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Rising Tobacco Supply Costs Raw tobacco production has become more expensive in recent years due to: Higher fuel and transportation costs Labor shortages and wage increases Equipment and agricultural input costs Weather variability affecting crop yields When tobacco suppliers pay more to grow and distribute their product, manufacturers pay more and that cost works its way down the chain

New Mexico increased its cigarette tax rate by $0.34 per pack in 2020 and saw its smuggling rate increase by 6.3 percent, moving it two ranks higher and giving it the third-highest smuggling rate in the country, with smuggled cigarettes accounting for 43.46 percent of the total cigarette market

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This is a report featuring a virtual discussion with LaDarius Gammage of the Florida Department of Health