Tobacco
Tobacco

Tobacco in the Philippines

Philippines

Euromonitor International's Tobacco in the Philippines 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: 71  |  Publication date: Jan 2008
Cost: 
GBP950.00

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

Stable volume growth attributed mainly to increasing number of smokers

Tobacco in the Philippines experienced modest volume growth in 2006. Smokers have come to accept and accommodate the higher costs of smoking that resulted from the increased excise tax rates introduced in 2004. Growth can be attributed mainly to the increasing number of smokers and is a worrying sign for the Philippine Government as it attempts to tackle the growing smoking-related health issues in the country.

Economy cigarettes gain popularity

Economy cigarettes became more popular in 2006. Smokers put off by the price of premium variants resulting from the tax hikes have started to smoke economy cigarettes instead. Smokers in the Philippines are more price sensitive than brand loyal and, since the last round of price hikes in 2004, have taken to smoking cheaper cigarettes. Tax hikes are seen to be inevitable as the government aims to cut down on smoking, and economy cigarettes are expected to maintain their popularity during the forecast period.

Rising illicit trade causes concern

Contraband continued its muted presence in 2006, as prices of cigarettes in the Philippines remained low and smugglers saw little profit incentive in bringing untaxed cigarettes into the country. However, counterfeit cigarettes are becoming more widely available, as counterfeiters target well-known and popular brands such as Marlboro and Winston. Such brands already have strong presence and customer following. The Philippines also emerged during the review period as a major exporter of illicitly traded cigarettes within Asia-Pacific and is suspected to export to countries as far away as Australia.

Low tar cigarettes draw health-conscious smokers

Low tar cigarettes delivered strong volume growth in 2006 as smokers became more concerned about the health implications of smoking, they are turning to low tar cigarettes for their perceived lesser health risks compared with higher tar cigarettes. It is expected that more smokers will turn to low tar cigarettes as the Philippines becomes more concerned about health and wellness.

Fortune Tobacco Corp retains pole position

Fortune Tobacco Corp remained the leading player in 2006, with more than one third of cigarettes volume sales. Acting as the official licensee for Japan Tobacco Inc (JTI), it distributes and sells some of the most popular brands in the Philippines, including Winston, Camel and More. However, the company is conceding ground to competitors, as it is under-represented in the two fastest growing categories –economy cigarettes and low tar cigarettes.

Table of contents

TOBACCO IN THE PHILIPPINES : MARKET INSIGHT

EXECUTIVE SUMMARY

Stable volume growth attributed mainly to increasing number of smokers

Economy cigarettes gain popularity

Rising illicit trade causes concern

Low tar cigarettes draw health-conscious smokers

Fortune Tobacco Corp retains pole position

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 & Sponsorship

Smoking in public places

Litigation

Taxation and Duty Levies

Table 3 Cigarettes Taxation and Duty Levies 2001-2011

Production/Imports/Exports

Table 4 Total Export/Import of Cigarettes

The Role and Effect of Cannabis/Marijuana

MARKET INDICATORS

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

Sources

Summary 1 Research Sources

LOCAL COMPANY PROFILES - PHILIPPINES

FORTUNE TOBACCO CORP - TOBACCO - PHILIPPINES

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Fortune Tobacco Corp: Key Facts

Summary 3 Fortune Tobacco Corp: Operational Indicators

COMPANY BACKGROUND

PRODUCTION BY FACTORY

COMPETITIVE POSITIONING

Summary 4 Fortune Tobacco Corp: Competitive Position 2006

LA FLOR DE LA ISABELA INC - TOBACCO - PHILIPPINES

STRATEGIC DIRECTION

KEY FACTS

Summary 5 La Flor de la Isabela Inc: Key Facts

Summary 6 La Flor de la Isabela Inc: Operational Indicators

COMPANY BACKGROUND

PRODUCTION FACTORY

COMPETITIVE POSITIONING

Summary 7 La Flor de la Isabela Inc: Competitive Position 2006

MIGHTY CORP - TOBACCO - PHILIPPINES

STRATEGIC DIRECTION

KEY FACTS

Summary 8 Mighty Corp: Key Facts

Summary 9 Mighty Corp: Operational Indicators

COMPANY BACKGROUND

PRODUCTION BY FACTORY

Summary 10 Mighty Corp: Production Statistics by Factory

COMPETITIVE POSITIONING

Summary 11 Mighty Corp: Competitive Position 2006

PHILIP MORRIS (PHILS) MANUFACTURING INC - TOBACCO - PHILIPPINES

STRATEGIC DIRECTION

KEY FACTS

Summary 12 Philip Morris (Phils) Manufacturing Inc: Key Facts

Summary 13 Philip Morris (Phils) Manufacturing Inc: Operational Indicators

COMPANY BACKGROUND

PRODUCTION BY FACTORY

Summary 14 Philip Morris (Phils) Manufacturing Inc: Production Statistics by Factory

COMPETITIVE POSITIONING

Summary 15 Philip Morris (Phils) Manufacturing Inc: Competitive Position 2006

TABAQUERIA DE FILIPINAS INC - TOBACCO - PHILIPPINES

STRATEGIC DIRECTION

KEY FACTS

Summary 16 Tabaqueria de Filipinas Inc: Key Facts

COMPANY BACKGROUND

PRODUCTION BY FACTORY

COMPETITIVE POSITIONING

Summary 17 Tabaqueria de Filipinas Inc: Competitive Position 2006

CIGARETTES IN THE PHILIPPINES

HEADLINES

TRENDS

Illicit trade (Cigarettes)

Cigarettes: Price Bands

Cigarettes: Filter Splits

Cigarettes: Pack Splits

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 17 Sales of Cigarettes by Tar Level: Volume 2001-2006

Table 18 Sales of Cigarettes by Tar Level: Value 2001-2006

Table 19 Sales of Cigarettes by Tar Level: % Volume Growth 2001-2006

Table 20 Sales of Cigarettes by Tar Level: % Value Growth 2001-2006

Table 21 Sales of Cigarettes by Price Band: % Volume Breakdown 2001-2006

Table 22 Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2001-2006

Table 23 Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2001-2006

Table 24 Sales of Cigarettes by Filter Vs Non-filter 2001-2006

Table 25 Sales of Filter Cigarettes by Carbon Vs Non-carbon 2001-2006

Table 26 Sales of Cigarettes by Length 2001-2006

Table 27 Sales of Cigarettes by Pack Size 2001-2006

Table 28 Sales of Cigarettes by Pack Type 2001-2006

Table 29 Cigarettes Company Shares 2002-2006

Table 30 Cigarettes Brand Shares 2003-2006

Table 31 Forecast Sales of Cigarettes by Tar Level: Volume 2006-2011

Table 32 Forecast Sales of Cigarettes by Tar Level: Value 2006-2011

Table 33 Forecast Sales of Cigarettes by Tar Level: % Volume Growth 2006-2011

Table 34 Forecast Sales of Cigarettes by Tar Level: % Value Growth 2006-2011

Table 35 Forecast Sales of Cigarettes by Price Band: % Volume Breakdown 2006-2011

Table 36 Forecast Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2006-2011

Table 37 Forecast Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2006-2011

Table 38 Forecast Sales of Cigarettes by Filter Vs Non-filter 2006-2011

Table 39 Forecast Sales of Filter Cigarettes by Carbon Vs Non-carbon 2006-2011

Table 40 Forecast Sales of Cigarettes by Length 2006-2011

Table 41 Forecast Sales of Cigarettes by Pack Size 2006-2011

Table 42 Forecast Sales of Cigarettes by Pack Type 2006-2011

CIGARS IN THE PHILIPPINES

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 43 Sales of Cigars by Subsector: Volume 2001-2006

Table 44 Sales of Cigars by Subsector: Value 2001-2006

Table 45 Sales of Cigars by Subsector: % Volume Growth 2001-2006

Table 46 Sales of Cigars by Subsector: % Value Growth 2001-2006

Table 47 Company Shares of Cigars Exluding Cigarillos 2002-2006

Table 48 Brand Shares of Cigars Exluding Cigarillos 2003-2006

Table 49 Company Shares of Cigarillos 2002-2006

Table 50 Brand Shares of Cigarillos 2003-2006

Table 51 Forecast Sales of Cigars by Subsector: Volume 2006-2011

Table 52 Forecast Sales of Cigars by Subsector: Value 2006-2011

Table 53 Forecast Sales of Cigars by Subsector: % Volume Growth 2006-2011

Table 54 Forecast Sales of Cigars by Subsector: % Value Growth 2006-2011

SMOKING TOBACCO IN THE PHILIPPINES

HEADLINES

TRENDS

Competitive landscape

Prospects

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