South Australia’s crackdown on illegal tobacco and vape sales is set to expand, with a new $3 million funding boost to increase enforcement activity across the state.
The funding, delivered through a partnership between the Australian and South Australian governments, will be used to scale up resources and operational capacity within Consumer and Business Services. Authorities say the money will help support inspections, enforcement action, transport and disposal of seized products, and efforts to disrupt the illicit tobacco and e-cigarette trade.
According to figures released by the State Government, CBS carried out 923 inspections between July 1 2024 and May 31 2026, issuing 93 expiation notices. During the same period, the Minister for Consumer and Business Affairs issued 277 closure orders.
The figures come as South Australia’s smoking rate has fallen to 7.5 per cent, which the State Government says is the lowest level recorded in the state.
The illicit tobacco and vape market has become a growing enforcement and public health issue across Australia, with the State Government estimating illicit trade now makes up 55 per cent of the national tobacco and e-cigarette market. Smoking remains one of the leading causes of preventable death and disease burden in Australia, and is estimated to have a $2.3 billion impact on South Australia’s economy each year.
Minister for Health and Wellbeing Blair Boyer said the funding was aimed at disrupting illegal sales and reducing the harm caused by tobacco use.
“Our government is taking the necessary actions to disrupt illicit tobacco because we know the damage it causes to the health of South Australians,” he said.
“In partnership with the Albanese Labor Government, we are taking more action than ever to prevent illegal activity here in South Australia.
“I’m proud that we are seeing record low levels of smoking in South Australia. This is a great result for people’s health. But we can’t stop there – we must be vigilant in preventing criminal behaviour that only seeks to cause harm while making a profit.”
Last year, reforms were introduced to give CBS and South Australia Police stronger powers to act against individuals and small businesses involved in the illicit tobacco and nicotine product trade. The reforms also gave landlords the right to end a retail lease and introduced stronger financial penalties.
South Australia is also the only Australian state to have banned online tobacco sales. The Australian Council on Smoking & Health has rated the state as “way out ahead” on its National Illicit Tobacco Ladder, which ranks jurisdictions on their response to illicit tobacco trade.
Minister for Consumer and Business Affairs Michael Brown said the new funding would allow enforcement activity to increase statewide.
“Through the tireless and coordinated work of CBS and SAPOL, we have delivered tough penalties, issued hundreds of closure orders, and made a real impact in disrupting this illicit trade,” he said.
“But there is more work to be done, and with this welcome increase in Commonwealth funding for our tough compliance measures, enforcement activities are set to increase statewide.”
South Australians can report suspected illicit tobacco outlets to Consumer and Business Services at cbs.sa.gov.au/tobacco.
