Volume sales of cigars, cigarillos, and smoking tobacco are expected to decline over the forecast period. This accelerated decline is being driven by ongoing price hikes, particularly the continued excise tax increases scheduled through 2025, and an increasingly negative social perception of tobacco use.
Australia’s refusal to legalise or regulate reduced-risk tobacco alternatives, such as heated tobacco or nicotine pouches, further reinforces the projected market decline. Unlike other countries that support harm reduction via regulated alternatives, Australia’s stringent stance leaves smokers with limited legal options beyond quitting altogether.
The innovation landscape for cigars, cigarillos, and smoking tobacco in Australia remains bleak, with rigid regulations leaving little room for brand or product development. All tobacco products must now be sold in plain Pantone 448C packaging, removing any brand-specific visual cues and reducing consumer recognition and loyalty.
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Cigars, Cigarillos and Smoking Tobacco
Combined sales of cigars, cigarillos and smoking tobacco.
See all of our definitionsThis report originates from Passport, our Cigars, Cigarillos and Smoking Tobacco research and analysis database.
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