In this article, we are going to discuss the country that smokes the most in Asia. If you’re also curious about which other Asian countries love a drag or two, check out our list of the 20 Most Smoking Countries in Asia.
Global Tobacco Market:
As we mentioned in our article – 25 Countries with the Most Cigarette Smokers per Capita – the global tobacco market is expected to reach $1.049 trillion by 2030, growing at a CAGR of 2.5% from 2024 to 2030. The market is fuelled by a growing demand from developing nations, coupled with the rising proliferation of next-generation products (NGPs) across the globe. The high marketing expenditure and discounting of products undertaken by major tobacco companies is also adding to the growth of the industry.
While tobacco consumption is leveling off and even decreasing in some countries, the number of people smoking is still increasing globally, and smokers are smoking more than before. An estimated 1.3 billion people worldwide use tobacco products, 80% of whom are in low- and middle-income countries.
Asian Country with the Highest Tobacco Consumption:
With an overall annual consumption of over 2 million tons, China is not only the Largest Tobacco-Consuming Country in Asia, but also the Country with the Highest Tobacco Consumption in the world. According to the WHO, around one in every three cigarettes in the world is smoked in China and more than half of the country’s adult men are current tobacco smokers. In fact, the state-owned China National Tobacco Corporation (CNTC) is the world’s largest producer of cigarettes and enjoys a monopoly on tobacco growing, production, and sales, with an estimated 97% market share in the country. A small percentage of CNTC’s products are also sold in the international market.
With over $1.35 billion in imports in 2022, China is also the Country that Imports the Most Tobacco in the World.
Country with the Lowest Smoking Rate in Asia:
With a tobacco-smoking prevalence of only 5.4% in 2022, Turkmenistan is the Country that Smokes the Least in Asia. The former Soviet republic ratified the framework convention on tobacco control in 2011, by which time it had already banned smoking in public places, state buildings, and the army. The health-obsessed country has also disallowed any form of tobacco advertising within its borders.
Recent Development in the Asian Tobacco Industry:
It was announced in March that British American Tobacco p.l.c (NYSE:BTI), a leading multi-category consumer goods company that provides tobacco and nicotine products to millions of consumers around the world, has started a $2 billion buyback program after selling part of its stake in India’s ITC Ltd. The sale brings British American Tobacco p.l.c (NYSE:BTI)’s stake in the Indian tobacco giant down to 25.5% from the previous 29%. Net proceeds of the sale totaled approximately $1.95 billion and the Lucky Strike maker announced that it would purchase around $890 million of its shares in 2024 and the remaining $1.11 billion by the end of 2025.
Both, British American Tobacco p.l.c (NYSE:BTI) and ITC Limited are counted among the Top 20 Most Valuable Tobacco Companies in the World.
Methodology:
To collect data for this article, we have referred to the Global Health Observatory of the WHO, looking for the Asian Countries that Smoke the Most Tobacco. The following countries have been ranked by their age-standardized estimates of tobacco smoking prevalence for both sexes in 2022.
1. Indonesia
Prevalence of Tobacco Smoking in 2022: 36.5%
Indonesia is known for its relatively high tolerance towards smoking and the country still hasn’t signed or ratified the WHO Framework Convention on Tobacco Control. Indonesia produced over 237,000 tonnes of raw tobacco in 2021, most of which came from just three provinces – East Java, Central Java, and West Nusa Tenggara.
Established in 1958, PT Gudang Garam Tbk is one of Indonesia’s leading cigarette manufacturers, best known for its kretek clove cigarettes. The company produces over 70 billion cigarettes annually but its share of the domestic market has steadily declined over the last decade to around 20%, as it comes under pressure from rivals such as HM Sampoerna.
If you want to check out which other countries almost beat Indonesia for the No. 1 spot, here is our full free list of the 20 Most Smoking Countries in Asia.
If you are looking for an AI stock that is as promising as Microsoft but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks.
Disclosure: None. This article is originally published at Insider Monkey.
