DRI uncovers large-scale illegal use of SAFTA agreement in areca imports

The Directorate of Revenue Intelligence (DRI) conducted a month‑long intelligence‑led operation that uncovered a large‑scale fraud involving the South Asian Free Trade Area (SAFTA) agreement. Syndicates imported areca nuts from Indonesia, Thailand, Malaysia and other South‑East Asian countries but falsely declared them as Bangladeshi origin to claim full customs duty exemption. The scheme is estimated to have caused a revenue loss of over Rs 2,500 crore, with Rs 75 lakh in cash and about 160 MT of areca nuts seized. Nine persons were arrested, a customs broker’s licence was suspended, and the investigation highlighted the use of hawala channels and dummy entities. The illegal imports distort domestic prices and undermine regulated trade practices.