Tobacco excise revenue has shrunk to a nine-year low as smokers turn to the black market for cheaper cigarettes, prompting calls for the federal government to boost enforcement to plug the growing shortfall.

The federal government collected just $9.7 billion from the tobacco excise last financial year, according to Treasury, a 40 per cent fall from the record $16.3 billion haul in 2019-20 and the lowest take since 2014-15.