Market Overview: A Land of Opportunity Amid Demographic and Regulatory Gaps
Pakistan is one of the key economies in South Asia, with a population exceeding 250 million (2025 data), ranking fifth globally. Currently, the overall e-cigarette market in Pakistan has surpassed USD 300 million (approximately PKR 84 billion), with over one million users. The market continues to grow at a rapid annual rate of more than 25%, with over 60% of users under the age of 35, reflecting strong vitality and growth potential.
In 2023, Pakistan's per capita GDP was approximately USD 1,600, indicating a relatively low economic level. However, the younger population is highly receptive to emerging products, driving rapid adoption of alternative consumer goods such as e-cigarettes.
The e-cigarette industry is still in a "grey dividend period"—regulations have not been fully established, the policy environment remains relatively loose, and consumer demand is rising rapidly. Over 24 million people are active smokers, making Pakistan a large consumer base with characteristics similar to early-stage Indonesia, though overall purchasing power is lower and price sensitivity is higher.
Since 2024, vape brands have been rapidly penetrating the Pakistani market, with around 2,500 vape specialty stores and 5,000 sales outlets nationwide. Karachi is the central hub for the wholesale and import of almost all consumer goods, including vape products, making it the country's primary distribution center.
Regulatory Environment
Currently, the sale of nicotine-containing e-cigarettes is legal in Pakistan, and the industry remains largely unregulated at the national level. In the absence of formal oversight, some retailers have adopted self-regulatory practices, such as restricting sales to minors and avoiding aggressive marketing tactics.
The market also faces minimal tax burdens, and there are no restrictions on flavor formulations, allowing brands to deliver a broader and more tailored product experience. This regulatory vacuum provides brands with substantial latitude to build a market presence through channels such as social media, in-store promotions, and sponsorship activities.
Given the current policy environment, this represents a strategically favorable moment for e-cigarette companies to enter the Pakistani market. However, as Pakistan may eventually move toward stricter regulation in line with global trends, this window of opportunity is unlikely to remain open indefinitely. Early market entry offers a clear first-mover advantage for vape companies.
Product Structure: Dominated by Open Systems, Followed by Disposables
Pakistan’s e-cigarette market is primarily dominated by open-system devices and bottled e-liquids, accounting for over 70% of the market share. These products remain popular due to their cost-effectiveness and refillability.
Disposable e-cigarettes follow with about 20% share and are experiencing rapid growth, especially among younger users. Devices with 8–15ml large-capacity tanks are especially popular, offering longer usage time and higher repurchase frequency.
Closed pod systems account for roughly 10% of the market but are growing slower due to higher usage costs. They are primarily targeted at middle- and high-end users with specific needs.
Popular Brands Overview
The brand landscape is largely dominated by international Chinese brands. However, several local Pakistani brands are rapidly gaining traction due to their deep understanding of local consumer behavior and strong distribution capabilities.
The majority of them partner with Chinese manufacturers to produce their own branded products, leveraging China’s cost-efficient manufacturing, advanced technology, and strong innovation capabilities while relying on their operational strengths within the domestic market to compete effectively.
As a global leader in e-liquid manufacturing, Hangsen offers professional OEM and private label solutions tailored for the Pakistani market. We have successfully helped numerous clients establish strong and recognizable vape brands in Pakistan. From flavor development and brand strategy to packaging design, we provide a one-stop service that makes launching your own e-liquid brand in Pakistan simple and efficient.
E-Liquid Brands
Tokyo E-Liquid
A leader in local flavor innovation with moderate pricing and wide coverage. Tokyo juice's pineapple flavor is one of Pakistan's most famous.
Slugger
Pakistan local brand, strong channel capacity, high product coverage.
Drip Down
Mid-to-high-end international positioning, recognized for exquisite packaging design and distinctive flavors.
VGOD
A global brand with strong local distribution, particularly successful with tobacco flavors.
Infinity
A local brand with strong distribution channels and over 30 self-operated retail stores. It is well-known for its affordability and penetration in lower-tier markets.
SKWEZED
This is international brand known for high cost-performance ratio. SKWEZED's watermelon ice flavor is particularly popular.
Other Brands: BLVK, JUICE HEAD, JUST JUICE
European and American international brand, superior product quality, slightly higher price.
Disposable vape Brands
Slugger
Absolute market leader and very popular in Pakistan.
IVG
Widely distributed with high market share, Have a good reputation.
Other Brands: Bugatti, Minibar, ELF BAR, HQD, WAKA
Open-System Brands
OXVA, Vaporesso
Leader of open equipment in Pakistan.
VOOPOO, UWELL, Geek Vape
International brand with a good market reputation.
SMOK, RELX
Sales are not as good as the above brands, but it still has good brand awareness.
Consumer Insights: Young Male-Dominated, Tropical fruit Flavors Preferred
User Structure
The core consumer group consists of males aged 20–34. This demographic is open-minded, well-informed, and accustomed to using social media to explore international brands and flavor trends. Female consumers are also emerging but tend to use products discreetly at home or in private settings.
Consumption Habits
Offline purchasing dominates the market, and consumers generally prefer cost-effective open-system devices. The Refill model, in which e-liquid is sold in bulk, is highly popular. Shop owners assist customers by filling e-liquid directly into their open-system pods. The reference price is approximately PKR 100 per 1ml. This model significantly lowers the cost per purchase while giving consumers access to some of the most premium and expensive e-liquids on the market.
Flavor Preferences
Fruit flavors dominate, with high demand for tropical fruits like pineapple and passion fruit. Their scarcity in the local market makes them especially appealing as exotic flavors.
The mainstream profile includes high nicotine (35mg-60mg), strong cooling sensation, and moderate to low sweetness. However, in cities like Islamabad, low-ice and even ice-free dessert and tobacco flavors are gaining traction, signaling a subtle shift in market preference—flavor trends are no longer solely dictated by major brands but are evolving toward local and diverse tastes.
Channel Analysis: Karachi Leads Offline, Online Channels Emerging
Offline: Pakistan has around 2,500 vape stores and 5,000 sales points, concentrated in three major cities.
Karachi
The largest economic and port city, Karachi is the hub for e-cigarette imports, wholesale, and retail.
Lahore
Located near the India-Pakistan border, this industrial hub is rapidly developing its vape store network, becoming the second-largest consumer market.
Islamabad
The capital and a major transit center, characterized by strong consumption power and diverse preferences, is forming its own regional flavor style.
Online: Still in its early stages, but showing promise:
General e-commerce: Daraz, OLX (permitted platforms)
Vertical vape shops: vapemail.pk, vapestation.pk, devapoursarea.pk
Social media: Facebook, Instagram, WhatsApp groups (common gray-market pathways)
Young users increasingly rely on social media for brand discovery and product purchases.
Channel Development Recommendations
Sales License Requirement
Regardless of whether actual transactions occur, foreign individuals engaging in any form of commercial activity in Pakistan (e.g., promotion, displays, research) must obtain a legal sales license. Operating without one risks fines or detention upon complaint. It’s advisable to either register legally or cooperate through local licensed partners to ensure compliance.
Personnel & Security Advice
Given the unstable business environment, foreign representatives should prioritize personal and financial safety, avoid acting alone, and hire local staff for promotion, communication, and channel operations. In high-risk areas, armored vehicles and local drivers are recommended. Additionally, as English proficiency varies, hiring local personnel is essential for smooth execution.
Logistics & Market Risk
Due to the lack of clear regulatory policies, most product imports are subject to customs discretion, with unpredictable clearance efficiency and varying logistics costs. Even identical products may arrive at different final costs due to customs delays, exchange rate fluctuations, and local transport solutions—leading to market price chaos or stockouts. Brands are advised to evaluate partners' customs clearance capabilities, maintain local inventory, and adopt flexible pricing and stock strategies.
Marketing & POS Materials
Combine terminal advertising, branded giveaways, and social media promotion to boost visibility. Offer trial samples and extended credit terms to ease retailer pressure. Recommended POS items include counter displays, wall stickers, keychains. Avoid costly materiel with poor ROI.
Business Habits
Local distributors prefer brands with stable supply and sufficient stock. COD (cash on delivery) is common, with limited credit acceptance. Brands offering longer credit terms and flexible inventory policies are more likely to gain cooperation.
Grow Your business in Pakistan — With Hangsen’s Vape E-Liquid Solutions
Pakistan’s vaping market is still in a fragmented, early-stage competition phase. While the industry is beginning to show signs of prosperity, major international brands have yet to invest significant resources in developing this market—making it a prime window of opportunity for new entrants.
Hangsen has established itself as a key player in Pakistan’s e-cigarette industry by providing comprehensive OEM services for local brands. With a strong global supply chain and extensive manufacturing expertise, Hangsen helps domestic companies launch high-quality, customizable e-liquids that are specifically tailored to the needs of the local market. Many brand customers in Pakistan have already experienced success through partnerships with Hangsen.
Our Key Advantages
1. Customized Formulations: Hangsen offers tailor-made e-liquid formulations to suit the specific tastes of Pakistani consumers.
2. High Production Standards: By adhering to globally recognized production standards, Hangsen guarantees the safety and consistency of its products.
3. Cost Efficiency: Hangsen’s optimized supply chain enables local brands to reduce production costs while maintaining high product quality.
4. Rapid Market Entry: By providing end-to-end OEM services, Hangsen accelerates local brands' time to market, helping them secure a competitive edge in the growing e-cigarette market.
By partnering with Hangsen, Pakistani brands can gain access to premium products, benefit from global expertise, and enhance their market strategies, positioning themselves for long-term success in the rapidly evolving e-cigarette sector.
For more service information, please contact us at service@hangsen.com