Australian Health Minister Warns Illegal E-cigarette Sellers: Find Alternative Revenue Methods

Regulations by 2FIRSTS.ai
Jan.12.2024
Australian Health Minister Warns Illegal E-cigarette Sellers: Find Alternative Revenue Methods
Australian Health Minister, Mark Butler, warns businesses selling illegal e-cigarettes to find other sources of profit.

According to a report from the Daily Mail, Australian Health Minister Mark Butler has issued a warning to retailers who sell illegal e-cigarettes on the market that they will have to find alternative means of making a profit. He has also dismissed the idea of regulating e-cigarettes in a similar manner to tobacco and alcohol.

 

This warning was issued after the Australian Daily Mail demonstrated the ease of purchasing such prohibited devices, despite Butler implementing an import ban on disposable e-cigarettes on January 1st this year.

 

As you walk along Sydney's bustling Golden Street in the city center, you will find at least 20 independent and chain stores selling illegal nicotine e-cigarettes, illicit cigarettes, and other related devices. Purchasing an e-cigarette is as effortless as buying a can of soda or a newspaper, often without the need for identification verification. The average price for one e-cigarette is approximately 25 Australian dollars.

 

Minister Butler informed the Daily Mail Australia that the government will not turn a blind eye to this situation's unfolding. He has instructed businesses in this trade sector to explore alternative avenues for profitability.

 

E-cigarette stores intentionally setting up near schools is an apparent targeting of children by the industry.

 

In 2021, in accordance with regulations introduced by the previous Morrison government, the sale of e-cigarettes containing nicotine has been deemed illegal. However, many retailers continue to openly sell these products in illegal ways, with some even incorrectly labeling them as nicotine-free. To address the loopholes in the previous legislation and crack down on the supply of e-cigarettes in convenience stores, Minister Butler implemented a nationwide ban on the importation of disposable e-cigarettes on January 1st. Retailers can still sell existing stock imported prior to January 1st, as long as it is nicotine-free.

 

Changes in the draft design include the establishment of a new access method that allows doctors and nurses to prescribe therapeutic e-cigarettes for smokers or individuals in need of nicotine dependency control.

 

However, former federal police officer Rohan Pike has stated that enforcing the import ban on disposable e-cigarettes will prove challenging for the Australian Border Force (ABF), and the black market will continue to thrive.

 

Criminal gangs are importing e-cigarettes from China and selling them to retailers, thus boosting their profit margins.

 

Over 90% of e-cigarettes sold in Australia are black-market products.

 

Brian Marlow, the director of the Australian legal e-cigarette lobbying group, has stated that the import ban simply allows retailers to charge consumers higher prices due to the risks associated with importing and selling these products. He suggests that market restrictions, the establishment of product standards, granting licenses to retailers, and imposing heavy penalties for selling to minors will help eliminate the black market.

 

Australia should follow the examples of New Zealand, the UK, and other countries worldwide in implementing regulations for e-cigarettes," he said. "We should allow the sale of high-quality e-cigarettes and regulate them in a similar manner as we do with adult-restricted products such as alcohol.

 

Achieving this would enable adults to access products that are safer than the disposable ones commonly found in China, without being burdened by exorbitant levels of nicotine.

 

In response to Marlo's suggestion, Minister Butler responded, "The only groups that would benefit from regulating and selling e-cigarettes are those who profit from children becoming addicted to nicotine - big tobacco companies and tobacco retailers.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Japan’s Heated Tobacco Tax Changes Reshape Consumer Choices, Survey Reveals Impact of Price and Income
Japan’s Heated Tobacco Tax Changes Reshape Consumer Choices, Survey Reveals Impact of Price and Income
A consumer survey by Japanese heated tobacco information platform RELAZO found that rising tobacco prices and planned heated tobacco tax changes may influence smoking decisions among Japanese consumers. The survey covered 49,879 men and women aged 20 to 69 nationwide. It found that around 40% of respondents cumulatively indicated they may consider quitting when a pack reaches ¥600 (approximately US$4.1), while nearly 90% expressed potential quitting intentions at a ¥1,000 (approximately US$6.8) price level. The survey also found significant differences by income level, with lower-income respondents showing greater sensitivity to price increases.
Jul.24
Philip Morris Romania Executive on Smoke-Free Strategy: How IQOS Spaces Are Moving Beyond Retail to Consumer Connection
Philip Morris Romania Executive on Smoke-Free Strategy: How IQOS Spaces Are Moving Beyond Retail to Consumer Connection
In an interview with Romanian marketing publication IQads, Marek Gębski, Director of Smoke-Free Products at Philip Morris Romania, said IQOS experience spaces are evolving from traditional retail locations into platforms for consumer engagement and brand connection. Through locations such as IQOS Boutique Victoriei, PMI aims to use design, culture and consumer experiences to strengthen communication with adult consumers about smoke-free products. The interview highlights how tobacco companies are expanding smoke-free strategies beyond products toward experiential marketing and consumer relationships.
Aug.11
China’s Shanghai Tobacco Group Launches CNY 10.98 Million (Approximately US$1.53 Million) Procurement for Heated Tobacco Production Utility Equipment
China’s Shanghai Tobacco Group Launches CNY 10.98 Million (Approximately US$1.53 Million) Procurement for Heated Tobacco Production Utility Equipment
Shanghai Tobacco Group Co., Ltd., a tobacco manufacturing company under China National Tobacco Corporation (CNTC), has launched a public tender for heated tobacco products (HTPs) production utility equipment at its Shanghai Cigarette Factory. The project is valued at CNY 10.98 million and covers six combined air-conditioning units, electrical cabinets and control systems for production facilities. The procurement includes equipment design, supply, installation, commissioning and related training services.
Aug.07
PMI Q2 Revenue Rises 10.4% as IQOS and VEEV Expand, U.S. ZYN Growth Slows
PMI Q2 Revenue Rises 10.4% as IQOS and VEEV Expand, U.S. ZYN Growth Slows
Philip Morris International’s second-quarter net revenues rose 10.4% to a record $11.19 billion, as heated tobacco and e-vapor expanded across international markets. IQOS remained the main smoke-free growth engine, while VEEV shipments jumped 55.1%. In the United States, however, ZYN shipments increased just 1.8% and consumer offtake was broadly flat to slightly higher. Cigarette volumes also rose, showing that PMI’s transformation is advancing, but growth is becoming increasingly uneven across categories and markets.
PMI
Jul.22
FDA Authorizes Four More Nicotine Pouches as Review Pilot Expands Beyond Initial Decisions
FDA Authorizes Four More Nicotine Pouches as Review Pilot Expands Beyond Initial Decisions
The FDA has authorized four additional on! nicotine pouches, bringing the U.S. total to 30. The decision marks another outcome of the agency’s nicotine pouch review pilot, whose communication and review practices are now being applied more broadly across the category. It also extends Helix’s authorized portfolio from on! PLUS to the earlier on! line. Yet all FDA-authorized nicotine pouches still come from subsidiaries of PMI or Altria, underscoring how concentrated U.S. regulatory access remains.
Aug.05
U.S. Customs Plan to Require Foreign Export Declarations Could Deal ‘Devastating’ Blow to China’s Vape Exports, Logistics gl Expert Says
U.S. Customs Plan to Require Foreign Export Declarations Could Deal ‘Devastating’ Blow to China’s Vape Exports, Logistics gl Expert Says
A U.S. Customs and Border Protection proposal to collect foreign export declarations and other overseas customs documents could expose discrepancies in the value, classification and description of China-made vape shipments entering the United States. A veteran Chinese logistics professional told 2Firsts that the measure, if implemented, could undermine the all-inclusive shipping model used by some unauthorized vape exporters and push parts of the trade toward costlier underground channels. The risk extends beyond higher duties: accurately declared products may also be more readily identified as unauthorized e-cigarettes subject to FDA enforcement.
Special Report
Sep.07