Cuts to duty free cigarette limts from 1 September

[Paddy55]

Why? Cigarettes are a legal product. The government is on a slippery slope here...what benefit Are we going to lose next? Alcohol allowance? Duty free threshold? Maybe they will also significantly increase taxes related to flying.

This is a political stunt.

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Disagree with you entirely
Just because they're legal doesn't mean they should be available Duty Free

 

[anat0l]

We just came through MEL, not a tobacco product in sight at duty free.

They shouldn't be in sight, I thought. I thought the laws say that cigarette packets can't be in view - they can only be requested.

That's why you don't see shelves of them any more, and when smokers ask for a pack, they need to be retrieved out of a cabinet / behind a curtain / from under the counter / etc.

 

[YQY]

We just came through MEL, not a tobacco product in sight at duty free. Can't say I looked in SYD as I fought my way through perfume to the F Lounge...

Duty-free retailers say there will be no point selling cigarettes in airports any more because the federal government's decision to change the duty-free allowance makes them too expensive to stock.

Read more: Duty-free cigarettes in crash mode
​

 

[MEL_Traveller]

Duty-free retailers say there will be no point selling cigarettes in airports any more because the federal government's decision to change the duty-free allowance makes them too expensive to stock.

Read more: Duty-free cigarettes in crash mode
​

I reckon those claims by duty free retailers is rubbish. at the moment they flog a carton of cigarettes on arrival in australia for about $88, compared to buying the same carton overseas for just $17 (in Singapore or hong kong for example). they could easily follow the example of hong kong duty free where they have a three pack duty free limit, and sell packets of three accordingly.

let's have a look at the supposed duty free shop's anguish... at the current rate of $88 for a carton (of 8 packets) they'd be able to sell a pack of two for $22. how much would they buy them for duty free? for about the same price the duty free shops would buy them in Singapore or hong kong, which is about $4.25 for two packs (allowing for the conversion of packs of 20 sold overseas to packs of 25 sold here).

profit for the Aussie duty free stores? almost $18 on those two packs. and they're crying poor?

 

[serfty]

...

With the decreased revenue from cig sales, what's going to happen next, of course the next biggest seller - booze, will increase in price to counter the loss from the cigs. With the absolute BS LAGS rules being applied into AU due to brilliant lobbying by the DF companies, everyone will suffer not just the smokers.
...

I think the DF companies lobbying failed here.

In the year before the ban, DF cartons in OZ were selling for $80+ - considering there was no excise/tax payable on the ~$20 tax free "wholesale" landing cost there's a 75%+ markup.

Even ex NZ they were getting exe at ~NZ$60.

 

[Aussie_flyer]

The Aus cartons were normally 250 smokes IIRC, but Asian ones are normally 200.

 

[Flashback]

They shouldn't be in sight, I thought. I thought the laws say that cigarette packets can't be in view - they can only be requested.

That's why you don't see shelves of them any more, and when smokers ask for a pack, they need to be retrieved out of a cabinet / behind a curtain / from under the counter / etc.

Not sure whether it's new (I think it is as I've never noticed before and there is a sign up advising about it....) but at my local supermarket here in London they are no longer allowed to put cigarettes on display. The cupboards they kept them in have now gone from glass doors to solid doors.

 

[JohnK]

Are the duty free shops going to sell a carton of 2 packets or a single pouch of tobacco?

The 250g tobacco was priced at ~$70 so one would expect the 1 pouch to sell for ~$14. Or not.

And I haven't seen new details on website but with old rules I could bring in 250g tobacco and I could also carry 1 pouch of tobacco on me for personal use. I am guessing this will still be the same. So purchase 1 pouch on way out, open it, and purchase another pouch on way in.

By the way I do not smoke but I will try and do anything to get the price of tobacco down for my father.

 

[drewbles]

Nice way to annoy the Father in-law.

Saying that, the price of a carton DF has increased to nearly double it's price within the last 4 years or so...

In Australia yes. Not in DXB or DOH or AUH. $16 for a "premium" tobacco brand carton there.

 

[TheInsider]

We just came through MEL, not a tobacco product in sight at duty free. Can't say I looked in SYD as I fought my way through perfume to the F Lounge...

It is now loacted at the front where the check-out counters are. Only sell 50's now though.

 

[medhead]

In Australia yes. Not in DXB or DOH or AUH. $16 for a "premium" tobacco brand carton there.

Premium = Wini red?


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[Paddy55]

We just came through MEL, not a tobacco product in sight at duty free. Can't say I looked in SYD as I fought my way through perfume to the F Lounge...

That's progress!

 

[MEL_Traveller]

That's progress!

progress for what? tobacco products haven't been on display in any australian airport for a few years now. you can go to some separate room though where they have them all in cupboards.

 

[Mal]

That's progress!

??? Progress towards stripping the freedom of an individual to buy a legal product duty free?

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[Alanslegal]

But, despite the indirect health benefits to the community, this reeks of revenue gain for the govt. us Aussies need some compensation for the price gauging we are subjected to by our home airports!!! Shame shame shame

The government is on a slippery slope here...what benefit Are we going to lose next? Alcohol allowance? Duty free threshold? Maybe they will also significantly increase taxes related to flying.

This is a political stunt.

I don't condone smoking, but in the same instance, the government is out of control with their anti smoking policy. I agree - no public areas, but banning [effectively] the sale of cigs incoming into Australia? Really.

I disagree folks. Yes the Labor government followed through with their tough anti-smoking policies and at the same time increased some tax revenue as travellers who use to bring in 10 packets, now have to at least buy 8 fully taxed packets locally. Which smoker stops at two packets anyway? The people in the worse positions are those on the front line officers ie at our airports/ports etc who now only have to protect our borders from various MORE DANGEROUS issues eg. drugs, weapons, quarantine issues ... but now waste some of the time monitoring excess packets of cigarettes.

More IMPORTANTLY ... and I place great emphasis of IMPORTANTLY, is that when the Liberal Government comes in next year, they will not reverse these duty free concession limits. So before you lay blame on Labor for these changes, remember that Abbott has done little to oppose to these changes and we all know Abbott loves negativity by jumping up and down saying how terrible things are, will never ever reverse these concessions.

 

[horseman]

Same - 250g down to 50g of tobacco products.

50g! 1 or 2 sticks! That rediculous this current government is out of control!

 

[Alanslegal]

50g! 1 or 2 sticks! That rediculous this current government is out of control!

aahhh great point, not! it added zero to the debate and added 10 points to scaremongering. good on ya, have a beer on my tab.

 

[horseman]

Thanks but ya ca keep ya beer

 

[oz_mark]

I disagree folks. Yes the Labor government followed through with their tough anti-smoking policies and at the same time increased some tax revenue as travellers who use to bring in 10 packets, now have to at least buy 8 fully taxed packets locally. Which smoker stops at two packets anyway? The people in the worse positions are those on the front line officers ie at our airports/ports etc who now only have to protect our borders from various MORE DANGEROUS issues eg. drugs, weapons, quarantine issues ... but now waste some of the time monitoring excess packets of cigarettes.

More IMPORTANTLY ... and I place great emphasis of IMPORTANTLY, is that when the Liberal Government comes in next year, they will not reverse these duty free concession limits. So before you lay blame on Labor for these changes, remember that Abbott has done little to oppose to these changes and we all know Abbott loves negativity by jumping up and down saying how terrible things are, will never ever reverse these concessions.

To put some context around the changes that have been made, may I present to you recommendation 75 from the Henry Tax review:

Recommendation 75: There should be no duty free allowance on tobacco for international travellers entering Australia.

Part 1: Overview - Chapter 12: List of recommendations - Australia's Future Tax System: Final Report

The WHO framework convention on Tobacco control, of which Australia is a signatory, also suggests that duty/tax free sales of cigarretes be restricted.

I don't think Australia is operating in isolation here. Singapore and Hong Kong have pretty tight restrictions.

 

[medhead]

50g! 1 or 2 sticks! That rediculous this current government is out of control!

1 or 2 sticks? What ya talkin about willis?! Try 2 packets.


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