Tracey Roberts (Pearce, Australian Labor Party) | Hansard source

The incorporated speech read as follows—

I would like to speak in support of the Combatting Illicit Tobacco Bill 2026 and the stronger measures this government is taking to crack down on the growing illicit tobacco trade across Australia. This issue matters deeply to communities across Pearce. People are increasingly concerned about the growth of illegal tobacco and vaping products being sold openly in suburban shopping strips, near schools and in local commercial centres. They are concerned not only about the health impacts but also about the organised criminal activity that sits behind this trade. Across our communities, people can see that this problem has escalated dramatically. Illegal tobacco shops are no longer hidden away. They are operating in plain sight. Communities are rightly asking how criminal networks have become so brazen and so embedded in everyday neighbourhoods. This is no longer simply a matter of unpaid tax or regulatory noncompliance. It is now a serious organised crime issue, and it requires a serious and coordinated national response.

The evidence before us is alarming. Official estimates suggest that between 50 and 60 per cent of all tobacco products sold in Australia are now illicit. Organised criminal groups are estimated to be earning billions of dollars from this trade every year. That money does not simply disappear. It is reinvested into other forms of criminal activity, including money laundering, trafficking, scams, and other organised illegal operations that threaten community safety. The illicit vape market is equally concerning. The overwhelming majority of vaping products sold in Australia are estimated to be illegal. These products are often unregulated, frequently targeted at younger Australians, and sold through networks designed entirely to avoid scrutiny and accountability.

People in Pearce understand that when organised crime becomes profitable, communities suffer. Local families want safe neighbourhoods. Parents want confidence that products being sold near schools and shopping centres are lawful and regulated. Small business owners who do the right thing are frustrated watching illegal operators undercut legitimate businesses while facing few apparent consequences. Communities are also concerned about the broader impacts this trade is having on social cohesion and public confidence. When illegal shopfronts appear to operate openly and repeatedly without consequence, people lose faith that the rules are being enforced fairly. That is why this legislation is so important. This bill sends a clear message that Australia will not allow organised criminal networks to profit from illicit tobacco and illegal vaping products at the expense of public health and community safety. The purpose of this legislation is straightforward: to increase the consequences for criminal actors involved in the illicit tobacco market and to strengthen the powers available to law enforcement agencies investigating these offences.

The reforms recognise that the illicit tobacco trade has changed significantly in recent years. Criminal syndicates are now highly organised, technologically sophisticated and operating across jurisdictions. These networks function like multinational businesses. They exploit weaknesses in regulation, move money rapidly across borders and take advantage of what they perceive to be a high-profit, low-risk criminal enterprise. This bill seeks to change that equation. It increases penalties for offences relating to the importation, manufacture, possession, sale and supply of illicit tobacco products. These stronger penalties are designed to act as a deterrent and reflect the seriousness of the harm these activities cause to the Australian community.

Importantly, the bill also strengthens investigatory powers available to law enforcement agencies. As criminal activity evolves, law enforcement must have the tools necessary to keep pace. This legislation expands access to powers that support the investigation and disruption of organised criminal networks involved in illicit tobacco. That includes strengthening telecommunications interception capabilities and enabling more effective surveillance and investigative techniques for serious tobacco related offences. These powers matter because organised crime does not operate through isolated individuals. These are coordinated criminal enterprises using encrypted communications, financial networks and sophisticated supply chains. Effective investigations require modern tools that allow authorities to identify the organisers, financiers and facilitators behind the trade—not just the individuals working at the retail level.

The bill also strengthens Australia's proceeds-of-crime framework, and this is a particularly important part of the reforms. One of the clearest messages communities in Pearce send is that organised criminals should not be allowed to keep the profits they make from harming Australian communities. People are rightly frustrated when criminal enterprises continue operating because the financial rewards outweigh the risks. That is why targeting criminal profits is essential. This legislation strengthens the ability of authorities to seize unexplained wealth, confiscate criminal assets and disrupt the financial structures that sustain illicit tobacco operations. While prosecutions are important, we know that organised crime is ultimately driven by profit. Taking away the proceeds of crime—whether that be cash, luxury vehicles, property or other assets—is one of the most effective ways to dismantle criminal networks.

The reforms also improve information sharing between agencies and regulators. This reflects the reality that combating illicit tobacco requires a coordinated national effort involving Commonwealth agencies, state and territory governments, financial regulators, law enforcement bodies and border authorities. The work already being undertaken by agencies such as AUSTRAC, the Australian Federal Police and other authorities is making a difference. High-risk financial accounts linked to illicit tobacco activity are being identified and shut down. Suspicious financial transactions are being monitored more closely. Regulatory cooperation is increasing. These reforms build on that work and strengthen the capacity for agencies to act collectively and effectively.

Importantly, this bill also modernises aspects of the Proceeds of Crime Act to ensure law enforcement agencies have powers that reflect contemporary criminal activity and contemporary investigative practices. Criminal organisations today operate across state borders and increasingly use complex structures to conceal ownership, assets and financial flows. Law enforcement agencies need nationally consistent powers to respond effectively. These amendments improve consistency in the way orders and investigative powers can be applied across Australia and reduce unnecessary barriers that can slow investigations. That may sound technical, but it has very real impacts. Every delay, every procedural inconsistency and every gap between jurisdictions can be exploited by organised crime groups. Streamlining and modernising these powers strengthens the national response and improves the effectiveness of investigations.

But, beyond the criminal dimension of this issue, we must also acknowledge the significant public health consequences associated with illicit tobacco. Smoking continues to cause immense harm across Australia. Communities across Pearce know the impact that smoking related illness can have on families and individuals. Many families have seen loved ones suffer from cancers, respiratory diseases and chronic health conditions associated with long-term tobacco use. That is why allowing a large-scale illicit tobacco market to flourish presents such a serious risk. Cheap and accessible illegal tobacco products undermine decades of public health work. They make harmful products easier to obtain and can increase uptake, particularly among younger Australians and vulnerable groups.

The rise in illegal vaping products is especially concerning. Parents in Pearce regularly raise concerns about the accessibility of vaping products to young people. They are worried about how easily these products can be obtained and the long-term health consequences associated with nicotine addiction. Communities want stronger enforcement and stronger safeguards to protect young Australians from becoming the next generation targeted by nicotine dependency. This bill forms part of that broader effort. It recognises that illicit tobacco is not a victimless crime. The impacts are felt in our health system, in community safety, in legitimate businesses and in the wellbeing of families. The costs are ultimately borne by all Australians.

The illicit tobacco market also creates broader economic harm. Legitimate retailers who comply with the law face unfair competition from illegal operators selling unregulated products without paying appropriate duties or complying with health requirements. Local businesses should not be placed at a disadvantage because criminal operators choose to ignore the law. Communities expect fairness. They expect that businesses doing the right thing are protected and that criminal enterprises are held accountable. The people of Pearce also expect governments to respond decisively when organised crime becomes more visible in suburban communities. People do not want to see illegal tobacco stores normalised in local shopping precincts. They do not want criminal activity becoming embedded in everyday community life. They want action that restores confidence that laws are being enforced properly and consistently. This legislation is an important part of that response. It strengthens penalties. It strengthens enforcement powers. It strengthens proceeds-of-crime laws. And it strengthens cooperation between agencies working to disrupt organised criminal networks.

Importantly, it also recognises that this challenge cannot be addressed by one level of government acting alone. The Commonwealth, states and territories must continue working together to close illegal operations, strengthen enforcement and reduce the profitability of illicit tobacco markets. That collaboration is essential because organised crime does not recognise state borders, and effective enforcement cannot operate in silos. Communities expect coordination, cooperation and practical outcomes. This bill helps deliver that. It represents a serious response to a serious and growing problem. And, while legislation alone will not solve every aspect of illicit tobacco activity overnight, these reforms provide law enforcement agencies with stronger tools to disrupt criminal operations and hold offenders accountable. Every seizure matters. Every prosecution matters. Every illegal shopfront shut down matters. Every dollar taken from organised crime matters. Each action increases pressure on the illicit market and helps reduce the profitability of criminal activity.

Ultimately, this legislation is about protecting Australian communities. It is about protecting public health. It is about supporting legitimate businesses. And it is about ensuring organised crime groups do not continue profiting at the expense of community safety and wellbeing. The people of Pearce expect strong action against organised crime and stronger protections for local communities. This bill delivers important reforms to support that goal. I commend the bill to the House.

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