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Until 1999, the Australian government applied both an excise based on weight and ad valorem taxes based on the wholesale value of sales. Consequently, lighter cigarettes attracted lower excise and duty rates than heavier ones. This resulted in an incentive to package a greater number of cigarettes per pack and to reduce the overall packaging and selling price by reducing the weight of a packet.

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As a result of these changes, the average price of a carton of 20 cigarette sticks declined significantly between 1940 and 2020. Nevertheless, the average price of a carton in the same year was about 16% higher than in 1940 after adjusting for inflation.

The relative prices of the cheapest and most expensive cigarettes in the market have also changed over time. The average price of a pack of the most expensive brands is almost six times as high as that of a packet of the cheapest brand.

Despite the efforts of governments, retailers, and manufacturers to control contraband, the availability of illegally-smuggled tobacco continues to grow. While the prevalence of contraband cigarette sales in Canada has been declining since 2008, it remains a significant issue.