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In markets such as Australia, where a pack of 25 cigarettes carries an effective tax burden exceeding AUD 28 per pack, the price differential between taxed domestic retail and duty free purchase prices can approach 60-70%, creating a compelling economic incentive for international travelers to maximize their duty free cigarette allowance

The importance of tobacco tax parity in public health is to make sure when you raise the price on one tobacco product, youre raising the price on other tobacco products so as not to encourage switching, Hannon said