Discount stores specializing in international snacks that illegally imported and sold imported food products by abusing the overseas direct purchase system have been caught by customs authorities.
On January 30, the Busan Regional Customs Office of the Korea Customs Service announced that it had referred four owners of international snack discount stores to the prosecution without detention on charges of violating the Customs Act, the Food Sanitation Act, and the Pharmaceutical Affairs Act.
Twelve discount stores specializing in global snacks in the Busan area were caught illegally importing and selling imported food products by abusing overseas direct purchase. Imported food products are displayed at the stores that were caught. Busan Regional Customs Office, Korea Customs Service
During a market survey of imported snacks, Busan Customs discovered that products registered as "hazardous foods" by the Ministry of Food and Drug Safety were being distributed at these international snack discount stores. By analyzing the import customs clearance records for these items, the authorities identified 12 stores suspected of violations.
The investigation revealed that, from January 2021 to June of last year, these stores had been illegally distributing and selling foreign snacks as well as over-the-counter medicines such as painkillers and digestive aids. The total quantity of illegally imported goods amounted to about 75,000 items, with a market value of approximately 300 million won.
In particular, it was found that the store owners used the names of 33 other people, including employees and relatives, to disguise the imported goods as personal-use overseas direct purchases rather than commercial items. By splitting up the shipments in this way, they attempted to evade customs inspections and import requirements.
The smuggled products brought in by abusing the overseas direct purchase system were displayed for sale individually after removing the packaging, often without expiration date labeling or the "Korean labeling requirements under the Food Sanitation Act."
Busan Customs also confirmed that, in the process of illegally importing snacks and other products, the suspects evaded customs duties and other taxes amounting to about 49 million won. As a result, the authorities plan to collect approximately 83 million won, including additional taxes and penalties.
A Busan Customs official stated, "Unlike officially imported products, it is difficult to trace the distribution channels of overseas direct purchase items, so it is hard to seek remedies if damages occur. Customs will continue to strictly crack down on illegal activities that abuse the simplified customs clearance system for e-commerce in order to protect consumers and foster a healthy environment for overseas direct purchases."
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