Instutute a Smoker Licensing Program, if you are caught smoking without a licence (random checks) or buying tobbaco without one (a retailer licence for non-smokers who want to sell it would be needed so they could buy it) you get fined or otherwise punished. The good bit is that you then deny healthcare to smokers suffering from respiratory problems (barbaric country without universal healthcare would need some other deterant, but the thought of having to PAY for treatment when they get lung cancer ought to scare people who weren't expecting it) Even if it doesn't cut down on smoking, it would cut down on healthcare costs.