Tobacco products

Document symbol
G/LIC/N/3/AUS/16
Original language
English
Published on
27/11/2023

Outline of Systems

Q1. Give a brief description of each licensing system as a whole and, with respect to each, reply to the following questions as relevant, placing all of the material with respect to a given system in sequence together, and using cross references as appropriate when elements which have already been described are also present in another system.

The importation of tobacco products is prohibited under provisions of the Customs Act 1901 (Customs Act) and regulation 4DA of the Customs (Prohibited Imports) Regulations 1956 (PI Regulations) unless specific permission of the Minister, or an authorised person, has been granted.

Purposes and Coverage of Licensing

Q2. Identify each licensing system maintained and state what products, appropriately grouped, are covered.

The prohibition applies to all tobacco products (as defined by the Customs Act*):*

  • tobacco of a kind specified in regulation 4D of the PI Regulations;
  • chewing tobacco and snuffs intended for oral use;
  • cigars;
  • tobacco products:
  • that are prescribed by by-law for the purposes of item 15 of Schedule 4 to the Customs Tariff Act 1995;
  • that are imported by passengers, or members of the crew, of ships or aircraft; and
  • on which duty is not payable.

Q3. The system applies to goods originating in and coming from which countries?

A generic import approval by the Minister for Home Affairs exists for cigars in any quantity and chewing tobacco; snuffs intended for oral use weighing 1.5kg or less.

Q4. Is the licensing intended to restrict the quantity or value of imports, and if not, what are its purposes? Have alternative methods of accomplishing the purposes been considered and if so which? Why have they not been adopted?

The PI Regulations are not intended to restrict the quantity or volume of imports. The importation of tobacco products is regulated to reduce the trade in illicit tobacco and to further protect the public health.

Q5. Cite the law, regulation and/or administrative order under which the licensing is maintained. Is the licensing statutorily required? Does the legislation leave designation of products to be subjected to licensing to administrative discretion? Is it possible for the government (or the executive branch) to abolish the system without legislative approval?

The control on the specified goods is a statutory requirement under Regulation 4DA of the PI Regulations made under the Customs Act. The control cannot be abolished without legislative approval.

Links to legislation:

Procedures

Q6. For products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally):

N/A

Q6.I. Is information published, and where, concerning allocation of quotas and formalities of filing applications for licences? If not, how is it brought to the attention of possible importers? Of governments and export promotion bodies of exporting countries and their trade representatives? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?

N/A

Q6.II. How is the size of the quotas determined: on a yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for fresh licence on a six-monthly or quarterly basis?

N/A

Q6.III. Are licences allotted for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are the names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate.)

N/A

Q6.IV. From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?

N/A

Q6.V. What are the minimum and maximum lengths of time for processing applications?

N/A

Q6.VI. How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?

N/A

Q6.VII. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?

N/A

Q6.VIII. If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and, if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?

N/A

Q6.IX. In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?

N/A

Q6.X. In cases where imports are allowed on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?

N/A

Q6.XI. Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?

N/A

Q7. Where there is no quantitative limit on importation of a product or on imports from a particular country:

Q7.a. How far in advance of importation must application for a licence be made? Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence (for example, owing to inadvertency)?

The Australian Border Force (ABF) standard for issuing permissions is 28 days from receipt of all required information.

Q7.b. Can a licence be granted immediately on request?

Licences cannot be granted immediately on request.

Q7.c. Are there any limitations as to the period of the year during which application for licence and/or importation may be made? If so, explain.

There are no limitations as to the period of the year during which an application for a tobacco import permission may be made.

Q7.d. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?

The application for a tobacco import permission is considered in its entirety by the ABF. However, the ABF may contact external agencies to obtain relevant information in considering a permit application.

Q8. Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria? Are the reasons for any refusal given to the applicant? Have applicants a right of appeal in the event of refusal to issue a licence and, if so, to what bodies and under what procedures?

In considering whether to grant a permission, the Minister for home Affairs or authorised person may consider any relevant matter. The Minister for Home Affairs or authorised person may grant a permission subject to conditions or requirements, specified in the permission, that are to be complied with by the holder of the permission. Where a permit is refused, the applicant will be advised in writing of the decision and the reasoning behind the decision.

Eligibility of Importers to Apply for Licence

Q9. Are all persons, firms and institutions eligible to apply for licences: (If not, is there a system of registration of persons or firms permitted to engage in importation? What persons or firms are eligible? Is there a registration fee? Is there a published list of authorized importers?) a) under restrictive licensing systems? b) under non-restrictive systems?

All persons, firms and institutions are eligible to apply for a tobacco import permission. However, an applicant must have a valid Australian Business Number (issued by the ATO) or an ABF Customer Reference Number (CRN) prior to submitting an application for a tobacco import permission.

Documentational and Other Requirements for Application for Licence

Q10. What information is required in applications? Submit a sample form. What documents is the importer required to supply with the application?

An application for a tobacco import permission must be made in writing to the ABF. Application forms can be found at: www.abf.gov.au/tobacco.

As part of the application process, applicants are also required to supply the following information:

  • name, address, ABN/CRN and other contact details;
  • details of the type of tobacco product to be imported; and
  • the intended use for the imported tobacco products (i.e., personal or commercial).

The Minister for Home Affairs or authorised person may seek additional information to the above should it be deemed necessary to make an informed decision on an importer's application.

Q11. What documents are required upon actual importation?

The ABF may require the original permission from the Minister for Home Affairs or authorised person to be produced upon importation in addition to the normal importation documentation required by the Department Home Affairs.

Q12. Is there any licensing fee or administrative charge? If so, what is the amount of the fee or charge?

There are no fees associated with applying for or obtaining the permission.

Q13. Is there any deposit or advance payment requirement associated with the issue of licences? If so, state the amount or rate, whether it is refundable, the period of retention and the purpose of the requirement.

There is no deposit or advance payment requirement associated with the issuance of tobacco import permissions.

Conditions of Licensing

Q14. What is the period of validity of a licence? Can the validity of a licence be extended? How?

The validity period for a tobacco import permit is at the discretion of the Minister for Home Affairs or authorised person, having regard to all relevant information relating to the applicant.

Q15. Is there any penalty for the non-utilization of a licence or a portion of a licence?

There is no penalty for the non-utilisation of a tobacco import permission.

Q16. Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?

Tobacco import permissions are not transferrable.

Q17. Are any other conditions attached to the issue of a licence? a) for products subject to quantitative restriction? b) for products not subject to quantitative restriction?

The Minister for Home Affairs or authorised person may grant a permission subject to conditions or requirements, specified in the permission, that are to be complied with by the holder of the permission.

Other Procedural Requirements

Q18. Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?

There are no other administrative producers, apart from the requirement to obtain a permission, required prior to importation.

Q19. Is foreign exchange automatically provided by the banking authorities for goods to be imported? Is a licence required as a condition to obtaining foreign exchange? Is foreign exchange always available to cover licences issued? What formalities must be fulfilled for obtaining the foreign exchange?

N/A