Poor Tax Policy Choices Fuel the Illicit Tobacco Trade

From: SBS

How a tax technicality is fuelling Australia’s black market shisha trade

EXCLUSIVE: Shisha cafes have seen the cost of their molasses tobacco skyrocket, while the Australian Border Force fear a growing illicit trade may be funding ‘nefarious purposes’ overseas.

By James Elton-Pym

A decade-old change in the way shisha tobacco is taxed may have opened the window for a booming black market trade, according to Australian Border Force officials.

The smugglers involved in the illicit trade of molasses tobacco, commonly known as shisha, could also be involved in larger trafficking rings, the officials said.

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