Analyzing Consequences of Contraband Smuggling on Customs Revenue Collection at Malaba Customs Post in Busia County, Kenya

Abstract

The study aimed to assess the influence of smuggling on customs revenue at the Malaba border post in Busia County, Kenya, with specific objectives including evaluating the extent of smuggling's impact on customs revenue, analyzing how smuggling affects customs revenue collection, investigating the connection between smuggling and customs revenue collection, and considering the theoretical framework of territoriality and universality. This framework guided the examination of how smuggling affects revenue collection at the Malaba border post. Data collection utilized a mix of qualitative and quantitative methods, involving interviews with customs officials, traders, and other stakeholders, along with secondary data from relevant literature and reports. The study's findings revealed the challenges faced by customs officials dealing with contraband smuggling and offered recommendations to improve revenue collection at the Malaba customs post, potentially informing government policies to combat contraband smuggling and contributing to existing knowledge on this issue. Conducted in the Malaba area with assistance from Mount Kenya University, the study involved a population of 1471 individuals, and data underwent rigorous analysis, including inferential and descriptive statistical methods using SPSS. The use of Cronbach’s alpha ensured data reliability, enhancing the overall dependability of the study's findings. In conclusion, this research comprehensively explored the impact of smuggling on customs revenue at the Malaba border post, offering valuable insights and recommendations for addressing the challenges associated with contraband smuggling and revenue collection.