Australia is ramping up its response to the illicit tobacco and vape market, with plans for tougher penalties, new offences, and expanded enforcement powers targeting organized crime, according to the Australian Broadcasting Corporation. More than half of tobacco products sold are estimated to be illegal, generating between A$4.1 billion and A$6.9 billion ($2.9-$4.8 billion) for criminal groups and costing up to A$11.8 billion ($8.3 billion) in lost excise revenue. Proposed reforms include tripling jail terms, enabling asset seizures, and elevating tobacco offences to “serious crime” status.
Former Australian Border Force officer Rohan Pike said stronger penalties would be welcome if “enforced rigorously and in a sustained way,” but cautioned that enforcement alone is insufficient. He noted excise remains an “ongoing imbalance in the market” and argued it “needs to be reviewed… to reduce the incentive for criminals,” while also highlighting the need for greater consistency across state and territory enforcement frameworks.
Authorities said enforcement efforts would increasingly focus on disrupting domestic distribution, including shutting illegal retail outlets, penalizing landlords, and targeting online sales channels, as well as addressing the rapid growth of illicit nicotine pouch imports.