Don't touch the stuff myself, but fish can smell things far beyond our ability to measure, and I routinely use either scent or bait to cover up my natural predatory stink.

Smoking while fishing causes other problems with catching fish. A freind and I were fishing the Poo years ago on a muddy slow day. He was a smoker and had just lit one up and stuck it in his mug when he had a bite and set the hook. The line hit the lit end, it burnt it a little bit, and it snapped on the first run. We then proceeded to observe a 20+ pound steelie jump all over the river trying to throw the hook and line Only bite all day Yes, he quit smoking while fishing :p