DRI Report Reveals Surge in Drug Seizures, Contraband Cigarettes, and Illicit Currency in India
The Directorate of Revenue Intelligence (DRI) has released a report highlighting significant shifts in smuggling patterns across India, with notable increases in drug seizures, contraband cigarettes, and illicit currency. The report points to Dubai as a major transit hub for cigarette smuggling, underscoring the evolving nature of cross-border crimes.
Key Findings of the DRI Report
Spike in Drug Seizures: Drug confiscations saw a sharp rise in FY24, with cocaine seizures more than doubling and smuggling increasing by 9%. Methamphetamine smuggling has grown significantly, particularly in northeastern states such as Assam and Mizoram.
Contraband Cigarettes: The first half of FY25 witnessed a 19% surge in contraband cigarette seizures, largely smuggled through Dubai’s free trade warehousing zones.
Illicit Currency Seizures: Foreign currency seizures during the first half of FY25 amounted to₹13.8 crore, surpassing the₹12.4 crore seized in the entirety of FY24.
Gold Seizures Decline: Gold seizures fell by 9% in FY24, with 55% attributed to land routes through Myanmar, Bangladesh, and Nepal.
Wildlife Trafficking: DRI seized 53.5 kg of elephant tusks and other wildlife items, indicating ongoing challenges in combating illegal wildlife trade.
About the DRI
The DRI, India’s apex anti-smuggling agency, was established on December 4, 1957. It operates under the Central Board of Indirect Taxes and Customs (CBIC) within the Ministry of Finance. Evolving from the Central Revenue Intelligence Board of 1953, the agency enforces customs and indirect tax laws.
Key offshoots of the DRI include the Directorate General of GST Intelligence and the Narcotics Control Bureau, both of which now function as specialized agencies.
Operations: The DRI conducts cross-border operations targeting arms trafficking, money laundering, terrorism financing, and wildlife smuggling. Its scope has expanded to include commercial fraud and counterfeit currency. In FY24, the agency recorded seizures worth approximately ₹3,573 crore.
The DRI’s annual regional customs enforcement meeting on its Foundation Day fosters international cooperation, strengthening ties with global enforcement agencies.
Challenges in Combating Smuggling
Corruption and Collusion: Smuggling operations often exploit corruption and collusion, undermining enforcement efforts. Despite amendments to the Wildlife Protection Act empowering customs officers to seize illegal wildlife, trafficking persists.
Misuse of Trade Agreements: Free trade agreements are frequently misused, allowing smugglers to misdeclare goods and flood markets with illicit products, threatening domestic industries.
Data Gaps: Inadequate data collection on smuggling activities limits effective responses. While the National Crime Records Bureau (NCRB) provides some data, a comprehensive database is lacking, hindering resource allocation and strategy planning.
Technological Sophistication: Smuggling syndicates increasingly use the dark web and cryptocurrencies, complicating detection. The Narcotics Control Bureau has reported a growing number of tech-enabled trafficking cases.
Geographical Challenges: India’s extensive borders with countries like Myanmar, Bangladesh, and Nepal, coupled with varied terrain, complicate monitoring and enforcement efforts.
Evolving Tactics: Smugglers are employing sophisticated methods, including “mules,” and exploiting international departure gates, particularly for gold smuggling.
Actionable Strategies to Tackle Smuggling
Strengthening Law Enforcement: Enhanced collaboration between national and international agencies is essential. The Ministry of Home Affairs has initiated capacity-building programs to address trafficking and smuggling challenges. For instance, the U.S. Customs and Border Protection works closely with Canadian authorities to combat cross-border smuggling.
Regulatory Reforms: Stricter oversight of free trade zones and regular audits can curb contraband activities. The European Union has implemented stringent regulations to prevent the misuse of free trade zones for smuggling.
Investment in Technology: Leveraging advanced technologies like drones, data analytics, and automated surveillance can improve detection at borders and ports. Australia’s investment in drone technology and automated detection systems provides a successful model for effective monitoring.
Public awareness campaigns: educating the public about the societal impact of smuggling and drug abuse is vital. Campaigns like the UK’s “Crimestoppers” encourage citizens to report suspicious activities, demonstrating the importance of community involvement.
The DRI’s findings highlight the growing complexities of smuggling in India, driven by technological advancements and international networks. Addressing these challenges requires a multifaceted approach, combining law enforcement, regulatory reforms, technological investments, and public engagement.
