$7 Billion Crime Wave: Canberra Moves to Choke Black Market Tobacco

Research tracking 178,000 people estimates that smoking now kills more than 24,000 Australians each year—equivalent to 66 deaths a day.

Signage on a shop selling smoking products in Melbourne, Australia, on Oct. 28, 2023. Susan Mortimer/The Epoch Times

A booming black market in tobacco—now estimated to make up more than half of all sales—has prompted a major legislative push to curb organised crime and choke off billions in illicit profits.

Assistant Minister for Citizenship and Customs Julian Hill introduced the Combating Illicit Tobacco Bill 2026 on March 26, warning that the problem has escalated from a health issue into a “serious criminal enterprise” threatening national security.

The Scale of the Crisis

Official estimates reveal that between 50 and 60 percent of all tobacco products sold in Australia are now illicit. Organised crime groups are reaping staggering profits, estimated between $4.1 billion and $6.9 billion annually.