KOCHI: They never had it so good: both the gold smugglers and the customs authorities who chased them at the state’s three airports and the Cochin sea port have fought a running battle in the last three years ever since the government imposed a 10 per cent import duty on the yellow metal in 2013. And the statistics are anything to go by, the battle only gets more fierce.
While the total seizure was a paltry 18.25 kg and 18.93 kg in 2011-12 and 2012-13, respectively, it went up to 232.33 kg in 2013-14 and 330.97 in 2014-15. Up to January this financial year, the customs have seized 259.35 kg of gold (up to January 31). The money involved too has gone up from RS 4.23 crore in 2011-12 to Rs 89.89 crore in 2014-15. (see box)
The Customs Commissonerates at Kozhikode, Thiruvanathapuram and Kochi and Customs Preventive and DRI effected these seizures. The highest amount of seizure in a single year was made at Calicut airport in 2014-15 where the Customs seized 102.54 kg which is worth Rs 29.32 crore.
The next highest was this year by the Customs House Kochi at 91.93 kg worth Rs 22.64 crore. The seizure wherein 14 crude gold chain of 24 carat, each weighing 500g concealed inside the fuel tank of a Mini Cooper car imported by a Mangalore native through Kochi port in last February was the first of its kind to be reported from Kerala.
According to Customs estimates, the busted Muvattupuzha-based racket alone smuggled in 2,000 kg of gold between 2013 and 2015. Having tried everything from mouth to rectum and honey to grease, the smugglers are now trying expensive routes, say customs officials. According to Dr K N Raghavan, Customs Commissioner, Kochi, the smuggling of gold increased after the introduction of 10 per cent duty on gold in 2013.
“Earlier the modus operandi was to bring gold through ships,” he said. “But this gradually came down after agencies including Coast Guard and Navy stepped up the vigil. With flight numbers as well as the number of passengers increasing, the smugglers found it more convenient to traffic gold through airports using individuals as conduits to carry up to 5 kg of gold. They found it less risky, too, as there is just one checking at the exit point. The margin a smuggler gets on one kg of gold is up to Rs 2.5 lakh.”
The flow has a bit slow down but the Customs officials expect it tom pick up soon. “Intake by jewelers came down when they went on a protest mode after the government introduced one per cent duty on gold in last March,” Dr Raghavan said. “We expect smuggling to pick up during festival seasons and the next would be during Onam.” There are no specific curbs on the movement of gold in the country, he said.
