The Kenya Revenue Authority has made significant strides in its fight against smuggling, which has greatly affected Kenya’s economy by draining billions in tax revenue and destabilizes legitimate businesses. From contraband cigarettes and counterfeit goods to under-declared imports at ports, the problem not only deprives the government of much-needed taxes but also distorts fair competition for compliant businesses. Recognizing the scale of the problem, KRA has begun turning to Artificial Intelligence to improve its enforcement capabilities. AI systems can detect suspicious trade patterns, flag risky shipments and help automate compliance checks. While this is a step in the right direction, AI alone cannot win the fight. To stay ahead of cartels that are equally learning to exploit technology, KRA must expand its toolkit and adopt a multi-pronged, technology-driven approach.
One of the biggest challenges in customs enforcement is verifying the authenticity of goods. Shipping documents are easily forged, and consignments are often undeclared. Blockchain technology offers a solution by creating a transparent, tamper-proof chain of custody for goods. If integrated into customs systems, blockchain could allow KRA to track cargo from source to destination, making it harder for smugglers to falsify records. Countries such as Singapore have already piloted blockchain in trade logistics, showing its potential to plug loopholes.
Kenya’s vast borders with Uganda, Tanzania, Ethiopia, and Somalia, as well as its long coastline, pose a major challenge. Smugglers exploit remote entry points that are difficult to police manually. Drones equipped with cameras and thermal sensors could provide real-time surveillance, giving enforcement teams better visibility over high-risk areas. When paired with AI image recognition, drones could detect unusual night movements, hidden routes, or unregistered vehicles. Similar technology has been used globally to fight poaching and human trafficking, making it a natural fit for anti-smuggling efforts.
Beyond drones, smart sensors and Internet of Things devices could revolutionize cargo inspection at ports and border points. IoT-enabled containers can record real-time data on weight, location, and tampering. If a container is opened illegally or shows unusual movement, an automatic alert is sent to customs officials. This reduces reliance on random checks and ensures high-risk shipments are prioritized. Technology also reduces human error and limits opportunities for corruption.
While AI gives KRA sharper eyes, it is only one piece of the puzzle. To build a resilient defence, the Authority must combine blockchain for trade transparency, drones for border surveillance and IoT sensors for smart inspections. In doing so, Kenya would not only safeguard critical tax revenue but also send a strong message that technology, when deployed strategically, can outpace even the most sophisticated smuggling cartels. The future of customs enforcement lies not in one tool, but in the integration of many.