Oregon’s Flavored Tobacco Ban: Unintended Consequences for Small Businesses

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Oregon flavored tobacco ban

For many convenience store owners, flavored tobacco products play a crucial role in supporting the bottom line and keeping doors open. These products are particularly important for businesses that provide stable jobs and career growth opportunities to individuals who may have faced challenges in their lives, such as limited education or past hardships. However, most of these store owners now have serious concerns about the state’s proposed ban on flavored tobacco products.

Banning flavored tobacco products would not only harm these businesses but also the employees and customers who rely on them. Economics consulting firm Orzechowski and Walker estimates that Oregon could lose as much as $91.5 million annually in tobacco tax revenue, potentially leading to budget shortfalls that would hurt communities across the state.

Responsible retailers are already enforcing strict ID checks to keep tobacco and nicotine products out of the hands of minors. Thanks to these efforts and existing regulations, youth smoking rates in Oregon have plummeted. The Oregon Health Authority (OHA) reports that the youth smoking rate is now at a low of 2.1%, down 86% since 2001, and e-cigarette use has dropped by 57% since 2019.

Rather than targeting law-abiding businesses, policymakers should focus on cracking down on the illegal sources that are actually contributing to youth tobacco use. A recent study published in JAMA found that teens are increasingly ordering restricted tobacco products online and having them delivered by mail with no age verification. According to the CDC, 58% of youth who vape are using disposable vapor products, and Nielsen IQ Retail Scanner Sales data show that 86% of e-cigarette sales in the U.S. are of illegal products.

The same OHA survey that studied cigarettes and e-cigs shows that Oregon teens are three times more likely to use marijuana (7%) than cigarettes and five times more likely to use alcohol (10.6%) than cigarettes. If the goal is to protect young people, efforts should focus on addressing these more prevalent issues rather than fixating on flavored tobacco.

Instead of imposing a ban that will drive consumers to neighboring states or illicit markets, policymakers should prioritize harm reduction strategies. One UK government study indicates that vaping is at least 95% less harmful than smoking and has proven to be an effective smoking cessation tool. Encouraging adult smokers to transition to less harmful alternatives, like vapes and nicotine pouches, is a more effective way to reduce smoking-related health risks.

The FDA has shown that menthol cigarettes pose no greater health risks than non-menthol cigarettes, and the CDC reports that menthol use among youth is rare, with only 0.6% of students in the U.S. smoking menthol cigarettes. The argument that banning flavored tobacco will significantly reduce youth smoking is simply not supported by the data.

Oregon’s proposed flavored tobacco ban, while well-intended, is fundamentally flawed. It will hurt small businesses, eliminate jobs, slash state revenue, and fail to significantly curb youth tobacco use. Instead of pushing legal sales into the illicit market, lawmakers should prioritize targeted enforcement against illegal sellers and promote harm reduction strategies for adult smokers. By working together to address the real sources of youth tobacco access and support small businesses, we can create a healthier and more prosperous future for all Oregonians.

Matthew Ma
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