Dutch authorities seized 1.2 million counterfeit cigarettes from a van near the German border during a joint Dutch-German police operation on the A7 near Bad Nieuweschans, arresting one suspect and transferring the case to customs for investigation. The seizure brings total illicit cigarette seizures in the Netherlands to 106 million so far this year, as authorities step up enforcement against tobacco smuggling amid high cigarette prices that have fueled demand for black market and cross-border tobacco purchases.
Tag: illicit tobacco
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Labor Premier Breaks Ranks on Australia’s Tobacco Tax Policy
Calls are growing in Australia for the federal government to reconsider tobacco excise policy, with critics arguing high cigarette taxes are fueling the illicit tobacco market. NSW Premier Chris Minns said the “massive” excise, which adds about A$30 ($21) to a 20-pack of cigarettes, has created a price gap that benefits illegal sellers. He said the policy needs to be reviewed while emphasizing his opposition to smoking and tobacco companies.
Former law enforcement officials and lawmakers also warned that seizures alone are not addressing the scale of the illicit trade. Former Australian Federal Police and Australian Border Force officer Rohan Pike said enforcement efforts are only capturing a small portion of illegal tobacco entering the country, while Liberal MP Mary Aldred said the black market is contributing to organized crime concerns. The federal government has rejected lowering excise and said it remains focused on enforcement and border seizures.
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Australia’s Tobacco Use Down, Pouches & Black Market Up: Survey
Australia’s latest National Drug Strategy Household Survey shows daily smoking continues to decline, with the number of daily smokers falling by more than half since 2001 to about 1.3 million Australians, while 68.7% of people aged 14 and older report never having smoked. The 2025 survey also found daily e-cigarette use has largely plateaued since 2022, with frequent vaping among 18- to 24-year-olds dropping from 11.3% to 5.8%.
However, researchers highlighted emerging challenges, including rising illicit tobacco use and nicotine pouches. The survey found one in three smokers now purchase black-market cigarettes — double the proportion reported in 2022 — while use of three or more nicotine products has tripled since 2019, signaling growing concern over poly-nicotine use despite overall declines in smoking.
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Indian Consumer Group Calls for Illicit Trade Task Force
India’s Consumer Online Foundation (COF) urged the Prime Minister’s Office to establish a National Task Force on Illicit Tobacco Trade under the Cabinet Secretariat or PMO to combat the growing market for smuggled cigarettes, counterfeit tobacco products, and illegal nicotine products. In a letter to the government, the consumer advocacy group said illicit trade is undermining India’s tobacco control efforts by eroding tax revenues, bypassing health regulations and age restrictions, and strengthening organized crime.
The COF proposed a multi-agency task force involving the ministries of health, finance, home affairs, and commerce, along with customs and enforcement agencies, to develop a national anti-illicit tobacco strategy focused on intelligence-led enforcement, border security, counterfeit manufacturing, market surveillance, and consumer reporting. The foundation also called for a 100-day action plan and pointed to international experience, including Australia, arguing that tobacco taxation must be supported by robust enforcement to prevent consumers from shifting to illegal markets.
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Authorities Seize $7M in Illegal Tobacco, Vapes in Tasmania
Tasmanian authorities seized nearly A$10 million ($7 million) worth of illicit tobacco and vaping products during the 2025-26 financial year, including 5.43 million cigarettes, 2,535 kilograms of loose tobacco, and nearly 30,000 illegal vapes, following intensified enforcement efforts and closer cooperation between the Department of Health and Tasmania Police. The seizures come as the state implements tougher laws targeting illicit tobacco and vape sales, including higher penalties, new business closure powers, and restrictions on vending machine sales. At the same time, Tasmanian officials are urging Australia’s federal government to reduce tobacco excise taxes, arguing that high cigarette prices are fueling black market growth, reducing excise revenue, and strengthening organized crime despite continued declines in smoking rates.
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Philippine Authorities Pushing for Tougher Penalties in Illicit Tobacco Fight
Philippine lawmakers and prosecutors are calling for stronger prosecution efforts to combat the country’s growing illicit tobacco trade, arguing that product seizures alone have failed to deter organized criminal networks. Speaking at the Third International Tobacco Summit, House Public Order and Safety Committee Chair Rolando Valeriano urged law enforcement to prioritize securing convictions, while noting that illicit trade remains highly profitable if offenders are not held accountable. The push comes as a recent EU-ASEAN Business Council and Euromonitor International study estimated the Philippines lost about ₱141 billion ($2.3 billion) in tax revenue over the past two years due to illicit tobacco products, with illegal products accounting for roughly one-quarter of cigarette sales and more than 80% of vape sales.
Officials also highlighted proposals for an Anti-Illicit Trade law that would strengthen prosecutions, improve interagency coordination, and introduce track-and-trace technology, while prosecutors acknowledged that many existing cases require additional evidence before they can proceed to trial.
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Philippines Seizes $48M in Illegal Cigarettes
Philippine authorities are preparing to destroy more than ₱3 billion ($48 million) worth of smuggled cigarettes after seizing 59 container vans of the Modern Gia brand in coordinated operations across Cebu and Manila. The Bureau of Customs and the National Bureau of Investigation said the shipment, believed to have originated in China, is one of the country’s largest cigarette smuggling busts this year and announced plans to file multiple criminal charges against those involved, including financiers and organizers, under customs, tax, anti-economic sabotage, and potential intellectual property laws.
Officials said the cigarettes will be shredded rather than auctioned to prevent them from re-entering the market, while investigations continue into the shipment’s origins, associated companies, and any public officials who may have facilitated the operation.
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Bangladesh Banking on Technology to Fight Illicit Tobacco
Bangladesh’s government unveiled a technology-driven strategy to combat illicit tobacco trade as part of its FY2026-27 budget, aiming to strengthen tax enforcement, protect government revenue, and support public health goals. Central to the plan is a comprehensive Track and Trace system that will use AI-enabled cameras, automated production counting devices, and QR or AR-coded tax stamps to monitor tobacco manufacturing and distribution in real time. Finance Minister Amir Khosru Mahmud Chowdhury said tobacco taxation remains a critical tool for both revenue generation and public health, with the new measures designed to create a more modern, transparent, and technology-based VAT system while reducing tax evasion across the tobacco supply chain.
The proposal also includes a mobile app that allows the public to report illicit tobacco products directly to the National Board of Revenue, along with a whistleblower reward program to encourage reporting of smuggling and illegal sales. Additional measures include restricting cigarette and bidi paper imports to authorized manufacturers, imposing a 300% supplementary duty on cigarette filter materials and a 350% duty on nicotine granules and nicotine pouches, while raising minimum cigarette retail prices and setting maximum prices and excise duties for nicotine pouches and heated tobacco products. The government said the combined approach of digital monitoring, stronger enforcement, and higher tobacco taxes is intended to curb illicit trade, although estimates of Bangladesh’s illicit cigarette market vary widely, ranging from about 5.6% in an independent study to more than 18% according to industry estimates.
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Malaysian Police Bust International MDMA Hub
Malaysian police dismantled a foreign-run drug syndicate that allegedly used the country as a processing and packaging hub for MDMA-laced vape cartridges destined for Indonesia. In Operation Pijat, authorities arrested eight foreign nationals in Selangor and seized approximately 500 vape cartridges containing suspected MDMA, nearly 5 kg of the drug, and bottles of liquid MDMA with an estimated street value of RM152,400 ($38,000). Police believe the group had been operating since February, using remote locations to prepare the illicit products before smuggling them by sea, and said the syndicate had likely completed several overseas shipments before the operation disrupted its activities.
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Illicit Trade Picking Up in Wales
Authorities in Newport, Wales, say their city has become a hotspot for the illicit tobacco and vape trade, having already identified 17 businesses selling illegal products since January 2026 and taking enforcement action against 14, including closures and prosecutions. Trading Standards seized 272,740 illicit cigarettes, 85.25 kg of hand-rolling tobacco, and 9,694 illegal vaping devices so far this year, following 59 seizures and 46 closure orders in 2025.
With 9.8 vape shops per 100,000 people, Newport ranks eighth in the U.K. for vape shops per capita, fueling concerns over the rapid growth of the sector as officials say the illegal trade undermines legitimate retailers and is linked to wider criminal activity.