Iraq: Tobacco Market 2025

Tobacco Market Size in Iraq

In 2021, the Iraqi tobacco market increased by 35% to $X, rising for the fifth year in a row after two years of decline. Overall, the total consumption indicated a modest increase from 2012 to 2021: its value increased at an average annual rate of +1.6% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, consumption increased by +78.7% against 2016 indices. As a result, consumption reached the peak level and is likely to continue growth in the immediate term.

Tobacco Production in Iraq

In value terms, tobacco production surged to $X in 2021 estimated in export price. Over the period under review, production, however, recorded a deep setback. The pace of growth was the most pronounced in 2015 with an increase of 57%. As a result, production reached the peak level of $X. From 2016 to 2021, production growth remained at a lower figure.

Tobacco Exports

Exports from Iraq

In 2021, shipments abroad of tobacco (smoking tobacco, chewing tobacco, snuff) increased by 138% to X tons, rising for the fifth year in a row after two years of decline. Over the period under review, exports saw a significant increase. The pace of growth appeared the most rapid in 2013 with an increase of 93,429%. The exports peaked at X tons in 2014; however, from 2015 to 2021, the exports remained at a lower figure.

In value terms, tobacco exports fell sharply to $X in 2021. In general, exports saw a significant expansion. The most prominent rate of growth was recorded in 2013 with an increase of 201% against the previous year. The exports peaked at $X in 2020, and then fell dramatically in the following year.

Exports by Country

New Zealand (X tons) was the main destination for tobacco exports from Iraq, accounting for a 73% share of total exports. Moreover, tobacco exports to New Zealand exceeded the volume sent to the second major destination, the United Arab Emirates (X tons), threefold.

From 2012 to 2021, the average annual rate of growth in terms of volume to New Zealand stood at +3,906.1%. Exports to the other major destinations recorded the following average annual rates of exports growth: the United Arab Emirates (+1,600.9% per year) and Turkey (-2.2% per year).

In value terms, the United Arab Emirates ($X) emerged as the key foreign market for tobacco (smoking tobacco, chewing tobacco, snuff) exports from Iraq, comprising 74% of total exports. The second position in the ranking was taken by New Zealand ($X), with a 22% share of total exports.

From 2012 to 2021, the average annual rate of growth in terms of value to the United Arab Emirates amounted to +1,568.1%. Exports to the other major destinations recorded the following average annual rates of exports growth: New Zealand (+289.4% per year) and Turkey (-12.6% per year).

Export Prices by Country

In 2021, the average tobacco export price amounted to $X per ton, dropping by -73.5% against the previous year. In general, the export price showed a significant decrease. The pace of growth was the most pronounced in 2015 an increase of 15,334% against the previous year. The export price peaked at $X per ton in 2012; however, from 2013 to 2021, the export prices stood at a somewhat lower figure.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was Turkey ($X per ton), while the average price for exports to New Zealand ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Canada (+19.7%), while the prices for the other major destinations experienced a decline.

Tobacco Imports

Imports into Iraq

For the fourth year in a row, Iraq recorded growth in purchases abroad of tobacco (smoking tobacco, chewing tobacco, snuff), which increased by 26% to X tons in 2021. Overall, imports enjoyed a significant increase. The growth pace was the most rapid in 2014 with an increase of 144% against the previous year. Over the period under review, imports attained the maximum in 2021 and are likely to continue growth in years to come.

In value terms, tobacco imports soared to $X in 2021. In general, imports saw significant growth. The growth pace was the most rapid in 2014 when imports increased by 199% against the previous year. Imports peaked in 2021 and are expected to retain growth in the near future.

Imports by Country

In 2021, the United Arab Emirates (X tons) constituted the largest supplier of tobacco to Iraq, with a 60% share of total imports. Moreover, tobacco imports from the United Arab Emirates exceeded the figures recorded by the second-largest supplier, Turkey (X tons), threefold. Egypt (X tons) ranked third in terms of total imports with a 7.6% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from the United Arab Emirates amounted to +38.5%. The remaining supplying countries recorded the following average annual rates of imports growth: Turkey (+104.8% per year) and Egypt (+7.0% per year).

In value terms, the United Arab Emirates ($X) constituted the largest supplier of tobacco (smoking tobacco, chewing tobacco, snuff) to Iraq, comprising 56% of total imports. The second position in the ranking was taken by Turkey ($X), with a 19% share of total imports. It was followed by Egypt, with a 12% share.

From 2012 to 2021, the average annual rate of growth in terms of value from the United Arab Emirates stood at +30.0%. The remaining supplying countries recorded the following average annual rates of imports growth: Turkey (+78.3% per year) and Egypt (+27.9% per year).

Import Prices by Country

In 2021, the average tobacco import price amounted to $X per ton, picking up by 3.1% against the previous year. Over the period under review, the import price recorded a relatively flat trend pattern. The most prominent rate of growth was recorded in 2019 when the average import price increased by 53%. The import price peaked at $X per ton in 2014; however, from 2015 to 2021, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2021, amid the top importers, the country with the highest price was Egypt ($X per ton), while the price for Brazil ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Egypt (+19.6%), while the prices for the other major suppliers experienced mixed trend patterns.

Source: IndexBox Platform

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