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Cuban Cigar Sales Fall Again ... and Faster
bloggingstocks.com ^ | Feb 24th 2010 | Tom Johansmeyer

Posted on 02/24/2010 12:44:45 PM PST by martin_fierro

Cuban Cigar Sales Fall Again ... and Faster

Posted Feb 24th 2010 1:50PM by Tom Johansmeyer

Cuban cigar sales are off yet again, and there's plenty of blame to go around. Global economic conditions have constrained consumer spending, and smoking bans worldwide have made it harder to find a place to light up.

The quality issue can't be ignored, as well, with many cigar smokers finding that a Cuban cigar just isn't what it used to be.

Habanos S.A., the government-run company behind the Cuban cigar industry, has reported a substantial decline in sales for the second year in a row. In 2009, the company's top line fell 8% to $360 million, which came after a 3% drop to $390 milion from 2007 to 2008.

The embargo severely restricts access to American cigar smokers, who may purchase them outside the country or illegally at home, which means that Habanos relies largely on the non-U.S. market. Spain is Habanos' largest market, and a weak Spanish economy in 2009, characterized by rising unemployment, provided a tough environment for Habanos.

The travel market recession has also hurt Habanos, particularly in airport duty-free shops.

Habanos Vice President Manuel Garcia said during a news conference at the beginning of Cuba's five-day yearly cigar festival, "This is not what we were expecting, not what we hoped for anyway."


TOPICS: Business/Economy; Chit/Chat; Hobbies
KEYWORDS: cubancigars
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1 posted on 02/24/2010 12:44:45 PM PST by martin_fierro
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To: Amityschild; Atchafalaya; Betis70; bigjoesaddle; Bulldaddy; BulletBobCo; Chasaway; CJ Wolf; ...
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2 posted on 02/24/2010 12:45:23 PM PST by martin_fierro (< |:)~)
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To: martin_fierro

The last box of Cubans I got was definitely sub-standard. I notified the place I buy them from and they sent me another box (from 2007) and that was fine.

The popularity of cigars started dropping years ago and I’m sure the economy hasn’t helped.


3 posted on 02/24/2010 12:47:50 PM PST by wagglebee ("A political party cannot be all things to all people." -- Ronald Reagan, 3/1/75)
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To: wagglebee

The taxes don’t help either.


4 posted on 02/24/2010 12:48:46 PM PST by chemicalman
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To: chemicalman

Another benefit of Cubans is that there aren’t any taxes.

Cuban cigars (except for Cohibas) are typically less expensive than the best Dominicans (Ashton VSG, Fuente, etc.), I can get a box of great Cubans for under $200.


5 posted on 02/24/2010 12:55:49 PM PST by wagglebee ("A political party cannot be all things to all people." -- Ronald Reagan, 3/1/75)
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To: martin_fierro

I want to order a box, but have been scared to....I heard the quality was off considerably from days gone by...Any suggestions on a good brand that remains quality?


6 posted on 02/24/2010 1:09:32 PM PST by devane617 (VOTE THEM OUT! ALL OF THEM!)
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To: martin_fierro

I'll have a Fuente any day.

Spanish Lonsdale Maduro's my benchmark smoke.
There's some in my stash are "less" favorable and a few that are "MMM, MMM, MMM" !

Thanks for the ping!

7 posted on 02/24/2010 1:11:29 PM PST by mcmuffin (Somewhere in Kenya a village is searching for what America has found, an idiot.)
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To: devane617
Nah, I don't profess to be an expert ... just like what I like.


8 posted on 02/24/2010 1:12:20 PM PST by martin_fierro (< |:)~)
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To: mcmuffin
I'll have a Fuente any day.

I'm with ya.

9 posted on 02/24/2010 1:25:47 PM PST by Digger (If RINO is your selection, then failure is your election)
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To: devane617
Quality is most certainly down. People in the industry tell me it is because Cuba is more of an economic basket case than ever, and in dire need of hard currency. Their largest customer is Spain, and their economy is in pretty bad shape right now, as well (though not as bad as Castro's Paradise).

Consequently, a lot of factories have shortened up the aging and curing process to move product out more quickly. That has caused the tobacco to have a harsher quality. Also, Cuba has lost many of its best tobacco experts over the years, and many of the great production experts and their experienced rollers have died off.

There are still some good brands out there, but stick to the "old line" names like Partagas, Romeo y Julieta, Punch, Hoyo de Monterrey, and H. Upmann. Forget about Cohibas - overpriced and most of them are fakes. Also, pay attention to the size of cigar you order. The smaller ones (robustos, Lonsdales, delicatos) are frequently better than the Churchills and "gordo" sizes.

The truth is that there are terrific cigars being produced now in the Dominican Republic, Nicaragua and Honduras, and I mean "World Class". Check them out.

10 posted on 02/24/2010 1:26:21 PM PST by andy58-in-nh (America does not need to be organized: it needs to be liberated.)
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To: martin_fierro

I do the JR thing, but on occasion go off-shore. However, the last time was a big disappointment...


11 posted on 02/24/2010 1:26:54 PM PST by devane617 (VOTE THEM OUT! ALL OF THEM!)
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To: devane617
Quality is most certainly down. People in the industry tell me it is because Cuba is more of an economic basket case than ever, and in dire need of hard currency. Their largest customer is Spain, and their economy is in pretty bad shape right now, as well (though not as bad as Castro's Paradise).

Consequently, a lot of factories have shortened up the aging and curing process to move product out more quickly. That has caused the tobacco to have a harsher quality. Also, Cuba has lost many of its best tobacco experts over the years, and many of the great production experts and their experienced rollers have died off.

There are still some good brands out there, but stick to the "old line" names like Partagas, Romeo y Julieta, Punch, Hoyo de Monterrey, and H. Upmann. Forget about Cohibas - overpriced and most of them are fakes. Also, pay attention to the size of cigar you order. The smaller ones (robustos, Lonsdales, delicatos) are frequently better than the Churchills and "gordo" sizes.

The truth is that there are terrific cigars being produced now in the Dominican Republic, Nicaragua and Honduras, and I mean "World Class". Check them out.

12 posted on 02/24/2010 1:27:00 PM PST by andy58-in-nh (America does not need to be organized: it needs to be liberated.)
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To: martin_fierro

Dominicans are just as good if not better these days. Ashton maduro is one of the best cigars around.


13 posted on 02/24/2010 1:35:09 PM PST by Sir Gawain
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To: devane617

I like cheap smokes. Cuban Mistakes, from Thompson Cigar, are some of the finest tasting cigars I’ve ever had. Dominican, Sumatra wrapper, spicy and smooth. From Victor Sinclair. They are not terribly well made, and unravel sometimes, but for a buck apiece, I can accept that.
If you want a better version of those, the Tusker sells for about twice that. Excellent smokes.


14 posted on 02/24/2010 1:36:00 PM PST by CalvaryJohn (What is keeping that damned asteroid?)
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To: Sir Gawain

Gurkha cigars are made in Honduras. Excellent.


15 posted on 02/24/2010 1:54:33 PM PST by CalvaryJohn (What is keeping that damned asteroid?)
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To: andy58-in-nh

andy, Thanks for the detailed reply. I smoke OTC (other than Cubans) from all areas and have found them to be as good as Cubans in many cases. And, the quality keeps getting better.


16 posted on 02/24/2010 2:00:58 PM PST by devane617 (VOTE THEM OUT! ALL OF THEM!)
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To: martin_fierro

On my last trip to the Caribbean, I bought about twenty Cubans of different sizes and brands. I have smoked four so far and am disappointed, the Cobibas ran, the Monte #2 was tasteless, the best one was the new Spartus. Yes, I bought real Cubans from La Casa de Havanba, actually some of the fakes I bought were better. I am letting the others age in hopes they improve. I wish I had done as a friend did buy boxes of Hondourans for $40 a box, the Santa Rosas, I did buy were good.


17 posted on 02/24/2010 2:14:19 PM PST by razorback-bert (Of all the things I've lost, I miss my mind the most.)
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To: martin_fierro

Could you add me to the Cigar ping list please? I have noticed myself that the quality of the Cuban cigars has declined somewhat, but I think you also have to factor in the fact that the Cuban-seed tobacco in several of the other countries has now matured enough, and the cigar companies now know how to use them well enough, that the quality of the non-Cuban cigars has certainly gone up enough that they can compete on a level playing field. I think that, whenever the embargo finally ends, there will be a lot of folks who have built up in their minds the idea of Cuban cigars being so great and they will be in for a shock.


18 posted on 02/24/2010 2:16:59 PM PST by tarawa
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To: wagglebee

$200 a box is a great price, I paid an average of $30 a stick.


19 posted on 02/24/2010 2:21:26 PM PST by razorback-bert (Of all the things I've lost, I miss my mind the most.)
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To: martin_fierro

bm


20 posted on 02/24/2010 2:28:24 PM PST by Vision ("Did I not say to you that if you would believe, you would see the glory of God?" John 11:40)
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