Cuban cigars are known worldwide for their rich heritage and quality of craftsmanship and are not only a status symbol but also an item of luxury. Most cigar enthusiasts find Cuban cigars, in particular, a sought-after item. Still, in Australia, they are difficult to find and, after legal disputes, remain illegal in the so-called lucky country. In this article, we’re going to go through the reasons why Cuban cigars are illegal, look into the prohibition, and explore the legal context and economic impacts of the ban.
The Prohibition of Cigars in Australia
The bans on the importation of cigars go back to the 1960s when they were closely linked to the political happenings of that time. This was all because of the Cuban revolution of 1959, where the United States imposed a trade embargo on Cuba, which meant that any allies of America had to follow suit so that restrictions on cigar importation had to take place. It was this restriction that was part of a strategy to economically and politically isolate the Cuban government.
This alignment with the US embargo created trade regulations banning the importation of products like cigars. This was included in the Customs Act of 1901, and since then, subsequent modifications have been made, making it unlawful to bring Cuban cigars into Australia. If you violate these laws, you can be subject to fines, imprisonment, and other consequences.
The Bans Impact
The impact of cigars might seem insignificant, but let’s not forget the entire tobacco industry in Australia and how it shapes the economy, businesses, and individuals. Because cigars can fetch quite a large sum, their impact is also quite large.
Economic Effects
The ban has had economic effects on both countries, Australia and Cuba. Since Australia was a high market for cigars, stopping importation negatively affected the economy of Cuba. This wasn’t just a small market as well; the price of Cuban cigars can be quite high, and the market in Australia is large, so a large portion of Cuba’s income was reduced.
On the other end of the spectrum, Australian retailers and consumers missed out on this special segment of the luxury goods market. This strong demand for cigars has resulted in the black market, with consumers wanting to pay steeper prices to get their hands on prohibited products.