Tobacco in Croatia
Euromonitor International's Tobacco in Croatia market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.
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Tables: 75 | Publication date: Feb 2008
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Cigarettes; Cigarettes including RYO; Cigars; Smoking tobacco
Executive summary
High Prices and Strong Cigarette Consumption in the Country
The consumption of cigarettes in Croatia is around nine billion sticks annually, and an average Croatian consumer spends a considerable part of his/her income on tobacco. There are more than one million smokers in a country of only about four million residents. Cigarettes account for more than 99% of all tobacco consumed. Consumption remains relatively high despite unit prices being among the highest in the region. However, the global trend of diminishing cigarette consumption has not bypassed Croatia and the market is experiencing a slow but steady decline.
Presence of Illicit Trade
Close to a quarter of total cigarette consumption is estimated to be supplied by the black market. The existing tax structure makes cigarette retailing prices higher than in the neighbouring countries and it develops illicit trade. Most of the illicit trade is represented by domestic cigarettes legally exported into neighbouring countries (mainly Bosnia and Herzegovina) and then smuggled back in to Croatia. Illicit trade has a big effect on the legal market and its big drop in 2006 has been the only reason for the growth of the legal market.
National Monopoly Framework
Domestic producer Tvornica Duhana Rovinj dd (TDR) is the only key player dominating the Croatian market. During the last few years of the review period, the government and Croatian legislation system have been encouraging monopoly of the national firm: TDR. The tax system forced BAT close its tobacco plant in Zadar and exit the country. Philip Morris (PM) discontinued its arrangement with TDR to license its own brand -Marlboro. In 2007, PM and BAT import cigarettes to Croatia; PM through its fully-owned subsidiary and BAT through a domestic importer.
European Band Integration
In 2007, the first priority of the people and the government of Croatia is joining the European Union. By ratifying the Framework Convention for Tobacco Control (FCTC), Croatia will integrate European tobacco bans: restricted areas for smokers, limitation of tar and nicotine levels, and advertising forbidden throughout the country. Although the treaty was signed back in 2004, pro-smoking lobbyist groups have already delayed the ratification several times.
Shifts Predicted
European integration also means the integration to the market of free competition. The Croatian government will have to change the domestic tax laws. The existing discriminatory excise system, which makes all imported cigarettes uncompetitive, will have to be abandoned. TDR, PM and BAT are all preparing for it. TDR is strengthening its dominant market position and diversifying its business, and PM and BAT maintain their presence on the market while waiting for the new operating environment.
Table of contents
TOBACCO IN CROATIA : MARKET INSIGHT
EXECUTIVE SUMMARY
High Prices and Strong Cigarette Consumption in the Country
Presence of Illicit Trade
National Monopoly Framework
European Band Integration
Shifts Predicted
OPERATING ENVIRONMENT
Smoking Population
Table 1 Smoking Prevalence in Population 2001-2006
Table 2 Number of Smokers by Gender 2001-2006
Death by Cause
Legislation
Tar
Health Warnings
Duty Paid Packet Marks
Advertising and Sponsorship
Smoking in Public Places
Litigation
Taxation and Duty Levies
Table 3 Taxation and Duty Levies 2001-2006
Table 4 Average Cigarette Pack Price Breakdown: Brand Examples
Production/Imports/Exports
Table 5 Trade Statistics – Cigarettes 2001-2006
The Role and Effect of Cannabis/Marijuana
MARKET INDICATORS
Table 6 Deaths from Heart Disease 2001-2006
Table 7 Deaths from Lung Cancer 2001-2006
Table 8 Illicit Trade Estimate 2001-2006
MARKET DATA
Table 9 Sales of Tobacco by Sector: Volume 2001-2006
Table 10 Sales of Tobacco by Sector: Value 2001-2006
Table 11 Sales of Tobacco by Sector: % Volume Growth 2001-2006
Table 12 Sales of Tobacco by Sector: % Value Growth 2001-2006
Table 13 Sales of Cigarettes by Distribution Format: % Analysis 2001/2006
Table 14 Forecast Sales of Tobacco by Sector: Volume 2006-2011
Table 15 Forecast Sales of Tobacco by Sector: Value 2006-2011
Table 16 Forecast Sales of Tobacco by Sector: % Volume Growth 2006-2011
Table 17 Forecast Sales of Tobacco by Sector: % Value Growth 2006-2011
DEFINITIONS
Summary 1 Research Sources
BRITISH AMERICAN TOBACCO PLC
Strategic Direction
Key Facts
Summary 2 British American Tobacco Plc: Key Facts
Company Background
Production by Factory
Competitive Positioning
Summary 3 British American Tobacco Plc: Competitive Position 2006
TVORNICA DUHANA ROVINJ DD
Strategic Direction
Key Facts
Summary 4 Tvornica Duhana Rovinj dd: Key Facts
Summary 5 Tvornica Duhana Rovinj dd: Operational Indicators 2003-2005
Company Background
Production by Factory
Summary 6 Tvornica Duhana Rovinj dd: Production Statistics by Factory 2002-2005
Competitive Positioning
Summary 7 Tvornica Duhana Rovinj dd: Competitive Position 2006
CIGARETTES
Headlines
Trends
Table 18 Slims/superslims Penetration 2006
Competitive Landscape
Prospects
Sector Data
Table 19 Sales of Cigarettes by Tar Level: Volume 2001-2006
Table 20 Sales of Cigarettes by Tar Level: Value 2001-2006
Table 21 Sales of Cigarettes by Tar Level: % Volume Growth 2001-2006
Table 22 Sales of Cigarettes by Tar Level: % Value Growth 2001-2006
Table 23 Sales of Cigarettes by Price Band: % Volume Breakdown 2001-2006
Table 24 Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2001-2006
Table 25 Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2001-2006
Table 26 Sales of Cigarettes by Filter vs Non-filter 2001-2006
Table 27 Sales of Filter Cigarettes by Carbon vs Non-carbon 2001-2006
Table 28 Sales of Cigarettes by Length 2001-2006
Table 29 Sales of Cigarettes by Pack Size 2001-2006
Table 30 Sales of Cigarettes by Pack Type 2001-2006
Table 31 Cigarettes Company Shares 2002-2006
Table 32 Cigarettes Brand Shares 2003-2006
Table 33 Forecast Sales of Cigarettes by Tar Level: Volume 2006-2011
Table 34 Forecast Sales of Cigarettes by Tar Level: Value 2006-2011
Table 35 Forecast Sales of Cigarettes by Tar Level: % Volume Growth 2006-2011
Table 36 Forecast Sales of Cigarettes by Tar Level: % Value Growth 2006-2011
Table 37 Forecast Sales of Cigarettes by Price Band: % Volume Breakdown 2006-2011
Table 38 Forecast Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2006-2011
Table 39 Forecast Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2006-2011
Table 40 Forecast Sales of Cigarettes by Filter vs Non-filter 2006-2011
Table 41 Forecast Sales of Filter Cigarettes by Carbon vs Non-carbon 2006-2011
Table 42 Forecast Sales of Cigarettes by Length 2006-2011
Table 43 Forecast Sales of Cigarettes by Pack Size 2006-2011
Table 44 Forecast Sales of Cigarettes by Pack Type 2006-2011
CIGARS AND CIGARILLOS
Headlines
Trends
Competitive Landscape
Prospects
Sector Data
Table 45 Sales of Cigars by Subsector: Volume 2001-2006
Table 46 Sales of Cigars by Subsector: Value 2001-2006
Table 47 Sales of Cigars by Subsector: % Volume Growth 2001-2006
Table 48 Sales of Cigars by Subsector: % Value Growth 2001-2006
Table 49 Company Shares of Cigars Excluding Cigarillos 2002-2006
Table 50 Brand Shares of Cigars Excluding Cigarillos 2003-2006
Table 51 Company Shares of Cigarillos 2002-2006
Table 52 Brand Shares of Cigarillos 2003-2006
Table 53 Forecast Sales of Cigars by Subsector: Volume 2006-2011
Table 54 Forecast Sales of Cigars by Subsector: Value 2006-2011
Table 55 Forecast Sales of Cigars by Subsector: % Volume Growth 2006-2011
Table 56 Forecast Sales of Cigars by Subsector: % Value Growth 2006-2011
SMOKING TOBACCO
Headlines
Trends
Competitive Landscape
Prospects
Sector Data
Table 57 Sales of Smoking Tobacco by Subsector: Volume 2001-2006
Table 58 Sales of Smoking Tobacco by Subsector: Value 2001-2006
Table 59 Sales of Smoking Tobacco by Subsector: % Volume Growth 2001-2006
Table 60 Sales of Smoking Tobacco by Subsector: % Value Growth 2001-2006
Table 61 Company Shares of RYO Tobacco 2002-2006
Table 62 Brand Shares of RYO Tobacco 2003-2006
Table 63 Company Shares of Pipe Tobacco 2002-2006
Table 64 Brand Shares of Pipe Tobacco 2003-2006
Table 65 Forecast Sales of Smoking Tobacco by Subsector: Volume 2006-2011
Table 66 Forecast Sales of Smoking Tobacco by Subsector: Value 2006-2011
Table 67 Forecast Sales of Smoking Tobacco by Subsector: % Volume Growth 2006-2011
Table 68 Forecast Sales of Smoking Tobacco by Subsector: % Value Growth 2006-2011