Police ministers from across the country are calling for stronger federal action on Australia’s booming black market tobacco trade. With state forces carrying the load of enforcement, ministers argue that Canberra’s continual tax hikes have only made the problem worse, creating a windfall for organised crime groups.
A Growing National Problem
The illicit tobacco market has expanded rapidly in recent years. While official figures suggest smoking rates are falling, many of those figures don’t account for consumers turning to cheaper, illegal products. At the same time, tobacco excise collections continue to climb, adding hundreds of millions of dollars in revenue for the federal government.
State police ministers say the constant increase in excise has created an environment where smuggling and black-market sales are thriving, leaving communities exposed and legitimate retailers struggling to compete.
States Fighting Back
Several states have already introduced new measures to fight the spread of illegal sales. In New South Wales, authorities have seized large quantities of illicit products and new laws are being rolled out to target landlords who knowingly lease shops to black-market traders. Penalties of up to $1.5 million, lengthy jail terms, and closure orders are part of the crackdown.
Queensland has also toughened its laws, conducting raids and introducing what it calls the nation’s strictest penalties to disrupt the trade. Tasmania and Victoria are likewise pushing for a coordinated national approach, warning that without federal involvement, states will continue to play catch-up against highly organised syndicates.
Why This Matters for Service Station Owners
For independent operators, the issue goes beyond public health. The presence of cheap, illegal tobacco undermines your legitimate business, cutting into sales while fuelling crime in local communities. State-level enforcement is improving, but without tighter controls and a coordinated federal response, the problem will persist.
The takeaway is clear: the illicit tobacco market isn’t just a government issue, it’s one that affects everyday retailers. The louder the call for national action, the sooner legitimate businesses can operate on a fair playing field.
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