The United Arab Emirates attracts foreign investment into the country as part of its long-term economic plan. To this end there is a lot of focus on construction, financial services, tourism and transport among other areas. This leads to rising disposable incomes with increasing tourists, business visitors and the population at large. Cigars and cigarillos attracted more young adults and females besides tourists and affluent older male consumer base. Volume growth of 4% to 9.7 million units in 2015 was driven by an increasingly affluent consumer base.
Baqer Mohebi est (BME) held the largest share accounting for 15% of volume sales of cigars and cigarillos in 2015. The company has been the exclusive local licence holder in the United Arab Emirates for Corporación Habanos for more than three decades, and therefore accounts for the majority share of volume sales in cigars excluding cigarillos. Brand equity went a long way in establishing and maintaining its presence. Cigar consumers are brand conscious and tend to stay with a brand for its flavour, taste and affinity to the prestige associated with that brand.
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This report originates from Passport, our Cigars and Cigarillos research and analysis database.
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