Cigar - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2025 - 2030)

The Cigar Market size is estimated at USD 59.36 billion in 2025, and is expected to reach USD 97.48 billion by 2030, at a CAGR of 10.43% during the forecast period (2025-2030).

Increasing consumer inclination toward products complementing opulent lifestyles and the premiumization of cigars boost the cigar market globally. Rising disposable income, demand for premium products, and celebrity endorsements further drive the cigar market. As cigars are relatively expensive and specially handcrafted, they are considered a luxury product and are favored by high-income groups. Other factors propelling the cigar market include convenience and innovation. Chain stores with drive-through window outlets are gaining traction due to the convenience offered by such stores. Customers find these drive-through windows convenient, aiding in increasing cigar sales.

The emergence and promotion of cigar culture, including cigar lounges, clubs, and events, have increased customer interest in cigars. These spaces provide enthusiasts with a social environment to enjoy cigars, share experiences, and discuss the nuances of different cigar brands and varieties. In addition, companies are offering new packaging designs for cigars to attract consumers and increase their market share. For instance, in May 2024, Bond Roberts announced the launch of its own cigar brand called Bond Roberts Cigars. This release consists of two sizes, both made with a “109”-style belicoso head: Petit 109, measuring 5 7/8 inches by 50 ring gauge, and 109, at 7 1/4 by 50. Furthermore, there has been a growing trend toward artisanal and premium products across various industries, including tobacco. Cigar enthusiasts frequently seek premium tobacco cigars that are crafted with precision. Such factors are driving the demand for cigar products worldwide.

Cigar Market Trends

Rising Income Levels and Consumer Spending on Social Smoking Clubs Are Fueling the Demand for Premium Cigars

The demand for premium cigars is fueled by the growing popularity of cigar lounges and social smoking clubs. The consumption of premium cigars, especially among the urban population, has increased as a result of the trend of socializing over an excellent cigar. Hand-rolled premium cigars are in high demand, with the exclusive tobacco leaves used as fillers that give them a better flavor profile. In addition, the careful selection and moisture retention of chopped tobacco leaves used in packaging ensure that they burn uniformly, resulting in a high level of satisfaction with smoking. Hand-rolled cigars are characterized by a sense of premium quality, with a significant emphasis placed on using 100% pure tobacco, a characteristic that cigar connoisseurs are very fond of.

According to the Centers for Disease Control and Prevention, in 2023, cigars were the third most commonly used tobacco product among US middle and high school students. Concerns were raised that these products may be particularly attractive to young people due to the availability of flavorings, such as cherry, which are prohibited in cigarettes, and the fact that they are commonly sold as a single stick. In addition, the global demand for premium flavored cigars from the student population increased. As of 2022, an estimated 8.8 million adults globally aged 18 and older (3.5%) smoked cigars.

Asia-Pacific Holds the Largest Market Share

In the Asia-Pacific market, the consumption of conventional cigars is higher compared to premium cigars due to the extremely high tax rates on premium cigars. The ban on e-cigarettes in developed parts of China, including Beijing, is the primary factor responsible for the growth of the country's cigar market. According to WHO, in 2022, there were more than 300 million smokers in China, nearly one-third of the world's total. The high tobacco production in Asian countries also drives the market for cigars across the region. Southeast countries such as Indonesia, the Philippines, and China are the major producers of cigars in the Asia-Pacific region.

India ranked behind China as the world's second-largest tobacco producer. According to WHO, as of 2023, tobacco was an important cash crop grown on 0.4 million hectares in the country, accounting for approximately 0.27% of the net cultivated area. The annual production was around 700 million kg, and the country ranked third globally in terms of production after China and Brazil. Several types of tobacco are made in the nation, including flue-cured Virginia tobacco, country tobacco, burley tobacco, bidi tobacco, Rustica tobacco, hookah tobacco, cigar-wrapped tobacco, cheroot tobacco, burley tobacco, oriental tobacco, and chewing tobacco.

Cigar Industry Overview

The cigar market is competitive, with the strong presence of regional as well as global players. Well-established companies with international brands have a higher penetration rate across retail shelves, primarily because of business expansion and a high consumer preference across developed and developing markets. Some major players in the market include Swisher International Group, Imperial Brands PLC, Philip Morris International Inc., China National Tobacco Corporation, and Altria Group Inc. The major companies are increasing their market share through innovations in their product portfolio. Companies compete based on different factors, including product offerings, quality, packaging, price, and different flavors, to gain a competitive advantage in the market.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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