ST. PAUL – Minnesotans
will be paying more for cigarettes come July 1 and retailers predict a sharp
increase in electronic-cigarette sales as a result, Minnesota Public Radio
reports. The state’s cigarette tax will jump $1.60 per pack.
Stores like the Uptown
Vapor Shoppe and Smokeless Smoking have opened recently, specializing in e-cig
sales. “We've experienced extreme growth just since opening this last store,”
said Angie Griffith, co-owner of a Smokeless Smoking location. The state tax on
liquid nicotine is significantly less than regular cigarettes, which has been
driving business her way.
“A lot of customers have
come in and noted that that has been their motivation because they can no
longer afford cigarettes, and unfortunately a lot of times cost is a bigger
motivator than health,” she said.
The U.S. Food and Drug
Administration (FDA) hasn’t yet decided how to classify
electronic cigarettes, although antismoking groups are pushing for them to
be regulated like regular cigarettes. The American Lung Association is one
calling for the agency to regular e-cigarettes immediately. “The questions
about e-cigarettes go on and on and on, but in the meantime the tobacco
industry has jumped in with both feet,” said Erika Sward, vice president for
national advocacy. “There's absolutely no oversight or regulation of these
products right now, and we're really seeing a resurgence of the glamorization
of tobacco products.”
That interest has
traditional tobacco companies adding e-cigarettes to their portfolios. “And the
e-cigarette category is one of those groups that folks have shown some interest
in,” said Bill Phelps, spokesman for Nu Mark, a subsidiary of Phillip Morris.
“So given the fact that there's been increased trial and sale of e-cigarettes
to adults who currently smoke, we decided that we wanted to enter that category
in a lead market in limited form in Indiana this year.”
E-cigs are also attracting
investors
and the attention of state legislatures, such as Utah,
which is considering classifying e-cigarettes with their regular cigarette
counterparts.