Plain packets lead to black market cigarettes

The Federal Government’s determination to proceed with plans to introduce plain packaging for tobacco products ignores the threat of an increased trade in black market cigarettes.
A report prepared by consulting firm Deloitte released last month shows that illicit tobacco’s share of the market has grown significantly in the past 12 months now representing the equivalent of approximately 15.9 per cent of the total tobacco consumption in Australia. This growth has occurred since April last year when the government sharply increased the tax excise on tobacco and announced it was introducing plain packaging.
My biggest worry is that plain packaging will further increase the amount of illicit and counterfeit tobacco in our community. Common sense says plain packaging makes it easier for organised crime gangs to sell cheap, black market cigarettes. This is just plain dangerous.
As a small businessman and father of three teenage children, I am worried plain packaging increases the risk of children and teenagers getting hold of illegal, cheap cigarettes – the government hasn’t thought this through.   Plain packaging will punish small business and will put our children at risk from black market cigarettes.
That’s why I have joined The Alliance of Australian Retailers to fight the Federal Government’s plain packaging policy – a policy that won’t work, but have negative consequences for small business and the community.
Craig Glasby
President of the Service Station Association

Craig Glasby is President of the Service Station Association. He owns and runs Grocery Central at Liberty Empire Bay on the Central Coast, NSW

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