India cigar and cigarillos market is estimated to be valued at USD 3.2 Mn in 2025, exhibiting a compound annual growth rate (CAGR) of 5% from 2025 to 2032. Cigars have traditionally been a popular luxury good among the affluent sections of the Indian society. However, changing lifestyles and increasing exposure to global trends have made cigars more mainstream. The market benefits from rising disposable incomes, expanding distribution channels, and availability of different price variants. While hand-rolled and premium cigars appeal to the premium segment, the mass market is driven by machine-made and lower priced cigarillos.
Market Dynamics:
The India cigar and cigarillos market is driven by growing acceptance of cigars as a casual product for leisure. Changing lifestyles and increasing exposure to global trends have make cigars more popular among young urban populations. However, regulations around consumption and promotion continue to restrain the market growth. The ban on displaying tobacco products at sales points and restriction on advertising impacts branding and visibility of cigar brands. Moreover, increasing health awareness and priority on wellness limits overall demand for tobacco products. Nevertheless, new opportunities lie in exploring premium and hand-crafted varieties that appeal to experienced consumers. Market players such as AJF Cigar focusing on novelty and rare varieties can also unlock potential in the growing premium segment.
Key Features of the Study:
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