Transcripts and Audio
The trade in illicit tobacco products in Australia has widespread negative consequences across the community. Tobacco growing operations are not run by small producers or farmers. They are run by organised crime syndicates who deliberately engage in illegal activities to fund their extravagant lifestyles and other criminal activity.
Involvement in illicit tobacco production is a serious offence – it’s not victimless. This type of activity takes vital money away from the community and places it directly into the hands of organised crime syndicates.
Engaging in the illicit tobacco trade is not victimless. It significantly deprives the community of taxes that are required to fund essential community services such as roads, schools and hospitals.
I urge people to report any activity they suspect may involve the production of illicit tobacco. Signs to look out for include intense labour production between November and May, suspicious enquiries about land for lease, unexplained use of water resources, and large crops of leafy plants that may resemble kale, cabbage or corn.
Public tip offs build on the intelligence we gather from a range of sources and help us to identify, seize and destroy these illicit crops before they are harvested and sold on the black market. If you suspect that illegal tobacco is being grown or manufactured in your community, you can confidentially report it online, at or by calling 1800 060 062.
We’re seeing an upwards trend in the number of referrals to our tip-off line from people who know or suspect phoenix, tax evasion or black economy behaviour, which suggests that the community, as well as honest businesses, have had enough of those who are cheating the system and getting an unfair advantage.
If you see a crop of tobacco, you can be certain it is not legal. It has been illegal to grow tobacco in Australia for more than a decade. If convicted, growing tobacco carries a maximum penalty of up to 10 years’ imprisonment.
The ATO estimates that illicit tobacco, costs the Australian community $647 million in lost revenue each year. Money that otherwise would have funded essential community services such as hospitals, roads and schools.
