A recent report released by IMARC Group shows that the African tobacco products market is expected to grow at a compound annual growth rate of 4.72% during 2023-2028.
This growth is driven by the region's economic development and rising per capita disposable income, driving spending on discretionary items such as tobacco products. The expansion of the middle class and rapid urbanization provide growth opportunities for the market, while increasing retail convenience and aggressive marketing strategies are also driving the popularity of tobacco products.
The report points out that the increasing influence of socio-cultural factors has contributed to the increased acceptance of tobacco consumption. Under the trend of globalization, Western lifestyles and consumption patterns have impacted Africa, further promoting the increase in tobacco consumption. The rapid development of technology has brought new possibilities to the market, especially the emergence of new tobacco products such as e-cigarettes, heated tobacco products and nicotine pouches, which are favored by consumers.
Some of the major operating companies mentioned in the report include British American Tobacco Company, Carnilinx Tobacco Company, Golden Leaf Tobacco Company, etc. The market is segmented by tobacco type and application, with burley being the largest tobacco category and cigarettes being the most common form of tobacco. The dominance of the African tobacco market is mainly due to South Africa's position in the market, consumer disposable income levels and a well-established tobacco industry.
The report also points out that some new trends in the market, such as the development of packaging technology, government support for the tobacco industry, and increase in trade agreements, will have a positive impact on the growth of the market. Finally, tobacco companies' cooperation with other brands and improvements in agricultural technology are also considered key factors for market growth.
