The Australian Customs’ 2007-08 Annual Report found the number of detected illicit tobacco importations into Australia has substantially increased in recent years.

The quantity of loose tobacco, also known as “chop-chop”, detected was 287,455kg compared to 67,422 kg in 2006–07.

Source: Australian Customs 2007-08 Annual Report http://www.customs.gov.au/site/page.cfm?u=4431

In 2008, there was a significant increase in the seizures of illicit cigarettes representing 106.8m cigarettes, compared to 39.8m cigarettes in 2006 - 2007.

Source: Australian Customs 2007-08 Annual Report http://www.customs.gov.au/site/page.cfm?u=4431

A 2010 Price Waterhouse Coopers (PWC) report into Australia’s illegal tobacco market shows that the illicit tobacco market has grown by 28% from an estimated 1.8 million kilograms of illegal tobacco to 2.3 million kilograms. This represents a tax revenue loss of approximately $624 million (excluding GST) for the Australian Government. The report further shows that there is a partial shift away from unbranded tobacco to counterfeit and contraband products.

Australian Reports and Studies

PWC Study – 2010

Illegal Tobacco: counting the cost of Australia’s black market

Click here for the full report

PWC Study – 2007

Illegal tobacco trade: Costing Australia millions. Strategies to curb the supply and use of illegal tobacco products

Click here for the full report

37.8% of all Australians aged 14 years and over are aware of “chop-chop”. Over 20% of the people who have smoked chop-chop use it as their regular tobacco product.

Source: Illegal tobacco use in Australia: how big is the problem of chop-chop? Centre for Health Research and Psycho-oncology, The Cancer Council New South Wales, and University of Newcastle, Hunter Medical Research Institute