Nicotine use rises 40% in eight years as illegal tobacco surges

The Australian Bureau of Statistics analysis shows nicotine consumption rose 40% between 2017 and 2025, while population growth climbed just 14%. The increase was driven by illegal tobacco and by e-cigarettes and other products; illicit sources accounted for 12% of tobacco consumed in 2017 and 80% in 2025.

More Australians accessing cheaper illegal products has pushed household spending on cigarettes back to levels similar to 2016, even though the cost of legal cigarettes has tripled since then and the price of illegal tobacco has remained relatively constant. The ABS provided estimates on illegal tobacco consumption for the first time, using methods that included nicotine metabolite concentrations detected in wastewater, and described the figures as experimental, with methods and data sources subject to change.

There has been political and fiscal fallout: revenue from high taxes on legal tobacco fell to its lowest level in 14 years, creating a $6.9bn hole in the federal budget.

Australia

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