Black market tobacco industry targeted with massive $161k fines

Illicit tobacco and vape operators will face on-the-spot fines of up to $161,300 from today as the state government attempts to financially cripple the booming black market industry.

The government is cracking down on the illicit tobacco trade in Queensland.

Illicit tobacco and vape operators will face on-the-spot fines of up to $161,300 from today – a whopping ten-fold penalty increase – as the state government attempts to financially cripple the booming black market industry.

Health Minister Tim Nicholls said the changes were made to protect Queensland children and take away the financial incentive for illegal “chop shops” to operate as police grapple with increasing cases of tobacco shopfronts being firebombed and ramraided.

The extraordinary increase comes after Mr Nicholls revealed in The Sunday Mail in January the government was investigating more extreme measures to interrupt supply chains with the previous $3226 fines for individuals and $16,130 for companies not deterring operators.

“We promised a crackdown and with tougher penalties to hit illegal operators in the hip pocket we’re smoking out illegal vapes so they don’t fall into the hands of our kids,” Mr Nicholls said.

The previous Labor government’s legislation introduced in September was touted as the toughest in the nation, with two-year jail terms and fines ranging from $322,000 to $1.6m.

Critics of the legislation said the process of going to court was too drawn out to cripple operators quickly and effectively, and tougher on-the-spot fines were needed as well.

Mr Nicholls labelled the previous legislation “a joke”.

“Labor’s fines were nothing more than a slap on the wrist, this ten-fold increase in fines will send the strong message we mean business,” Mr Nicholls said.

Tim Nicholls, speaks at Question Time in QLD Parliament, Brisbane. Photo: Steve Pohlner

The extreme changes made to the Tobacco and Other Smoking Products and Other Legislation Amendment Regulation 2025, the State Penalties Enforcement Regulation 2014 and the Tobacco and Other Smoking Products Regulation 2021 come into play today, April 3.

Individuals who supply illicit tobacco or nicotine products will now face fines of $32,260, up from $3,226, while corporations who supply face fines of $161,300, up from $16,130.

Penalties have also grown 10-fold for individuals caught in possession of illicit tobacco or nicotine products — they will be fined $16,130 and corporations $80,650.

The sale or possession of zyns (nicotine pouches) and illegal vaping products can also be hit with fines.

Prior to the changes, offences relating to vaping goods could only be prosecuted through the court system.

Fines can be issued as an alternative to prosecuting the offences through the courts.

However, if prosecuted, people supplying illicit tobacco, vapes and nicotine pouches still face court ordered penalties of up to two years’ imprisonment and/or fines of up to $322,600 for individuals or $1.6 million for a corporation. .

Queensland Health works with the Queensland Police Service and federal agencies like the Therapeutic Goods Administration (TGA) and Border Force to disrupt and prevent the supply of illegal smoking and vaping products.

This financial year, Queensland Health enforcement officers have seized more than 14 million illicit cigarettes, 3.5 tonnes of loose tobacco and 130,000 vapes.

They have undertaken more than 2000 enforcement actions, including written warnings, improvement notices, on-the-spot fines, seizures and legal proceedings.

The importation of disposable single-use vapes was also banned by the federal government from January 1.

The government is cracking down on the illicit tobacco trade in Queensland.

Originally published as Black market tobacco industry targeted with massive $161k fines