"The word "cigar" originated from sikar, the Yucatec Mayan word for smoking, which became cigarro in Spanish, probably from the Mayan sikar ("to smoke rolled tobacco leaves" – from sik, "tobacco;") or from the Spanish word cigarra ("grasshopper"). However, the word itself, and variations on it, did not come into general use until 1730. New names for cigars include "Jules", "Havana", "Vitole" and "Puro".[1] An older alternate spelling is "segar",[2] not uncommon in 19th century signs and advertisements."
So yes, it has to do with smoking and tobacco. It's also another spelling for "cigar."