In-Depth Analysis Of Moroccan Cigarette Market Displays Positive Growth Until 2022
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Morocco is one of Africa's most important and sophisticated cigarette markets. Nonetheless recent years have seen demand slow, with sales falling back between 2012 and 2014 as the effects of rising prices have impacted on demand. Volumes dropped back to 13.10 billion pieces in 2014 or 10.6% below their level in 1990. Despite recent strong growth the effect of price rises, combined with a ban on smoking in public places, have impacted on duty paid demand with the non-duty paid sector benefitting somewhat. The impact of recent increases in excise duty has dented sales volumes. With no further shocks to the market expected GlobalData foresees some degree of recovery in sales with this largely driven by population expansion and some forecasts in the profile of the non-duty paid sector.
- There is a growing preference for blond cigarettes, yet this trend has historically been constrained by supply shortages resulting from limited domestic production capacity. Light products are growing their share of sales, in large part boosted by the success of blond varieties in the market.
- The Moroccan cigarette market is dominated by a single company: Imperial Tobacco Maroc. Formerly Rgie de Tabacs. Competitors are obliged to import their products, which automatically puts them at a significant price disadvantage and restricts sales to more affluent consumers and international visitors.
- PMI is the leading competitor and JTI is currently the only other notable player.
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