6 Fascinating Facts About The Global Nicotine Pouch Industry

Nathan Chilcott

History Lessons

Nicotine pouches first arrived on the scene at the turn of the 21st century. They offer a smokeless, tobacco-free alternative to cigarettes and have steadily grown in popularity. This has led to a closer examination of the product and some countries have tightened their regulations. That said, the future still looks rosy for the global nicotine pouch industry as the following fascinating facts show.

The Industry Is Rapidly Growing

This isn’t news, but the rate of growth may surprise you, especially as there are still billions of potential customers that the industry has yet to reach and convert. According to Spherical Insights the global nicotine pouch industry was worth USD 3.45 billion in 2022. The same report forecast a market growth of 13.1% CAGR by 2032, giving it a value of USD 11.82 billion by 2032. Of course, that’s still small compared to the global tobacco industry worth USD886 billion in 2023.

The Top Nicotine Pouch Brands Are Made By the Same Manufacturer

It’s generally agreed that Zyn is one of the most popular nicotine brands in the world. It’s closely followed by Velo which is manufactured by the British American Tobacco Company (BAT).

Interestingly, LYFT is also a very popular brand and is also manufactured by BAT. In effect, the two products are in competition with each other.

The Biggest Players Are Tobacco Companies

One of the not-so-well-kept nicotine pouch industry secrets is the biggest pouch-manufacturing companies are actually tobacco businesses. This is true for Velo which is owned by BAT and ZYN which is owned by Philip Morris International (PMI). Another tobacco giant. That’s just two of the global pouches you can buy, there are several others. It makes sense that tobacco companies invest in nicotine pouches. After all, pouches are potentially going to replace cigarettes.

Pouches Are Banned In Some Countries

Many people believe there are no regulations for pouches, it’s a free-for-all scenario where manufacturers and customers can do what they want. This isn’t the case.

"As nicotine pouches have become more popular governments across the globe are paying more attention and regulations are tightening.”

If you live in Germany you may not realise that nicotine pouches are banned. France is potentially following suit. However, it's already obvious in Germany that enforcing the ban is very difficult. This may dissuade other governments from following suit.

They Are Environmentally Friendly

Nicotine pouches are generally made with synthetic nicotine. This can be manufactured in the lab and uses easily replaceable materials. The pouch also contains flavourings and sweeteners and uses plant fibres to bind it all together. In short, other than a concern about nicotine, there is no issue with pouches simply decomposing back into the ground. It’s certainly okay to throw used pouches in the regular bin.

Plenty Of Food And Drink Contain Nicotine

If you thought you had to smoke or use pouches to get nicotine you were wrong. Nicotine is found in many foods and drinks, such as tea, cauliflower, aubergines, and other fruits and vegetables. The amount of nicotine in these items is very small but confirms that it is a naturally occurring substance.

Summing Up

That’s just a few of the fascinating facts about the global nicotine pouch industry. There’s plenty more and undoubtedly more to be discovered. Watch this space.