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India Cigar and Cigarillos Market is driven by rising disposable income

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The India cigar and cigarillos market comprises hand-rolled and machine-made cigars or cigarillos that provide flavor and aroma. Cigars are made entirely from carefully fermented and aged tobacco and rolled in tobacco leaves, whereas cigarillos are smaller in size and produce less smoke. Growing social acceptance toward consuming luxury items and rising disposable income have boosted the demand for premium cigars and cigarillos in India. The market offers a diverse range of cigars, including domestic variants and imported brands to suit varied consumer preferences.

The Global India cigar and cigarillos Market is estimated to be valued at USD 3.0 Mn in 2024 and USD 4.2 Mn by 2031 is expected to exhibit a CAGR of 4.9% over the forecast period 2024-2031.

Key Takeaways

Key players operating in the India Cigar and Cigarillos Market Growth are ITC, Godfrey Phillips, Karnataka Silk Industry, and Scandinavian Tobacco Group. ITC leads the domestic cigar segment with brands like Classique and Flake. Godfrey Phillips offers Dutch Masters cigarillos at affordable prices.

Growing disposable income, coupled with changing lifestyle habits, has fueled the demand for premium cigars and cigarillos in urban India. The market is witnessing strong growth in metros like Delhi, Mumbai, Kolkata, Bengaluru, and Hyderabad due to high spends by young population on luxury products.

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