A proposal to reduce tobacco excise by 80% and legalise vapes and nicotine pouches has been announced by Angus Taylor and Nationals leader Matt Canavan in Australia. The plan aims to combat the illicit tobacco trade, which reportedly controls over half of all sales in Australia.
Under the Coalition's proposal, the excise on a standard packet of 20 cigarettes would decrease from approximately $30 to $6. The plan also includes a $200 million investment in law enforcement to target illicit sales, with increased funding for agencies such as the Australian Border Force and federal police.
However, leading public health experts, the Australian Medical Association (AMA), and the Labor party have rejected the plan. AMA president Danielle McMullen stated that making cigarettes more affordable could undermine public health efforts and potentially lead to an increase in smoking rates, particularly among young people and those facing socioeconomic disadvantage.
World Health Organisation expert Benn McGrady noted that the WHO recommends governments globally raise tobacco taxes to reduce affordability and demand, thereby lowering the burden of disease. Labor frontbencher Tanya Plibersek also criticised the plan, arguing that it "will kill people" and undermine Australia's low smoking rates.