Recently, Shantou Customs  cracked a big cotton-smuggling case for the first time, worth more than 800 million yuan, through processing trade channel.

Shantou Customs found that three textile companies registered with the Customs were all invested by a Hong Kong company and that their processing trade data were abnormal. Through further investigation, the Customs found that a smuggling gang led by Zhuo sold bonded import materials  on domestic market and manipulated processing trade mode to smuggle in uncombed cotton so as to evade import quota control.

During October 27-28, Shantou Customs officers successfully seized 8 smuggling suspects in Guangzhou, Shenzhen, Jiangmen and Shanwei cities, and detained one batch of material, documentary and electronic evidences. Primary investigation indicated that, from late 2012 to June 2014, the smuggling gang utilized many companies to sell cotton imported by processing trade mode and made false write-off, totally smuggling 40,000 tons of cotton inward, worth RMB 831 million.