Bangladesh's sea and land ports are facing serious security and revenue risks as more than half of the country's cargo-scanning equipment remains non-functional, according to a recent assessment by an intelligence agency.
The intelligence report, submitted to the National Board of Revenue (NBR), warns that the shortage of operational scanners is creating major vulnerabilities by facilitating the smuggling of arms, explosives, and narcotics, while enabling widespread customs-duty evasion through false declarations.
According to the report titled "Country's Sea and Land Port Installed Scanners (Out of Order)", only 13 of the country's 29 installed scanners are currently operational, leaving the remaining 16 out of service.
However, customs officials say some of the scanners were made functional recently by the own initiatives of customs houses.
The intelligence report says the customs authorities are increasingly relying on manual inspections, which are time-consuming, less effective, and often incapable of detecting concealed goods or cargo misdeclaration.
Customs officials at Chattogram, Benapole, and Kamalapur ICD have told The Financial Express that the government should create a dedicated maintenance fund for scanners as delays in renewing maintenance contracts often leave critical equipment out of service for prolonged periods.
They say the NBR should have its own block allocation or contingency fund to immediately repair and maintain scanners without waiting for lengthy budget approval processes.
Although the intelligence report states that 10 of the country's 13 operational scanners are located at the Chittagong Port, officials at the Chattogram Customs House (CCH) say the port currently has eight installed scanners, of which four are operational.
"Another scanner is almost ready to be commissioned. Of the remaining two, one is out of order, while the other cannot be operated until the maintenance agreement with supplier FiveR is extended," a CCH official says.
He adds that efforts are underway to make both scanners operational within the next month.
The intelligence report says the shortage of scanning capacity has increased congestion at the country's principal seaport, forcing customs officials to conduct manual examinations of containers and slowing cargo clearance.
At the Mongla Port, two under-vehicle scanners have remained inoperative since February 2025, while several luggage scanners are also out of service.
The situation is even more critical at inland container depots (ICDs).
No container scanner is currently operational at either Kamalapur ICD or Pangaon ICD, requiring customs officials to physically inspect every container.
According to the report, Pangaon ICD's fixed PITC scanner has remained out of order since December 2020.
Although Swiss logistics company Medlog took over operations at the terminal on November 17, 2025, cargo continues to be handled without electronic scanning, making customs clearance slower and more cumbersome.
Several major land ports are also operating with little or no electronic surveillance.
At Benapole, the country's largest land customs station, two luggage scanners have remained out of service since October 2023 and February 2026, respectively, leaving only one scanner operational.
A senior customs official at Benapole says the customs station recently repaired the scanners using its own funds to expedite cargo clearance.
The scanner at the Bhomra Land Port has remained out of order since April 2024, while the Sonamasjid Land Port has been without a functional scanner since December 2020.
Tamabil, Akhaura, and Burimari land ports currently operate without any functional electronic scanning equipment, significantly increasing the risk of cross-border smuggling, according to the intelligence report.
The report also notes the growing use of "luggage parties" to transport smuggled goods through vulnerable land ports where electronic surveillance is absent.
Without electronic scanning, customs officials depend largely on manual inspections, which often fail to detect under-invoicing, false declarations, and concealed goods.
This allows importers to evade customs duties and taxes while undermining fair competition.
Beyond revenue losses, the report warns that inadequate scanning substantially increases the risk of weapons, explosives, and narcotics entering the country undetected.
The intelligence agency attributes the crisis primarily to ageing equipment and poor maintenance.
Many scanners have exceeded their operational lifespan, while maintenance contracts with original suppliers have either expired or were never renewed.
Procuring spare parts from Germany, the United Kingdom, the United States, and China has also become increasingly difficult, leaving many machines idle for years.
To address the growing risks, the intelligence agency has recommended immediate procurement and installation of new scanners at all major sea and land ports, mandatory long-term maintenance agreements with suppliers, regular preventive maintenance programmes, and accelerated modernisation of border inspection infrastructure to strengthen national security and customs enforcement.
Economic analysts say investment in modern scanning equipment would cost only a fraction of the billions of taka lost annually through customs duty evasion while significantly improving Bangladesh's trade security and border management.
The report comes as Bangladesh seeks to improve trade facilitation and logistics efficiency.
However, international port performance indicators show that the Chittagong Port continues to lag behind many regional competitors, highlighting the need for sustained investment in modern customs and port infrastructure.
Nusrat Nahid Babi, senior transport specialist at the World Bank, says cargo scanners are among the key components of efficient customs clearance.
"With trade volumes doubling every five years, we need to ensure the effective functioning of scanners and minimise manual inspections," she says.
She notes that the customs administration in many countries partners with the private sector to provide seamless scanning services.
"Bangladesh can adopt a similar approach by fostering a culture of trust and compliance and encouraging private sector participation in scanning services," she adds.
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