The lucrative illicit tobacco trade has resulted in arson attacks against sellers. Photo: Victoria Police.
The Federal Government is set to crack down on the illegal tobacco trade in Australia, which until now has appeared too widespread an issue for the law to be able to handle.
With tobacconists opening up across the nation in ever-increasing numbers and becoming bolder and more open in the way they promote their cheap cigarettes and tobacco, the problem has gotten out of hand.
Criminal elements behind the illegal trade have even engaged in wars against each other, with cases of some tobacconists having shops set on fire or otherwise destroyed.
The government says it’s had enough and is going to do something about it.
Home Affairs Minister Tony Burke has announced the establishment of a new multi-agency and cross-jurisdictional umbrella group to tackle the Illicit trade.
To be known as the Illicit Tobacco National Disruption Group, the minister said its sole purpose is to strengthen Australia’s fight against criminals in the illicit tobacco market.
“This is a first-of-its-kind whole-of-government response, demonstrating the … government’s commitment to combating the trade of illicit tobacco and protecting the Australian community at all levels of the supply chain,” he said.
“In addition to joining forces with federal agencies, we have also harnessed the powers of state and territory agencies to fight the illegal tobacco trade at the border, the warehouse and retail environment.
“Our message is clear: if you profit from illicit tobacco in Australia, you are operating illegally, and you will be the target of the Illicit Tobacco National Disruption Group.”
Led by Australian Border Force, the group will represent a new era in illicit tobacco enforcement by partnering with traditional and non-traditional federal, state and territory partners to disrupt mid-level criminals and enablers operating in the illicit tobacco trade.
It will include all state and territory police forces as well as the Australian Federal Police, the Australian Criminal Intelligence Commission, Austrac, the Home Affairs Department, the Health Department (including the Therapeutic Goods Administration), the Australian Tax Office, the Agriculture Department, Services Australia, and the Illicit Tobacco and E-Cigarette Commission.
It will also be collaborating with state and territory law enforcement and regulators to ensure a nationally coordinated response.
Its operating model will harness each partner’s unique enforcement and intelligence powers to help break the business model of the illicit tobacco and vape trade.
Working alongside the ABF-led Illicit Tobacco Taskforce, it will target mid-level criminals and enablers operating within small businesses, intermediaries and sole traders who import, distribute or sell illegal tobacco.
Home Affairs Minister Tony Burke said the illicit tobacco trade is part of the convergence of threats facing Australia. Photo: Facebook.
The group will also target the sale of illicit tobacco at the consumer level, which will complement the work of local police to respond to non-organised illicit tobacco crime.
Mr Burke said agencies within the group will use the full suite of government capabilities – legislative, regulatory, intelligence and enforcement – to “creatively and strategically” target those profiting from illicit tobacco and vapes.
He said successful investigations will eliminate profit incentives by making the market economically unsustainable for operators, protect community health by reducing the availability of unregulated tobacco products and recover government revenue lost to the illicit trade.
“The concept of illegal tobacco has sort of always been with us and is in every country of the world pretty much, you know, it’s a really common thing,” the minister told the ABC’s Insiders program on Sunday morning (19 October), acknowledging that it has ballooned in Australia in the past few years.
“So as that increase has happened, it’s always meant we’ve had to look at how the impact here is on organised crime.
“And I think when people started looking at this debate, they were looking at it in terms of loss of government revenue.
“When I meet with the police ministers now, we are all looking at this in terms of a challenge for us in dealing with organised crime, because when you’re talking about organised crime, and this is this whole convergence issue I’ve been talking about, there is a convergence of threats now.
“So the same criminal groups are involved in organised tobacco, you’ll have some of them in forms of arson, you’ll have some of them involved in the drug trade, they’ll be involved in child exploitation.
“All of these things start to interlink. So everything we can do to attack those networks helps with the full range of issues.”
The National Disruption Group has been established using part of the $188.5 million provided to the Australian Border Force to combat illicit tobacco.
ABF Commissioner Gavan Reynolds said the group’s creations represents a new era in illicit tobacco enforcement.
“This new group will target the mid-level criminals and enablers, importing, selling and distributing illicit tobacco across the country, ensuring there are no safe zones for criminal operators in this space,” he said.
“Our goal is simple: to break the business model that makes illicit tobacco profitable. We will make the current operating environment hostile for anyone trading in illicit tobacco.
“That means continued focus action against organised syndicates and now the smaller actors and enablers who fuel the market.“
