The only money directly allocated to combat illegal tobacco in this year’s NSW state budget is going towards maintaining an anti-vaping app, despite a surge in black market activity. The Minns government is facing criticism over its perceived inaction as illicit tobacco sales continue to rise.
This year, just $2.4 million has been set aside to support the “Pave” app, which aims to help young people quit vaping. Meanwhile, a broader allocation of $48.5 million is included in the budget over the next five years to expand enforcement and launch a new licensing scheme for tobacco sales.
Critics argue this approach is insufficient given the rapid growth of illegal tobacco operations. Opposition health spokeswoman Kellie Sloane said the limited funding shows that NSW is lagging behind other states that are taking stronger action against black market tobacco.
Sloane noted that while educational tools like Pave are important, they must be supported by tough enforcement measures to address the supply side of the problem. She pointed out that new illicit tobacco shops continue to appear in urban areas, generating huge profits for organised crime groups and endangering youth by promoting smoking and vaping.
She also highlighted that other east coast states have introduced harsher penalties and enforcement strategies, making NSW a weak link in the broader national effort to crack down on illegal tobacco.
Last year’s state budget included nearly $35 million for anti-tobacco initiatives. That included a $2.5 million investment from Cancer Institute NSW to develop the Pave app and enhance the existing iCanQuit platform. However, this year’s funding for similar programs has dropped considerably.
The decline in funding comes amid a dramatic increase in businesses registered to sell tobacco rising from 15,000 to 20,000 over the past five years raising concerns about regulation and oversight.
NSW Health Minister Ryan Park defended the government’s record, saying that the rise in illegal tobacco and vaping occurred under the previous Liberal administration. He said the former government allowed the black market to flourish with just seven tobacco inspectors in place and no formal licensing system.
Park said the $48.5 million commitment over five years will support several initiatives, including hiring 14 more inspectors, implementing a comprehensive licensing scheme, and maintaining support tools for quitting smoking and vaping.
Under the new scheme, all tobacco retailers and wholesalers in NSW will be required to hold a license by October 1. Failure to comply will result in penalties potentially reaching six figures, in an effort to disrupt unregulated sales and strengthen accountability.
While the government says enforcement will ramp up through these planned measures, critics argue that immediate and targeted investment is needed to stem the growth of illegal tobacco. They say public health and law enforcement efforts must go hand in hand to deal with the complex mix of organised crime, youth addiction, and regulatory failure contributing to the problem.
As the issue continues to escalate, attention will likely remain fixed on how effectively the Minns government can balance prevention, education, and enforcement in curbing both illegal tobacco and youth vaping in NSW.
For the latest retailer news and information, check out the ServoPro website or to speak to us about how we can help your business contact us.