Our site uses cookies to improve functionality. If you are happy with this select "Accept All". If not, select "Manage Preferences" to learn more about managing your cookie preferences. Follow this link to learn more about our cookie policy and how we use cookies. Or learn more about our privacy policy and how we use and store your data.
Tobacco in Azerbaijan
August 2022
Tobacco in 2021: The big picture
Total current value sales growth for Azerbaijan’s tobacco market in 2021 was up on 2020. Although growth was bolstered by unit price increases resulting from excise tax hikes, the dominant category of cigarettes also saw retail volume sales rise at a faster rate than in the previous year.
2021 key trends
Heated tobacco products was the most dynamic area of Azerbaijan’s tobacco market in retail volume and current value growth terms in 2021. This was mainly because sales were emerging from a low base, as the category only appeared in 2020 with the launch of British American Tobacco’s Glo and Neo Sticks brands, which remained the only products of this type with an official presence in the country during the year.
Competitive landscape
JTI Caucasus remained the clear leader in cigarettes in retail volume sales terms in 2021, followed by British American Tobacco, Baku International Tobacco, Imperial Tobacco, Cahan Tobacco International and Tabaterra. Domestic players gained ground at the expense of multinationals in the category as unit price hikes, rising inflation and increased caution around discretionary spending resulting from the economic fallout of the pandemic prompted more smokers to trade down to cheaper local brands.
Retailing developments
Independent small grocers remained the leading distribution channel for cigarettes in Azerbaijan in retail volume sales terms in 2021, followed by newsagent-tobacconists/kiosks. In a reversal of events in 2020, the volume share of independent small grocers declined as levels of movement among the population increased in line with the easing of the pandemic and consumers became less likely to buy cigarettes in stores closer to home.
What next for tobacco?
The outlook for tobacco in Azerbaijan over the forecast period is mixed. While total current value sales look set to grow steadily from 2022 onwards, this will be largely the result of further increases in excise duty and unit prices, as the dominant category of cigarettes is expected to contract consistently in retail volume terms.
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
Overview:
Understand the latest market trends and future growth opportunities for the Tobacco industry in Azerbaijan with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
Data and analysis in this report provides further detailed coverage dedicated to the following key categories, where applicable:
Cigarettes
Cigars, Cigarillos and Smoking Tobacco
Smokeless Tobacco, E-Vapour Products and Heated Tobacco
If you're in the Tobacco industry in Azerbaijan, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
The Tobacco in Azerbaijan report includes:
Analysis of key supply-side and demand trends
Detailed segmentation of international and local products
Historic volume and value sizes, company and brand market shares
Five year forecasts of market trends and market growth
Robust and transparent research methodology, conducted in-country
This report answers:
What is the market size of Tobacco in Azerbaijan?
Which are the leading brands in Tobacco in Azerbaijan?
How are products distributed in Tobacco in Azerbaijan?
Which category is the most heavily taxed in Azerbaijan?
How is the operating environment for Tobacco changing?
What are the current legislative restrictions applicable to the sale of Tobacco products in Azerbaijan?
How has COVID-19 impacted demand?
How have national lockdown and enforced home seclusion following COVID-19 impacted sales?
Where is future growth expected to be most dynamic?
Tobacco in Azerbaijan
EXECUTIVE SUMMARY
Tobacco in 2021: The big picture
2021 key trends
Competitive landscape
Retailing developments
What next for tobacco?
OPERATING ENVIRONMENT
Legislation
Legislative overviewSummary 1 Legislation Summary at a Glance
Table 1 Number of Adult Smokers by Gender 2016-2021
MARKET DATA
Table 2 Sales of Tobacco by Category: Volume 2016-2021Table 3 Sales of Tobacco by Category: Value 2016-2021Table 4 Sales of Tobacco by Category: % Volume Growth 2016-2021Table 5 Sales of Tobacco by Category: % Value Growth 2016-2021Table 6 Forecast Sales of Tobacco by Category: Volume 2021-2026Table 7 Forecast Sales of Tobacco by Category: Value 2021-2026Table 8 Forecast Sales of Tobacco by Category: % Volume Growth 2021-2026Table 9 Forecast Sales of Tobacco by Category: % Value Growth 2021-2026
DISCLAIMER
SOURCES
Summary 2 Research Sources
Cigarettes in Azerbaijan
KEY DATA FINDINGS
2021 DEVELOPMENTS
Cigarettes shows improved performance in retail volume growth terms
Heightened budget-consciousness among smokers favours local brands
Rising smoking prevalence among women boosts demand for lower tar cigarettes
PROSPECTS AND OPPORTUNITIES
Health concerns, price hikes and illicit trade will depress retail volume sales
More affordable local brands set to continue gaining ground
Competition from alternative product types likely to intensify
TAXATION AND PRICING
Taxation rates
Summary 3 Taxation and Duty Levies 2016-2021
Average cigarette pack price breakdown
Summary 4 Average Cigarette Pack Price Breakdown: Brand Examples
CATEGORY DATA
Table 10 Sales of Cigarettes: Volume 2016-2021Table 11 Sales of Cigarettes by Category: Value 2016-2021Table 12 Sales of Cigarettes: % Volume Growth 2016-2021Table 13 Sales of Cigarettes by Category: % Value Growth 2016-2021Table 14 Sales of Cigarettes by Blend: % Volume 2016-2021Table 15 Sales of Cigarettes by Standard/Menthol/Capsule: % Volume 2016-2021Table 16 Sales of Cigarettes by Regular/Slim/Superslim/Microslim: % Volume 2016-2021Table 17 Sales of Cigarettes by Pack Size: % Volume 2016-2021Table 18 Sales of Cigarettes by Price Band: % Volume 2016-2021Table 19 NBO Company Shares of Cigarettes: % Volume 2017-2021Table 20 LBN Brand Shares of Cigarettes: % Volume 2018-2021Table 21 Sales of Cigarettes by Distribution Format: % Volume 2016-2021Table 22 Illicit Trade Estimate of Cigarettes: Volume 2016-2021Table 23 Forecast Sales of Cigarettes: Volume 2021-2026Table 24 Forecast Sales of Cigarettes by Category: Value 2021-2026Table 25 Forecast Sales of Cigarettes: % Volume Growth 2021-2026Table 26 Forecast Sales of Cigarettes by Category: % Value Growth 2021-2026Table 27 Forecast Sales of Cigarettes by Blend: % Volume 2021-2026Table 28 Forecast Sales of Cigarettes by Standard/Menthol/Capsule: % Volume 2021-2026Table 29 Forecast Sales of Cigarettes by Regular/Slim/Superslim/Microslim: % Volume 2021-2026Table 30 Forecast Sales of Cigarettes by Pack Size: % Volume 2021-2026Table 31 Forecast Sales of Cigarettes by Price Band: % Volume 2021-2026
Cigars, Cigarillos and Smoking Tobacco in Azerbaijan
KEY DATA FINDINGS
2021 DEVELOPMENTS
Cigars shows improved performance in volume terms but remains a niche area
Cigarillos remain much more popular than cigars due to lower unit prices
Demand for pipe tobacco rebounds in line with increased levels of socialising
PROSPECTS AND OPPORTUNITIES
Cigarillos set to grow fastest in retail volume sales terms
Pipe tobacco will continue to benefit from increasing popularity of shisha smoking
Increasing consumer sophistication should help to drive demand in cigars
CATEGORY DATA
Table 32 Sales of Cigars, Cigarillos and Smoking Tobacco by Category: Volume 2016-2021Table 33 Sales of Cigars, Cigarillos and Smoking Tobacco by Category: Value 2016-2021Table 34 Sales of Cigars, Cigarillos and Smoking Tobacco by Category: % Volume Growth 2016-2021Table 35 Sales of Cigars, Cigarillos and Smoking Tobacco by Category: % Value Growth 2016-2021Table 36 Sales of Cigars by Size: % Volume 2016-2021Table 37 Sales of Cigarillos by Price Platform 2016-2021Table 38 NBO Company Shares of Cigars and Cigarillos: % Volume 2017-2021Table 39 LBN Brand Shares of Cigars and Cigarillos: % Volume 2018-2021Table 40 NBO Company Shares of Cigars: % Volume 2017-2021Table 41 LBN Brand Shares of Cigars: % Volume 2018-2021Table 42 NBO Company Shares of Cigarillos: % Volume 2017-2021Table 43 LBN Brand Shares of Cigarillos: % Volume 2018-2021Table 44 NBO Company Shares of Smoking Tobacco: % Volume 2017-2021Table 45 LBN Brand Shares of Smoking Tobacco: % Volume 2018-2021Table 46 NBO Company Shares of Pipe Tobacco: % Volume 2017-2021Table 47 LBN Brand Shares of Pipe Tobacco: % Volume 2018-2021Table 48 NBO Company Shares of Fine Cut Tobacco: % Volume 2017-2021Table 49 LBN Brand Shares of Fine Cut Tobacco: % Volume 2018-2021Table 50 Distribution of Cigars and Cigarillos by Format: % Volume 2016-2021Table 51 Distribution of Smoking Tobacco by Format: % Volume 2016-2021Table 52 Forecast Sales of Cigars, Cigarillos and Smoking Tobacco by Category: Volume 2021-2026Table 53 Forecast Sales of Cigars, Cigarillos and Smoking Tobacco by Category: Value 2021-2026Table 54 Forecast Sales of Cigars, Cigarillos and Smoking Tobacco by Category: % Volume Growth 2021-2026Table 55 Forecast Sales of Cigars, Cigarillos and Smoking Tobacco by Category: % Value Growth 2021-2026
Smokeless Tobacco, E-Vapour Products and Heated Tobacco in Azerbaijan
KEY DATA FINDINGS
2021 DEVELOPMENTS
Ban on shisha smoking in public boosts demand for e-vapour products
Closed vaping systems gain popularity as an alternative to shisha tobacco
More cigarette smokers expected to migrate to heated tobacco products
Most vapers will continue to favour open systems over closed formats
Excise hikes could temper demand for e-vapour and heated tobacco products
CATEGORY INDICATORS
Table 56 Number of Adult Vapers 2016-2021
CATEGORY DATA
Table 57 Sales of Tobacco Heating Devices: Volume 2016-2021Table 58 Sales of Heated Tobacco: Volume 2016-2021Table 59 Sales of Smokeless Tobacco, E-Vapour Products and Heated Tobacco by Category: Value 2016-2021Table 60 Sales of Smokeless Tobacco, E-Vapour Products and Heated Tobacco by Category: % Value Growth 2016-2021Table 61 Sales of E-Liquids by Nicotine Strength: % Value 2019-2021Table 62 NBO Company Shares of E-Vapour Products: % Value 2017-2021Table 63 LBN Brand Shares of E-Vapour Products: % Value 2018-2021Table 64 NBO Company Shares of Tobacco Heating Devices: % Volume 2017-2021Table 65 LBN Brand Shares of Tobacco Heating Devices: % Volume 2018-2021Table 66 NBO Company Shares of Heated Tobacco: % Volume 2017-2021Table 67 LBN Brand Shares of Heated Tobacco: % Volume 2018-2021Table 68 Distribution of Tobacco Heating Devices by Format: % Volume 2016-2021Table 69 Distribution of Heated Tobacco by Format: % Volume 2016-2021Table 70 Forecast Sales of Tobacco Heating Devices: Volume 2021-2026Table 71 Forecast Sales of Tobacco Heating Devices: % Volume Growth 2021-2026Table 72 Forecast Sales of Heated Tobacco: Volume 2021-2026Table 73 Forecast Sales of Heated Tobacco: % Volume Growth 2021-2026Table 74 Forecast Sales of Smokeless Tobacco, E-Vapour Products and Heated Tobacco by Category: Value 2021-2026Table 75 Forecast Sales of Smokeless Tobacco, E-Vapour Products and Heated Tobacco by Category: % Value Growth 2021-2026
The following categories and subcategories are included:
Tobacco
Fine Cut Cigarettes
Cigars
Cigarillos
Pipe Tobacco
Fine Cut Tobacco
Chewing Tobacco
Loose US-Style Moist Snuff
Portion US-Style Moist Snuff
Swedish-Style Snus
Closed System Single Use
Closed System Rechargeable (including starter kits)
Closed System Cartridges
Open Vaping Systems Charging and Vapourising Devices
E-liquids
Tobacco Heating Devices
Heated Tobacco
Nicotine Pouches
Tobacco
Passport Tobacco covers the seven major tobacco categories: Cigarettes, Cigars & Cigarillos, Smoking tobacco (made up of Pipe tobacco and RYO tobacco), Smokeless Tobacco (snuff and chewing tobacco), E-Vapour Products (closed and open); Heated Tobacco; and Tobacco Free Oral Nicotine. Smoking paraphernalia such as pipes, rolling papers, lighters or matches, etc., are not included, nor are nicotine replacement therapy (NRT) products, which are part of Euromonitor's Passport Consumer Healthcare database.