The Tobacco Wars in Melbourne: A Community Under Fire

The Tobacco Wars in Melbourne: A Community Under Fire

What began as a local tragedy in one Melbourne suburb has turned into a violent statewide epidemic. The Tobacco Wars in Melbourne, as they have come to be known, erupted in 2021 when a petrol bomb attack destroyed a beloved second-hand bookshop in Pakenham. Since then, more than 120 bombings have rocked Victoria, many targeting tobacconists in a brutal turf war over illicit cigarettes. How did it come to this? And more importantly, how do we restore safety to Victorian streets?

Flames on Pakenham’s Doorstep

The story of the Tobacco Wars first hit headlines in August 2021, when Jim Gregory’s Centre Court Book Exchange in Pakenham was accidentally destroyed during a petrol bomb attack on a neighbouring tobacconist. Once one of Melbourne’s top 16 second-hand bookstores, Gregory’s business was reduced to ashes in minutes. He reopened two years later, but some rarer titles were irreplaceable.

Jim’s predicament sheds light on the broader challenges faced by small-business owners caught in the crossfire of a dangerous and complex black market. While soaring cigarette taxes and licensing fees are often blamed for driving consumers towards illegal options, these arguments simplify a larger, more entrenched issue.

Everyone deserves safety and security, yet too many small-business owners are being forced to install fortifications and hire private security, draining already slim profit margins. The Tobacco Wars highlight how years of ineffective legislation and weak enforcement have allowed criminal organisations to thrive.

The War We Chose to Ignore

Government responses reveal a stark contrast in priorities between perceived and real threats. During Victoria’s COVID-19 lockdowns, strict measures were swiftly implemented. Vast public resources were allocated to enforce curfews and emergency powers. But when legitimate, violent threats such as bombings and stabbings plague our communities, action is consistently delayed. Meaningful change is replaced by underfunded policies and hollow legislative gestures.

This disparity sends a clear message. Protecting citizens from real violence has never been a priority. The Tobacco Wars are not fought; they are ignored, leaving business owners and communities increasingly vulnerable.

The Illicit Tobacco Market Thrives

At the heart of the Melbourne Tobacco Wars lies a $6 billion black market for illicit cigarettes. What’s shocking is how openly this market operates. No need for shady back-alley deals when contraband can be purchased in broad daylight. Organised criminal networks run this lucrative business, their activity becoming violently apparent when demands for protection money are refused.

Despite repeated intelligence warnings, this market has gone largely unchecked. Authorities failed to act early, and now it is complex and costly to undo the damage. Rival gangs enforce unofficial territories, while tobacconists and small-business owners fight for survival without meaningful support. What began as economic strain has escalated into outright lawlessness.

Exploitation of Youth in the Tobacco Wars

Perhaps the most chilling consequence of Victoria’s illicit tobacco trade is the exploitation of young people. Criminal syndicates recruit children as young as 12 to carry out bombings or smuggle contraband.

For as little as $5 per pack or $500 per arson attack, these children risk their futures while their leaders evade accountability. The Pakenham attack alone saw several young offenders arrested while still out on bail for previous crimes. Weak laws and systemic loopholes make youth an easy target for organised crime.

Rising Youth Offending and Misleading Legislation

Youth offending in Victoria has reached alarming heights. Last year alone saw over 23,000 incidents involving young offenders, an increase of nearly 17 per cent from the previous year. Crimes committed by 14- to 17-year-olds hit their highest levels since 2009, and offences by children as young as 10 have skyrocketed.

Instead of addressing these issues, the government introduced the Youth Justice Bill, which raises the minimum age of criminal responsibility from 10 to 12, effectively erasing many juvenile crimes from official records. This move not only masks the severity of youth crime but also plays into the hands of criminal organisations, who exploit children knowing they won’t face legal consequences.

The failures don’t stop at youth crime. The bail system has been highlighted as insufficient time and time again. Cases of repeat offenders being granted bail dozens of times have left communities outraged. High-profile tragedies, like the fatal stabbing of a GP by teens on bail, underscore the urgent need for reform. Even when stronger bail laws are announced, they are often diluted into ineffectiveness, leaving little real impact.

Legislative Failures in Tobacco Licensing

The newly introduced Tobacco Licensing Scheme is another example of half-hearted measures. Initially set to regulate and monitor tobacco sales, it exempts vapes and delays enforcement until 2026. This has given criminal networks ample time to stockpile untaxed cigarette reserves and evade any meaningful oversight. Just 14 officers have been assigned to oversee every tobacco outlet in the state, making the task impossible.

This reactive approach enables the illicit market to thrive while hurting legitimate businesses. It mirrors the disastrous effects of Prohibition in the 1920s when hurried legislation only benefited organised crime. We’ve seen these failures before, and we are seeing them again.

Systematic Undermining of Community Safety

Years of budget cuts have hollowed out Victoria’s justice system and social infrastructure. From reductions in child protection funding to nearly 1,000 police vacancies and the closure of 43 stations, these measures compromise both prevention and enforcement efforts. The Tobacco Wars in Melbourne further highlight the consequences of these systemic issues, as the escalating violence underscores the need for stronger intervention. When young people face limited opportunities for education and employment, the lure of crime grows stronger. Without intervention, this cycle of escalating violence will continue.

Source: When Our Streets Became a Battlefield 

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