PENFOLD BACKS COALITION POLICY TO END ILLICIT TOBACCO MARKET

AUSTRALIA must smash the illicit tobacco market that is fuelling organised crime, hurting legitimate businesses and making a mockery of our laws.

Federal Member for Lyne Alison Penfold has backed the Coalition's comprehensive plan to attack the criminal business model behind illegal tobacco — including an 80 per cent reduction in tobacco excise and a $200 million nationwide law-enforcement surge.

“Illicit tobacco is not a victimless crime. It has become big business for organised crime,” Ms Penfold said.

“The Coalition's plan attacks the economics making this market so profitable, while giving law enforcement the resources to smash the gangs behind it.”

The plan would cut tobacco excise by 80 per cent, reducing the excise on a standard packet of 20 cigarettes from around $30 to just over $6.

It would also provide $200 million for law enforcement to target criminal networks, supply chains and proceeds of crime; bring vapes and nicotine pouches into a legal, regulated and taxed adult market with protections for children; and fund a national education campaign.

Ms Penfold said legitimate retailers were paying the price for the failure to control the illegal trade.

“I have heard this message too often across the electorate. Small businesses doing the right thing should not have to compete against criminals operating outside the law.

“But nor do I want to demonise Australians who have been drawn into the illegal market because the price difference has become so enormous.

“People should understand that money spent on illegal tobacco can ultimately flow to organised crime. Our job is not simply to lecture them — it is to give them a realistic pathway back into the legal market.

“That means making the legal market competitive again and then coming down hard on the criminals who continue to operate outside the law.”

Ms Penfold said the Coalition had taken a considered approach to developing the policy.

“The Coalition has been doing the work on illicit tobacco for months — through the Senate inquiry, consultation, a dedicated Coalition taskforce and detailed policy development.

“We also worked with the independent Parliamentary Budget Office to model the excise changes and determine what was needed to substantially remove the price advantage driving the illegal market.

“There is a big difference between announcing an idea and developing a policy that has been tested, modelled and can actually be implemented.

“The Coalition has done that work because Australians should expect an alternative government to be ready to govern.”

Ms Penfold urged the Albanese Labor Government to act rather than wait until the next election.

“The Coalition has put a comprehensive plan on the table. Labor now needs to tell Australians what it is going to do.

“We need to shut down the criminal supply chains, protect legitimate businesses and stop handing organised crime an extraordinarily profitable market.”

ENDS