Cuban Cigar Sales Up 7% Despite Anti-Smoking Laws


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https://havanatimes.org/?p=148861

Cuban Cigar Sales Up 7% Despite Anti-Smoking Laws

 

cohiba-sublimes-extra-habanos-collection
Photo: Cubadebate.cu

HAVANA TIMES – Cuba sold cigars worth US $537 million in 2018, up seven percent from the previous year, despite an international spike in anti-smoking laws, says Habanos, which has a monopoly on the industry on the Island.

“The tobacco market is always surrounded by an increasingly complex regulatory environment,” said Habanos’s vice president of business development Jose Maria Lopez Inchaurbe on Monday, reported dpa news.

However, “In Gulf countries we’ve had a 100 per cent increase in sales to the public. You can imagine the impact that has,” Lopez said on Monday during the launch of the 21st Cuban cigar festival.

Habanos is a joint venture formed by the state-owned Cubatabaco and Spanish company Altadis, owned by British tobacco giant Imperial Tobacco.

The different brands of cigars produced by the company, including Montectristo and Cohiba, made up 70 per cent of the 140 million Cuban cigars sold worldwide last year.

Sales increased despite Cuban cigars being banned in the United States, whose citizens may only import a small amount for personal use if they visit Cuba.

Cuban cigars are sold in about 150 countries, with their main market being Spain, China, France, Germany and Cuba itself. The European market makes up 53 per cent of the market for Habanos.

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"Habanos is a joint venture formed by the state-owned Cubatabaco and Spanish company Altadis, owned by British tobacco giant Imperial Tobacco.

The different brands of cigars produced by the company, including Montectristo and Cohiba, made up 70 per cent of the 140 million Cuban cigars sold worldwide last year."

  I'm guessing the writer got mixed up somewhere along the way, I mean, there aren't any Cuban cigars not produced by HSA right? 

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thank you and welcome

 

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So I assume this is wholesale. Price leaving the island.  I wonder how much of the 7% is price increase v. volume increase?

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2 hours ago, El Presidente said:

Cuban Cigar Sales Up 7% Despite Anti-Smoking Laws

2 hours ago, shippers said:

The graph on the Half wheel article is interesting... exports stable as revenue increases.

Indeed. "Despite anti-smoking"....a slightly misleading headline. They didn't effectively sell more cigars - what they sold they made dearer.... and counting....:clap:

They'll know why they don't give an actual figure in numbers after 2016, keeping it vague with the statement growth both in volume as in value.

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16 hours ago, WABOOM said:

I read that cigar sales represent 20% of Cuba's total economy. If these figures are correct, that means Cuba's economy is only 10.7 Billion dollars?
Seems pretty low. But I'm not an economist.

According to the CIA the GDP of Cuba adjusted for exchange rate is estimated at 93.79B in 2017. Total exports were 2.63B which means that the 537M that was quoted is 20% of exports. Tobacco exports accounted for just 0.6% of total GDP as far as I can tell. 

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According to the CIA the GDP of Cuba adjusted for exchange rate is estimated at 93.79B in 2017. Total exports were 2.63B which means that the 537M that was quoted is 20% of exports. Tobacco exports accounted for just 0.6% of total GDP as far as I can tell. 
Thank you.
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15 hours ago, wineguy said:

So I assume this is wholesale. Price leaving the island.  I wonder how much of the 7% is price increase v. volume increase?

That's the first thing that came to mind, as it seems prices have continually been on the rise. 

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