Sales
8.3.2 Demand
8.3.3 Import and Export
8.3.4 Profitability


Companies Mentioned - Chuanyu Tobacco - Wuhan Tobacco - Shandong Tobacco - Anhui Tobacco - Shanghai Tobacco - Hunan Tobacco


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