Nicotine use soars by 40% in eight years as Australian black market explodes

In 2017, only 12% of the total tobacco consumed was from illicit sources. By 2025, that had risen to 80%. Photograph: Jenny Kane/AP View image in fullscreen In 2017, only 12% of the total tobacco consumed was from illicit sources. By 2025, that had risen to 80%. Photograph: Jenny Kane/AP Nicotine use soars by 40% in eight years as Australian black market explodes Australian Bureau of Statistics estimates nicotine consumption rose 40%, with illicit sources accounting for 80% of all tobacco Follow our Australia news live blog for latest updates Get our breaking news email , free app or daily news podcast Australians are consuming more nicotine than they were eight years ago but are spending less, new data from the Australian Bureau of Statistics shows, as 80% of the cigarettes smoked by the nation last year were cheaper illegal products. The analysis released by the Australian Bureau of Statistics (ABS) on Wednesday showed the amount of nicotine consumed around the country soared by 40% between 2017 and 2025, despite population growth rising by just 14%. The ABS said the growth was driven by illegal tobacco and increases in e-cigarettes and other products. In 2017, only 12% of the total tobacco consumed was from illicit sources. By 2025, that had risen to 80%. Sign up for the Breaking News Australia email More Australians accessing cheaper illegal products has resulted in the dollar value of household spending on cigarettes dropping to levels similar to those seen in 2016, the ABS analysis found. It said the cost of legal cigarettes had tripled since then, but the price of illegal tobacco products had remained relatively constant. Big tobacco is exploiting fears of the illicit market to unwind health gains, experts warn Read more The release of the figures marked the first time the ABS has provided estimates on illegal tobacco consumption, after it began developing methods to assess how the economic impact of the trade “would be conceptually treated” in Australia’s national accounts. It noted that the estimates, which were assisted by nicotine metabolite concentrations detected in wastewater samples, were experimental and the method and data sources could change. The New South Wales health minister, Ryan Park, told Guardian Australia the data was “unsurprising” and pointed to a “growing disparity between the cost in legal and illicit tobacco, created by the federal government’s tobacco excise ”. “As we face one of the toughest cost-of-living challenges in living memory I can only see excise-free products become more and more attractive,” he said. “This public health failure has seen states and territories have to dedicate further resources in licensing, enforcement and in dealing with the healthcare challenges that result from it.” Last year, the amount of money going to government coffers from high taxes on legal tobacco dropped to the lowest level in 14 years , creating a $6.9bn hole in the federal budget as the illegal tobacco market boomed. The