THE HON. KEVIN HOGAN MP
FEDERAL MEMBER FOR PAGE
SHADOW ASSISTANT TREASURER
SHADOW MINISTER FOR FINANCIAL SERVICES
Media Release
Cracking down on illegal tobacco and organised crime.
The Nationals and Liberals have announced a plan to shut down Australia’s illegal tobacco trade and target the criminal gangs behind it.
Legal cigarettes cost around $50 a packet, while illegal packets can sell for just $15-$20. That massive price difference has pushed more people towards the black market.
Federal Member for Page Kevin Hogan said the system is clearly not working.
The Coalition will cut tobacco tax by 80 per cent to close that price gap and make it much harder for illegal sellers to compete. Our plan also includes $200 million to shut down illegal shops, stop illegal tobacco coming across the border and target the criminal networks importing and selling it.
The illegal tobacco trade is funding firebombing’s, extortion, drug trafficking, scams and money laundering in Australia.
“Criminal gangs are profiting millions selling illegal cigarettes and vapes. We need to shut down the shops, stop the supply and go after the people behind it,” Mr Hogan said.
Under the Coalition’s policy, vapes and nicotine pouches will be legalised and regulated for adults, with strong protections to keep them out of the hands of children.
A further $60 million will go towards educating Australians about the criminal networks behind the illegal trade.
ABS data shows consumption of tobacco increased by around 30 per cent between the end of 2021 and the end of 2025.
“We want fewer people smoking and vaping, especially young people. But the current approach hasn’t worked – it’s just handed a huge market to organised crime,” Mr Hogan said.
Independent Parliamentary Budget Office modelling estimates the plan would improve the Budget by more than $20 billion over 10 years. Under our plan, we shut down the black market, bring those sales back into the legal economy and put that revenue back where it belongs, with taxpayers, helping fund services like healthcare.
ENDS
9 September 2026
Media:
Kevin Hogan: 0428 291 307
Immy Cook: 0419 821 142