2010 January | The #1 Source for Pipes and Pipe Tobacco Information

One way or another, there may well be another tobacco tax increase among nearly $800 million worth of across-the-board tax increases in North Carolina. That’s what is proposed for the fiscal year beginning July 1 unless an irate electorate makes itself heard to the state’s legislators, according to the International Premium Cigar & Pipe Retailers Association.

Proposed tax increases include raising the state sales tax to seven percent, hiking income tax rates for high wage earners, new liquor tax increases and a tobacco tax increase to $.50 per pack of cigarettes and 13 percent on other tobacco products, including premium cigars and pipe tobacco. If Governor Beverly Perdue has her way, there would be even higher taxes on other tobacco products of up to 28 percent and an increase of $1 per pack in the cigarette tax.

"Times are tough all over. Revenues down? Cut spending. That’s what families do. And that’s what governments should do. That’s why now is the time to tell your state senators and representatives that you are against any newtaxes because they will only hurt our chances of economic recovery," said Chris McCalla, legislative director of the IPCPR.

The IPCPR represents more than 2,000 retailers and manufacturers of premium cigars. McCalla explained that these retailers and manufacturers represent, for the most part, small family businesses and not what is usually referred to as ‘big tobacco.’ There are nearly three dozen IPCPR members in North Carolina who employ hundreds of people whose jobs would be at stake if, as anticipated, an additional tobacco tax increase would lead to a decrease in sales, according to McCalla.

"If you use tobacco in any form or derive any of your income from tobacco in any way, you will likely be negatively affected by the proposed new taxes, making it all the more difficult to participate in any economic recovery," said McCalla.

A House-Senate conference committee meets this week to create a compromise version of the state budget that currently includes the tax increases to help cover what the Democratic leadership claimed to be a $4.6 billion shortfall.

"The budget has become a political football which we are not interested in playing with. And neither, we believe, are the voters in this state. All we want is an effective government that doesn’t automatically reach for the tax increase button when revenues fall short," McCalla said.

As if a 2,700 percent federal tax increase on some tobacco products wasn’t enough, Louisiana lawmakers are trying to squeeze another 50 percent in state tax revenues out of Louisiana cigar smokers plus $.50 per pack of cigarettes and similar increases on other tobacco products.

"It’s as unfair and unjust as excessively taxing alcoholic beverages, snack foods, and automobiles because they make you drunk, fat or have accidents. Just because obesity is the nation’s leading cause of health problems, nobody should be taxing Twinkies and no one should be taxing tobacco, especially cigars and pipe tobacco, in order to manage how we live," according to Chris McCalla, legislative director of the International Premium Cigar and Pipe Retailers Association, whose 5,000 members and guests will be meeting in convention in New Orleans in August.

Legislation proposed by New Orleans’ Rep. Karen Carter Peterson barely squeaked out of committee this week by an 8-7 vote after twice being defeated and will be up for discussion on the House floor next week.

House Bill 889 would further tax Peterson’s constituents and others throughout the state by increasing the state tax on cigarettes by $.50 per pack and on hand-made cigars from the current 20 percent of cost to a proposed 30 percent - a 50 percent increase. The proposed pipe tobacco tax increase would go from the current 33 percent to 49.5 percent with similar increases for other tobacco products . Cigars and pipe tobacco represent a small percent of the tobacco market but they are the primary source of income and jobs for the nearly three dozen Louisiana tobacconists and their employees.

"Current tobacco taxes raised less than $400,000 for the state last year and many Louisiana tobacconists’ sales are already off by double-digits due to the federal tobacco tax increase that went into effect April 1, 2009," said Bob Winston, owner of the Tinder Box in Metairie, LA. "Tobacco is an unstable, eroding tax base which higher taxes will only result in closing businesses like ours, job losses and further tax deficits."

Winston and fellow tobacconists Rene Gerard, owner of Piper’s Haven in Lafayette and Sarah McCauley, co-owner of Bayou Tobacco, Inc. in Baton Rouge, are among several state tobacconists who appeared at House committee meetings in opposition to the Bill. They are all members of the IPCPR.

"Higher taxes on cigars and pipe tobacco will only drive whatever business is left into the hands of Internet, out-of-state and mail order merchants who do not pay taxes to Louisiana and do not employ Louisiana’s citizens. They do not have the same stake in our communities that we do with our family-owned businesses and neighborhood employees," said McCauley.

California legislators are grasping at tax straws that don’t exist as they seek to raise billions of dollars that don’t exist for a balanced state budget that doesn’t exist, according to the International Premium Cigar & Pipe Retailers Association.

Two legislators - Democrat Assemblyman Tom Torlakson of Contra Costa County and Democrat State Senator Alex Padilla of Los Angeles - have introduced AB89 and SB600, respectively. The bills propose to increase tobacco taxes to as much as $2.10 per pack of cigarettes on top of the current $.87 per pack state tax and recently increased federal taxes of $1.00 per pack plus correspondingly stiff increases on other tobacco products like cigars and pipe tobacco.

"It’s easy to call these ‘tobacco taxes’, but the truth is they are discriminatory taxes that target some 15 percent of California adults who enjoy tobacco in one form or another , whether they smoke cigarettes or savor hand-made cigars" said Chris McCalla, legislative director of IPCPR.

"Real people pay these taxes… real people at all economic levels who vote and who have had enough overspending by government. They are customers of our more than 200 members throughout the state of California who are smoke shop owners and manufacturers or distributors of premium cigars and other tobacco products. They are, for the most part, small, family-owned businesses that employ thousands of their neighbors. As taxes go up and sales go down, their businesses are as threatened as the jobs of their employees and the sales, income and other taxes collected by the local, state and federal governments," McCalla said.

Proponents of increased tobacco taxes claim they will make it more difficult for under-aged individuals to purchase cigarettes.

"Higher taxes do not make it more difficult for teen-agers to purchase tobacco … they only make it more expensive for them and everyone else. If we want to keep kids from smoking - and we agree that everyone should support that goal - we should be enforcing the laws that are already on the books as do all members of the IPCPR," said McCalla.

McCalla disagreed with an editorial in a California newspaper (Wednesday, June 17, Los Angeles Times) that said increasing state tobacco taxes would be a "fair and constructive" way to find "balance" for the budget.

"The bills’ sponsors are estimating that these new, taxes on 15 percent of Californians might generate up to $2 billion as the state seeks to fill its $24 billion deficit. That is anything but fair, constructive or balanced," McCalla said.

New York’s Professional Tobacconists Organize to Battle Local and State Legislation
Source: Jorge Armenteros - Tobacconist University

Cigar Rights of America Facilitates Formation of New York’s First State Tobacconist Association

New York City, New York - In an historic gathering of statewide professional tobacconists, a group of over two dozen retail tobacconists gathered at the Grand Havana Room in New York City to launch the New York Tobacconist Association (NYTA).

With the onslaught of anti-tobacco ordinances and legislation, the coalition of traditional competitors are coming together to combat further intrusion into their businesses, to oppose measures that can impact the product choices of their patrons, to address the cost of both doing business in New York, and the cost of goods to their customers.

As noted by Ron Melendi, General Manager of De La Concha tobacconists of New York City, "It’s time for our voices to be heard. For too long, we have let our representatives pass laws that adversely affect our businesses, and the ability of our customers to enjoy a perfectly legal array of products. It’s time to say enough is enough." Melendi was named the founding chairman of the NYTA.

The New York effort is being assisted by Cigar Rights of America (CRA) as a national consumer-based organization for cigar enthusiasts. CRA Executive Director Glynn Loope was present at the organizational meeting, stating "Each of these shops represent thousands of customers. Now, they are voters for the cause. We will educate them about how their representatives vote, about the legislation they introduce, and work to halt this Prohibition Era style of policies flowing from New York City to Albany."

With the recently adopted flavored tobacco ban central to the group’s concern, there will be a comprehensive agenda of issues to be addressed. In addition to the flavored tobacco issue, the group will address fees and taxation, regulatory matters, and any further indoor or outdoor smoking restrictions.

The New York Tobacconist Association elected a charter board of directors, adopted by-laws, and heard a presentation from the firm Gotham Government Relations on lobbying on local and state issues.

The group initiated an ‘open door’ policy that any premium licensed tobacconist in New York can join the group, with a plan for statewide recruitment underway for consumer members joining Cigar Rights of America, and retail tobacconists joining the NYTA.

Interested Tobacconists can contact Ron Melendi at melendi@delaconcha.com


Ron Melendi - De La Concha General Manager & Founding Chairman of the NYTA

Just Say No to More Smoking Bans in MA
    January 29th, 2010

Apparently State Rep. Ted Speliotis doesn’t believe Massachusetts has gone far enough to control the lives of its citizens, but the International Premium Cigar & Pipe Retailers Association and its several dozen members statewide believe that the tipping point of public opinion has been reached against legislated deprivation of their individual rights.

Speliotis’ bill to essentially ban smoking within 25 feet of windows and entrances of buildings is expected to be reviewed this week at a State House hearing.

People are complaining today that governments at all levels have gone too far by intruding on their lives and taking away more and more of their rights Well, a smoking ban such as proposed by Speliotis only serves to embolden legislators to deprive more and more people of their rights in an ever widening variety of categories . That’s why smokers and non-smokers alike should take a stand against legislated smoking bans of any kind. What hypocrisy! Many of the same state and federal legislators who vote for smoking bans or over-the-top tax increases on tobacco enjoy cigars and pipes or smoke cigarettes whenever they get a chance. Businesses should be left to decide for themselves to allow smoking or not and customers can patronize them or not. That’s the American way Our customers are outraged and have reached the tipping point on issues like this that deprive them of their rights "People are complaining today that governments at all levels have gone too far by intruding on their lives and taking away more and more of their rights," said Chris McCalla, legislative director of the IPCPR. "Well, a smoking ban such as proposed by Speliotis only serves to embolden legislators to deprive more and more people of their rights in an ever widening variety of categories . That’s why smokers and non-smokers alike should take a stand against legislated smoking bans of any kind."

Massachusetts! Let’s Light Up the Switchboards!
Phone option: Call your state legislators and the governor! No New Tobacco Taxes!GO »

McCalla cites the Federal Reserve Bank which uses data supplied by the Bureau of Statistics to prove that jobs are lost and businesses are threatened in areas where smoking bans are tolerated.

Stephen Willett, owner of tobacconist L. J. Peretti Co., a family operated business in Boston for nearly 140 years, agrees. He is among the Massachusetts members of IPCPR who, along with their customers, are even more strident in their opposition to government control over lifestyle decisions.

"What hypocrisy! Many of the same state and federal legislators who vote for smoking bans or over-the-top tax increases on tobacco enjoy cigars and pipes or smoke cigarettes whenever they get a chance. Businesses should be left to decide for themselves to allow smoking or not and customers can patronize them or not. That’s the American way," said Willett.

"For nearly a century and a half, our business has survived wars, weather, depressions and other man-made and natural disasters. However, the recent actions of our local, state and federal governmental bodies have hurt us the most. They’ve raised tobacco taxes too high in order to pay for programs they can’t afford. They’ve restricted smoking or banned it outright in order to control us, which denies us of our constitutional rights," Willett said.

"Our customers are outraged and have reached the tipping point on issues like this that deprive them of their rights," he added.

Massachusetts! Let’s Light Up the Switchboards!
Phone option: Call your state legislators and the governor! No New Tobacco Taxes!GO »

Massachusetts! Let’s Light Up the Switchboards!
Phone option: Call your state legislators and the governor! No New Tobacco Taxes! GO »

Stop the Pipe Tobacco Tax
    January 23rd, 2010

Stop a 775% Tax Increase on Pipe Tobacco!

H.R. 4439, the Tobacco Tax Parity Act of 2010 was introduced on January 13, 2010 and would raise the tax on pipe tobacco 775% from $2.8311 to $24.78 per pound.

As a service to the pipe smoking community and the industry of pipe makers and pipe tobacco producers we have set up a free service that will automatically send emails to your Senators and Congressmen.

In 15 seconds - Email Your Senators and Congressmen for FREE
Stop a 775% Tax Increase on Pipe Tobacco!

 - We have already typed the letter for you. The system does everything. Just enter your address, we find the right contacts and send them your opposition to the tax increase.

In 15 seconds - Email Your Senators and Congressmen for FREE
Stop a 775% Tax Increase on Pipe Tobacco!

 - You can add your own comments too!

In 15 seconds - Email Your Senators and Congressmen for FREE
Stop a 775% Tax Increase on Pipe Tobacco!

 - Really make an impact by having a real letter printed on paper and hand-delivered. (This cost $3 per letter and is optional. You are given the choice at the end.)

A tax increase of 775% on anything is ludicrous. This will kill many small businesses and an historical tradition.

Download the bill here

Premium Cigar Association Supports D.C.Smoking Ban Proposal … Almost

IPCPR Okays Underage Smoking Prevention but Nixes Smoking Bans

Washington, D.C. January 20, 2010 - The International Premium Cigar & Pipe Retailers Association has come out in support of proposed Washington D. C. Council legislation to reduce under-aged smoking and against the same piece of legislation that would impact smokers’ rights outside businesses.

The proposal would assess new penalties on under-aged youth for purchasing or possessing tobacco products. At the same time, the bill allows shop owners to post no-smoking signs in front of their establishments to include 25 feet of their front door or from the sidewalk.

"As owners of premium cigar stores, we have very few people coming into our stores who are underaged and, if they try to make a purchase, they are carded without exception. So the part of the legislation regarding underaged youth and tobacco is not a problem for us, unlike the Campaign for Tobacco Free Kids which, ironically, opposes this aspect of the legislation," said Chris McCalla, Legislative Director of the IPCPR. "It’s the other part of the legislation that bothers us - no smoking outside of buildings - even though it contains no enforcement provisions."

McCalla pointed out that the vast majority of premium cigar and pipe smokers are courteous and mindful of people around them when they are smoking. However, he said, legislated smoking bans of any kind are anathema to the group and its individual members.

"Anyone who says there are no safe levels of secondhand smoke, including that which is found outdoors, is totally misinformed. In fact, the Occupational Safety and Health Administration has set safe standards for secondhand smoke. Those OSHA standards are 25,000 times higher than air quality levels found in restaurants and bars. So, whatever wisps of smoke may occasionally waft into a building cannot possibly be unsafe, according to OSHA," McCalla said.

Referencing those people who cite the Surgeon General’s report regarding the alleged adverse health effects of secondhand smoke, McCalla said: "There is absolutely no evidence presented in the report that supports this claim. These misinformed people have been brainwashed by neo-prohibitionists and tobaccophobes into believing otherwise," he said.

"If store owners don’t want smoking in their places of business, they have the right to declare their property smoke-free. And if these property owners don’t want people to smoke outside of their places of business, they have the right to ask people not to smoke there. We support that. But enacting legislation that gives the government authority over these individual property rights we do not support," he said.

"Not only is it not justified from a medical standpoint, it is not a justified deprivation of our personal rights from a constitutional standpoint. Next thing you know, the government will be running our nation’s auto companies, financial institutions and the entire health industry – or trying to."

Michael Gladis of Mad Men - Part III
    January 18th, 2010

Here is Part III and the Conclusion of our interview with Michael Gladis, who plays the pipe smoking copywriter, Paul Kinsey, on AMC TV’s Mad Men. If you missed it in the beginning, Mr. Gladis smokes a pipe in real life, and we enjoyed smoking during the entire interview. We sat down in the private smoking lounge at Davidoff of Geneva in New York City, while we smoked an exclusive blend from Nat Sherman in NYC, called Old Oxford Blend No. 649. Michael liked it so much, that I gave him my bag.

In this last part of the interview we find out what Michael smokes during filming of the show. (He is the only person that gets to smoke real tobacco.)

Read the rest of this entry »

The joint hearing was comprised of the House Health Care and Wellness Committee headed by Rep. Cody and the House Finance Committee chaired by Rep. Hunter. Hunter is seeking ways to offset an anticipated $2.6 billion state budget shortfall while Cody’s stated goal is to “force people to quit smoking.” “Those objectives are counter-productive… - neither happens,” said Joe Arundel, owner of Rain City Cigar Store in Seattle, and member of the Board of Directors of the International Premium Cigar & Pipe Retailers Association (IPCPR).

Olympia, WA (PRWEB) January 17, 2010 — Two Washington state legislative committees were at odds with each other at Thursday’s joint hearing regarding HB2493 aimed at increasing taxes on tobacco products.

The joint hearing was comprised of the House Health Care and Wellness Committee headed by Rep. Eileen Cody of Seattle and the House Finance Committee chaired by Rep. Ross Hunter of Medina. Hunter is seeking ways to offset an anticipated $2.6 billion state budget shortfall while Cody’s stated goal is to “force people to quit smoking.”

“Those objectives are counter-productive when it comes to increasing taxes on tobacco products - neither happens,” said Joe Arundel, owner of Rain City Cigar Store in Seattle, who testified at yesterday’s meeting.

“In fact, increased tobacco taxes cause many smokers to find ways around the higher taxes by engaging in illegal activities such as buying bootlegged products or by making their tobacco purchases in neighboring states where taxes are lower, or by purchasing tobacco products by mail-order or over the Internet. The result is the same: no tax revenues for the state of Washington and a loss of jobs and businesses within the state,” Arundel said.

Arundel is a member of the Board of Directors of the International Premium Cigar & Pipe Retailers Association. The IPCPR is a non-profit organization comprised of some 2,000 primarily small, mom-and-pop businesses that retail, manufacture or distribute premium cigars, pipes, tobacco and related accoutrements.

“People who have never enjoyed premium, hand-made cigars or pipes find it difficult to understand how different they are from cigarettes. Premium cigars and pipes make ordinary moments special and special moments extraordinary. They are indulged in relatively infrequently and are enjoyed for their social value as well as for their taste. That’s the way it’s been for centuries,” said Arundel.

Representing the Cigar Association of Washington was Dale Taylor who reminded the committees that tax reductions and reasonable tax caps on premium cigars and other tobacco products actually generate revenue increases for state treasuries whereas increased taxes cause those revenues to decline precipitously.

Chris McCalla, legislative director of the IPCPR, summarized what he called the principal reasons tobacco taxes should not be raised.

“They are regressive and disproportionately burdensome on lower- and middle-income people. They are an unreliable and unsustainable source of revenue. They are a discriminatory tax on a minority of the population. They hurt local businesses and the overall economy, and they encourage cross-border, black market, and Internet purchases,” McCalla said. “And everyone knows that human nature cannot be legislatively controlled,” he added.

The Chicago Pipe Show 2010
    January 16th, 2010

This is the largest and most well attended pipe show in the US.

Exhibitors and attendees come from all over the world. Last year there were visitors from 65 different countries.

The official show dates are on the weekend, but if you can make it earlier, there are pre-show dates with workshops, seminars and trading. The Pheasant Run Resort (about 45 mins from the Chicago O’Hare Airport) is a beautiful resort with lots of amenities.

Feel free to bring your wife (or significant other). There is a spa, comedy club, theater, fine dining and golf. There is lots of shopping nearby and last year there was an organized shopping day for the ladies.

Official Name:

The Chicagoland Int’l Pipe & Tobacciana Show

Pre-Show Dates:

April 28, 29 & 30 (Wed, Thurs & Fri)

Show Dates:

May 1 & 2 (Sat & Sun)

Post Show:

May 3 (Mon)

Show Schedule:

APRIL 29 (Thursday)

- 5:15PM Craig Cobine/ Dunhill Focus Group
Location: Mega Center

- 7:30PM Tad Gage/ Charatan Focus Group
Location: Mega Center

- 9PM Pipe Makers Only/Private Party
Location: *To be determined

    APRIL 30 (Friday)

    - 7AM Pre-Show registration (first come basis)
    New Location: Smoking Tent

    - 9AM to 4PM CPCC Pre-Show
    Location: Mega Center

    - 9:30AM to 4:30PM Limo & Champagne rides/ High End Shopping Mall
    Location: Resort Main entrance area for Departure

    - 12PM to 5PM Welcome Table, for pick up of exhibitor registration
    information, dinner tickets, payments and questions.
    Location: Mega Center

    - 4PM UPCA Annual Meeting/Vernon Vig
    Location: Ruby Room

    - 5:15 PM “The Mystique of Perique”
    Mark Ryan, owner of D & R Tobacco and Poche’ Perique Tobacco, will give a seminar on “The Mystique of Perique”. He will talk about what Perique is, how it is grown, processed and what it is used for. He will also be there to answer any questions.

    - 7PM to 10PM Welcome Buffet Dinner (free to those attending our Show)
    Location: St. Charles Ballroom

    - 8:45PM International Pipe Makers Forum/French Pipe Makers, including Jacques Craen/ moderator is Rex Poggenpohl
    Location: New Orleans Ballroom

    - 8:45PM Antique Pipe Accessories Seminar /Dr. S. Peckus
    Location: Turquoise Room

    - 9:PM Tobacco Related Arts and Crafts “Silk Scarf Adventure, Part II/
    Linda Cobine. Each attendee will be given an 11” by 60” oblong silk scarf to work with. Linda will show you the various techniques in colors to apply to your scarf, such as the fool-proof aluminum method of painting, the Monet inspired water-color method, the Tom Sawyer technique, etc. Each attendee will be able to take their final colored scarf home, free of charge, as a memory of the 2010 Chicago Pipe Show.
    Location: Broadway Ballroom, above the Main Stage Theater

    MAY 1 (Saturday)

    - 7AM to 10AM Set Up for Pipe Show
    Location: Mega Center

    - 10AM to 5PM Pipe Show
    Location: Mega Center

    - 11ish AM Silent Auction starts
    Location: Mega Center

    - 12PM Private Ladies Luncheon for Exhibitors’ wives
    Location: St. Charles Ballroom Salon 5 & 6

    - 5:PM Show closes for the day

    - 5:15PM
    Location: Turquoise Room
    Mr. Michael Gold, of Arango Cigar Co.
    He will discuss the current and pending Illinois State tobacciana taxes, tobacco availability, tobacco issues with the Food and Drug Administration, what the tobacco industry is currently doing, etc. He will gladly try to answer your questions.

    - 6:30PM CPCC Pipe & Cigar Dinner Cocktail Party
    Location: New Orleans Ballroom

    - 7PM CPCC Pipe & Cigar Dinner
    Location: New Orleans Ballroom
    At this dinner the Doctor of Pipes awards will be given to the new recipients.

    - 9:30PM
    Mr. Rob Cooper
    Location: Turquoise Room
    “The State of the Estate Pipe Market”. Rob will do a question and answer type of forum this year about pipes and the pipe market bringing his audience up to date with the latest in trends of popularity and prices of estate pipes based on the current economic situation.

    - 9:30
    Location: Jade Room
    Presentation pending final confirmation.

    MAY 2 (Sunday)

    - 6:30AM to 9AM Exhibitor Breakfast
    Location: St. Charles Ballroom, Salon 3

    - 8AM to 9AM Pipe Show set up
    Location: Mega Center

    - 9AM to 5PM Pipe Show
    Location: Mega Center

    **Multiple times during the day on Sunday
    Reverse Auction
    Location: Mega Center, where the Silent Auction was on Saturday This is new to the Show and will be run by Judd Perlson. Announcements on the microphone, 30 minutes before starting This will involve the seller of the item to bring his item/s to a specific area and show those gathered what he/she has for sale and to start with his/her highest price and go down with the price until someone bids on the item/s or you decide not to sell the item. If you sell an item, the only cost to the seller (to the Show) is $1.00 for up to $50.00, $2.00 up to $100.00 and $5.00 over $100.00. We have been doing this Reverse Auction at the CPCC meetings and the member’s love it.

    - 12ish PM Show Awards given out
    Location: Mega Center

    - 1PM UPCA Smoking Contest
    Location: Tent

    - 5:PM Show closes

    MAY 3 (Monday)

    - 8AM to 12PM Post Show (last chance to buy before going home)
    Location: Terrace Café Area

    Show Flyer

    Official Show Site

    Pheasant Run Resort

    Videos from Chicago Pipe Show 2009

    Our Coverage of Last Year’s Show

    The 2009 Chicagoland Int’l Pipe & Tobacciana Show

    Chicago Pipe Show 2009 Report