Coalition unveils plan to slash tobacco tax, legalise and regulate vapes
The Coalition proposes slashing tobacco excise by 80%, legalising vapes, and boosting enforcement to combat the illicit market.Summary
The Coalition has announced a comprehensive plan to reduce the tobacco excise by 80%, aiming to lower the price of a 20-pack of cigarettes from approximately $30 to $6. This drastic reduction is intended to undercut the thriving black market, which currently accounts for over 80% of nicotine product consumption. The policy also includes legalising and regulating vapes and nicotine pouches, imposing a low excise rate of 50 cents per millilitre for vapes and 2.5 cents per milligram for pouches. To support these measures, the government plans to invest $260 million in a public awareness campaign and a nationwide law enforcement surge to target organised crime. Critics, including Labor and public health experts, argue that lowering taxes will encourage smoking and that the black market will simply lower prices to compete. The Coalition maintains that the policy will dismantle the criminal enterprise behind the illicit trade.
(Source：ABC News & Headlines – Australian Broadcasting Corporation)
