Cuban cigars are renowned for their exquisite flavour and quality, making them a favourite among cigar connoisseurs worldwide. But with rising production costs and increased demand, the price of Cuban cigars have seen a dramatic increase. In this blog post, we’ll examine why Cuban cigar prices have increased and what it means for cigar aficionados.

Increased Production Costs

The first factor driving up prices is the cost of production. Growing, harvesting, and curing tobacco leaves is a very labour intensive process and with Cuban wages continuing to rise, the price of cigars will also increase. Additional raw materials – like binder leaf and wood for storage boxes – have also become more expensive as rates of supply and demand fluctuate.

Agricultural Factors

Cigar production heavily depends on agriculture—specifically, favourable weather conditions for growing premium tobacco. Depending on annual weather patterns, farmers may be unable to produce enough quantity or quality of leaves for cigar makers to meet higher levels of demand. As supplies run low, scarcity forces costs to rise.

Demand & Supply Dynamics

When demand outpaces supply, it can create upward pressure on pricing since there simply isn’t enough product available for everyone who wants it. This market dynamic plays out across all industries. Still, it is particularly relevant when discussing luxury items such as high-end cigars, where people are willing to pay top dollar for something they want or need right away rather than wait until supplies become more plentiful again at lower price points.


As you can see, several factors come into play when discussing why Cuban cigar prices have increased over time. From rising production costs due to wages and raw materials becoming more expensive, agricultural factors like weather conditions affecting crop yields, and supply/demand dynamics driving up scarcity pricing – all of these forces play a role in setting current market prices for premium Cuban cigars today. As a result, customers should expect some degree of fluctuation in pricing from year to year depending on how these different factors interact with one another going forward into 2023 and beyond!

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