Customs intelligence officials have seized 150 metric tonnes of raw tobacco in 10 containers imported from Pakistan by Global Leaf Tobacco Company Ltd under a bonded warehouse facility at Chattogram port, raising concerns over potential revenue evasion at both import and cigarette production stages.
The seized tobacco could be used to produce an estimated 2.143 billion premium cigarettes, with a potential retail market value of Tk 493.86 crore, according to the Customs Intelligence and Investigation Directorate (CIID).
A preliminary examination found significant discrepancies in the declared import value of the consignment, the directorate said.
While similar products under the same Harmonised System (HS) code were assessed at $5.10 per kg, the consignment was declared at only $1.45 per kg.
Based on the previous assessment value, the potential revenue involved at the import stage is estimated at around Tk 21.12 crore, according to the preliminary assessment.
The use of the bonded warehouse facility has also raised concerns about the proper accounting and monitoring of the tobacco’s actual use and the quantity of cigarettes produced from it.
If the imported tobacco and the resulting finished products are not properly accounted for, there is a serious risk of customs duty and tax evasion at both the import stage and during subsequent production and marketing, the directorate said.
The seizure highlights the need for effective monitoring of bonded imports to ensure that raw materials are used for authorised purposes and that duties and taxes are properly accounted for when applicable.