Kenya lost over $700 million in taxes in 2012 due to smuggling. But despite popular belief, the main problem with smuggling isn’t corruption. It’s tax havens, phantom firms and secrecy.
At the end of January, the Kenya Sugar Board, acting on a tip off, seized and impounded over 1,800 bags of illegally imported sugar. Arrests were made and the board vowed to begin a country-wide crackdown on other cartels who smuggle tons of sugar into the country each year.