Rise in smuggling cases worldwide, business, govts suffer revenue loss: Minister

Ramesh Chand Meena addressing the seminar in Jaipur.

New Delhi (NVI):Smuggling related crimes have increased across the world resulting in loss of revenue to government and business, Rajasthan Minister for Food, Civil Supplies & Consumer Affairs, Ramesh Chand Meena said today .

He made this observation at FICCI CASCADE (Committee Against Smuggling and Counterfeiting Activities Destroying the Economy) seminar organised in Rajasthan.

“Smuggling related crimes have increased manifold in the global market resulting in revenue loss to government and businesses and adversely impacting the health and safety of the consumers,” Meena said.

The seminar discussed the importance of increased awareness on the hazards of counterfeiting and smuggling, and need for effective enforcement to enhance India’s economic development.

Member of FICCI Rajasthan State Council & Honorary Secretary General, KL Jain, said that illicit trade has a serious decelerating effect on growth which must be curbed substantially. Consumers must be encouraged to take a bill on every purchase for making India a tax compliant nation and encouraging citizens to be a part of progressive nation building.

FICCI CASCADE’s recent study titled ‘Invisible Enemy: Impact of Smuggling on Indian Economy and Employment’ quantitatively estimates both revenue and employment opportunity lost due to smuggling in five specific industries.

As per the report, total loss to the industry on account of illicit markets in just seven manufacturing sectors is about Rs 1,05,381 crore and the loss to the government is Rs 39,239 crore.

Another FICCI report titled ‘Illicit trade: Fueling Terror Financing and Organized Crime’, highlights that the total employment losses globally due to counterfeit and piracy stood at 2 to 2.6 million jobs in 2013 and is expected to rise to 4.2 to 5.4 million jobs in 2022, suggesting an approximate increase of 110 per cent.

As per the reports, seizures of highly smuggled goods such as gold, cigarettes etc. have been carried out in Rajasthan. Smuggled cigarettes are widely available in major cities such as Jaipur, Jodhpur, Udaipur, Jaisalmer, etc, apart from other small towns.