While an increased tax means more state revenue, a disincentive for kids to smoke and a win for public health, the measure could also allow premium tobacco companies to gain market share.
A series of increases of taxes on cigarettes, other tobacco products and inhalant delivery products will begin Friday after Oregon voters passed Measure 108 by a wide margin in the November general election.
It will be the first time vapes and other e-cigarette products are taxed in Oregon.
The increases include $2 to $2.50 on a pack of cigarettes, up to $1 tax on cigars and a 65% tax on wholesale purchase price of vapes and e-cigarette products.
In the weeks running up to tax starting, Lexi Demi, the general manager at Hunky Dory, has offered to let regular cigarette carton customers buy in bulk or pre-pay, but she has seen more people resolve to quit smoking than pay the tax. This resolve to quit, she said, has been more spread over customers who buy cigarettes and loose leaf tobacco for rolling. The pipe tobacco community for Hunky Dory is reportedly stable.