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flag Over half of Australian cigarettes are now illegal, driven by high taxes and black-market sales.

flag More than half of cigarettes sold in Australia are now illicit, with estimates ranging from 55% to 60% in the 2024–25 financial year, costing the government up to $11.8 billion in lost excise revenue annually. flag The surge is driven by steep tobacco excise increases that raised legal pack prices above $40, while black-market packs sell for under $15. flag Despite record tax revenue in 2019, collections have declined sharply as consumers shift to unregulated, cheaper alternatives. flag Authorities seized a record 2,244 tons of illicit tobacco in 2024–25 after a $300 million funding boost. flag The Illicit Tobacco and E-cigarette Commissioner warns the trade undermines public health, fuels organized crime, and threatens decades of progress in reducing smoking, urging stronger enforcement and consumer awareness instead of excise cuts.

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