Tobacco in Kazakhstan
Euromonitor International's Tobacco in Kazakhstan 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
Premium cigarettes brands gain ground as disposable incomes rise
While mid-priced brands continued to account for the highest share of cigarettes volume sales in 2006, premium brands made the most impressive volume share gains within the sector during the review period. The trend towards premium brands was largely due to rising disposable incomes, and helped to drive growth in current value sales for cigarettes as a whole. The changing preferences of consumers encouraged a number of cigarettes manufacturers to launch new products in the premium segment. Mid-priced brands also benefited from rising disposable incomes, though not to the same extent as premium competitors. The rising popularity of mid-priced and premium brands came at the expense of the economy segment, the sector volume share of which declined consistently between 2001 and 2006.
Growing health concerns support a shift towards lower tar cigarettes brands
During the review period, the mid tar category overtook the high tar category to claim the highest share of total cigarettes volume sales. In 2006 high tar cigarettes continued to show declining volume sales, while the mid tar, low tar and ultra low tar categories all showed robust growth in volume terms. Ultra low tar cigarettes showed the most dynamic performance, due mainly to the fact that it was still emerging from a very low base. The shift towards lower tar cigarettes brands observed during the review period was largely attributable to growing health concerns among smokers.
Government adopts a tougher anti-smoking stance to comply with the FCTC
Kazakhstan became a signatory to the World Health Organisation’s Framework Convention on Tobacco Control in June 2004. However, the country failed to meet the initial deadline for ratification of November 2005, as all of the legislative and regulatory measures required under the terms of the treaty had not been put in place. Nonetheless, the government did manage to implement a number of anti-smoking reforms towards the end of the review period. Most notably, it cracked down on the sale of tobacco products to underage consumers, making retailers fully aware that this activity was a criminal offence and imposing tough penalties on offenders. Kazakhstan finally ratified the FCTC in January 2007.
Tougher legislation is unlikely to reduce cigarettes consumption
At the end of the review period, tobacco companies were bracing themselves for tougher restrictions on advertising and the introduction of larger health warnings on packs as the Kazakh government continued to implement reforms required under the terms of the FCTC. In anticipation of the new regulations, foreign cigarettes player British American Tobacco changed packaging designs for all of the cigarettes products it sells in the country. Branding designs and logos now only cover about half of the company’s cigarettes packs. Given experiences in other countries, tobacco companies are unconvinced that tougher restrictions will have a significantly negative impact on cigarettes consumption in the country over the forecast period.
Smoking rates among women rise rapidly as old taboos fade away
Kazakhstan is considered to be the most ‘European’ of the Central Asian countries. During the review period, this became more apparent with the increasing number of freedoms claimed by Kazakh women and their greater participation in business and politics. Up until the 1990s, smoking by women in the country was very much frowned upon, so much so that most women would not indulge their habit in public. This taboo was virtually eliminated between 2001 and 2006, however, and as a result smoking rates among women grew at a much faster pace than smoking rates among the male population. This undoubtedly contributed to the positive development of the cigarettes sector.
Table of contents
TOBACCO IN KAZAKHSTAN : MARKET INSIGHT
EXECUTIVE SUMMARY
Premium cigarettes brands gain ground as disposable incomes rise
Growing health concerns support a shift towards lower tar cigarettes brands
Government adopts a tougher anti-smoking stance to comply with the FCTC
Tougher legislation is unlikely to reduce cigarettes consumption
Smoking rates among women rise rapidly as old taboos fade away
OPERATING ENVIRONMENT
Smoking Population
Death by Cause
Legislation
Litigation
Taxation and Duty Levies
Table 1 Taxation and Duty Levies 2001-2006
Table 2 Taxation Revenues 2002-2006
Production/Imports/Exports
Table 3 Trade Statistics – Cigarettes 2001-2006
The Role and Effect of Cannabis/Marijuana
MARKET INDICATORS
Table 4 Deaths by Diseases of the Respiratory System 2001-2006
Table 5 Deaths from Heart Disease 2001-2006
Table 6 Deaths from Lung Cancer 2001-2006
Table 7 Illicit Trade Estimate 2001-2006
MARKET DATA
Table 8 Sales of Tobacco by Sector: Volume 2001-2006
Table 9 Sales of Tobacco by Sector: Value 2001-2006
Table 10 Sales of Tobacco by Sector: % Volume Growth 2001-2006
Table 11 Sales of Tobacco by Sector: % Value Growth 2001-2006
Table 12 Sales of Cigarettes by Distribution Format: % Analysis 2001/2006
Table 13 Forecast Sales of Tobacco by Sector: Volume 2006-2011
Table 14 Forecast Sales of Tobacco by Sector: Value 2006-2011
Table 15 Forecast Sales of Tobacco by Sector: % Volume Growth 2006-2011
Table 16 Forecast Sales of Tobacco by Sector: % Value Growth 2006-2011
DEFINITIONS
Summary 1 Research Sources
CIGARETTES
Headlines
Trends
Illicit trade (Cigarettes)
Cigarettes: Price Bands
Cigarettes: Filter Splits
Table 17 Slims/superslims Penetration 2006
Cigarettes: Pack Splits
Competitive Landscape
Summary 2 Cigarettes: New Product Launches 2006
Prospects
Sector Data
Table 18 Sales of Cigarettes by Tar Level: Volume 2001-2006
Table 19 Sales of Cigarettes by Tar Level: Value 2001-2006
Table 20 Sales of Cigarettes by Tar Level: % Volume Growth 2001-2006
Table 21 Sales of Cigarettes by Tar Level: % Value Growth 2001-2006
Table 22 Sales of Cigarettes by Price Band: % Volume Breakdown 2001-2006
Table 23 Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2001-2006
Table 24 Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2001-2006
Table 25 Sales of Cigarettes by Filter Vs Non-filter 2001-2006
Table 26 Sales of Filter Cigarettes by Carbon Vs Non-carbon 2001-2006
Table 27 Sales of Cigarettes by Length 2001-2006
Table 28 Sales of Cigarettes by Pack Size 2001-2006
Table 29 Sales of Cigarettes by Pack Type 2001-2006
Table 30 Cigarettes Company Shares 2002-2006
Table 31 Cigarettes Brand Shares 2003-2006
Table 32 Forecast Sales of Cigarettes by Tar Level: Volume 2006-2011
Table 33 Forecast Sales of Cigarettes by Tar Level: Value 2006-2011
Table 34 Forecast Sales of Cigarettes by Tar Level: % Volume Growth 2006-2011
Table 35 Forecast Sales of Cigarettes by Tar Level: % Value Growth 2006-2011
Table 36 Forecast Sales of Cigarettes by Price Band: % Volume Breakdown 2006-2011
Table 37 Forecast Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2006-2011
Table 38 Forecast Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2006-2011
Table 39 Forecast Sales of Cigarettes by Filter Vs Non-filter 2006-2011
Table 40 Forecast Sales of Filter Cigarettes by Carbon Vs Non-carbon 2006-2011
Table 41 Forecast Sales of Cigarettes by Length 2006-2011
Table 42 Forecast Sales of Cigarettes by Pack Size 2006-2011
Table 43 Forecast Sales of Cigarettes by Pack Type 2006-2011
CIGARS AND CIGARILLOS
Headlines
Trends
Competitive Landscape
Prospects
SECTOR DATA
Table 44 Sales of Cigars by Subsector: Volume 2001-2006
Table 45 Sales of Cigars by Subsector: Value 2001-2006
Table 46 Sales of Cigars by Subsector: % Volume Growth 2001-2006
Table 47 Sales of Cigars by Subsector: % Value Growth 2001-2006
Table 48 Company Shares of Cigars Exluding Cigarillos 2002-2006
Table 49 Brand Shares of Cigars Exluding Cigarillos 2003-2006
Table 50 Company Shares of Cigarillos 2002-2006
Table 51 Brand Shares of Cigarillos 2003-2006
Table 52 Forecast Sales of Cigars by Subsector: Volume 2006-2011
Table 53 Forecast Sales of Cigars by Subsector: Value 2006-2011
Table 54 Forecast Sales of Cigars by Subsector: % Volume Growth 2006-2011
Table 55 Forecast Sales of Cigars by Subsector: % Value Growth 2006-2011
SMOKING TOBACCO
Headlines
Trends
Competitive Landscape
Prospects
SECTOR DATA
Table 56 Sales of Smoking Tobacco by Subsector: Volume 2001-2006
Table 57 Sales of Smoking Tobacco by Subsector: Value 2001-2006
Table 58 Sales of Smoking Tobacco by Subsector: % Volume Growth 2001-2006
Table 59 Sales of Smoking Tobacco by Subsector: % Value Growth 2001-2006
Table 60 Company Shares of RYO Tobacco 2002-2006
Table 61 Brand Shares of RYO Tobacco 2003-2006
Table 62 Company Shares of Pipe Tobacco 2002-2006
Table 63 Brand Shares of Pipe Tobacco 2003-2006
Table 64 Forecast Sales of Smoking Tobacco by Subsector: Volume 2006-2011
Table 65 Forecast Sales of Smoking Tobacco by Subsector: Value 2006-2011
Table 66 Forecast Sales of Smoking Tobacco by Subsector: % Volume Growth 2006-2011
Table 67 Forecast Sales of Smoking Tobacco by Subsector: % Value Growth 2006-2011
PHILLIP MORRIS KAZAKHSTAN LLP
Strategic Direction
Key Facts
Summary 3 Philip Morris Kazakhstan LLP: Key Facts
Company Background
Competitive Positioning
Summary 4 Philip Morris Kazakhstan LLP: Competitive Position 2006
GALLAHER KAZAKHSTAN LLP
Strategic Direction
Key Facts
Summary 5 Gallaher Kazakhstan LLP: Key Facts
Company Background
Competitive Positioning
Summary 6 Gallaher Kazakhstan LLP: Competitive Position 2006
JTI CENTRAL ASIA
Strategic Direction
Key Facts
Summary 7 JTI Central Asia: Key Facts
Company Background
Competitive Positioning
Summary 8 JTI Central Asia: Competitive Position 2006