A Halifax convenience store owner thinks an increase in taxes on cigarettes will drive smokers to cheaper brands or the black market.

The NDP government included the tax increase in this budget. As of Friday, each cigarette is taxed an extra two cents. That brings the average price of a pack up 50 cents, and a carton will go up by about $4.

"People still continue to smoke," said store owner Ratnma Mohan. "The difference is that when the price goes up so high as it is now, they go to a different place to get cheaper brands."

Mohan expects her sales will drop by nearly 25 per cent as more smokers turn to the black market.

"It has got a very negative impact on our sales," she said. "That is a big hit on small business people."

The province said the two cent increase could add up to an additional $18 million in revenue this year.

The price of cigarettes went up in all four Atlantic provinces this month.

Advocates approve

When it collects the new money, the province will use $400,000 on anti-smoking programs.

Krista McMullan, President of Smoke Free Nova Scotia, applauds the tax hike.

But she believes the government has missed an opportunity.

"We are extremely disappointed that they are not fully funding the tobacco strategy that they released in April, 2011," she said.

As for smokers, some say the extra cash likely won’t add up to a resolution to quit.

"It hasn’t stopped me since it was $10 pack," said Brad McNabb.