Battle those supply chain bandits

Cargo theft is on the rise, but hope isn’t lost. We delve into various solutions that cargo carriers can use to fight back.

Verisk CargoNet, a business unit of global data analytics and technology provider Verisk, reports that cargo theft activity across the US and Canada reached record-breaking heights in 2024. The 3,625 reported incidents represent a stark 27% increase from the previous year, while the estimated average value per theft also rose to US$202,364 – up from US$187,895 in 2023.

While it is rather difficult to obtain statistics for South Africa, the “BSI and TT Club 2023 Cargo Theft Report” (the latest study from BSI Connect Screen – a risk intelligence and supplier management platform – and TT Club, which provides insurance and related risk management services to the international transport and logistics industry) paints a familiar picture on the state of affairs in this country.

“Cargo thieves continue to use corruption and other forms of deception to facilitate cargo thefts globally. One example is the persistent presence of organised criminal groups using fraudulent tactics to hijack trucks in South Africa,” the report highlights. “South Africa remained the top region of concern for cargo theft in Africa in 2023. Goods transiting through South Africa face a significant hijacking risk, especially with the presence of ‘blue light gangs’,” it continues.

The report explains that these groups of bandits impersonate police officers by disguising themselves in police uniforms and using blue lights on their vehicles to mimic police cars, tricking drivers into pulling over. The perpetrators then commandeer the truck and steal the cargo.

“Thieves are also known to target in-transit vehicles using other deceptive tactics, including blinding the driver with a bright light, forcing them to pull over, and overtaking the vehicle. There have also been reports of thieves setting up fake roadblocks and using violence, or the threat of violence, to overtake the vehicle,” it says. “Leveraging the use of insider participation is another common tactic used to steal cargo. Truck drivers have been known to assist criminals in stealing goods, including staging hijackings.” 

Robert Strenk, senior director of SecurSpace – an online marketplace that connects companies looking for parking and storage options to those with excess capacity across the US – says that cargo theft prevention starts with better security measures and stronger partnerships across supply chains.

Strenk highlights a few strategies, which include:

• Vetting carriers and drivers more thoroughly to ensure that they are legitimate and trustworthy.
• Using route planning tools to identify and avoid high-risk areas (often referred to as “red zones”).
• Educating drivers on best practices, like avoiding unnecessary stops in theft-prone locations.

“While these measures help reduce risk, it’s important to remember that security isn’t just a checkbox on a list – it must be embedded in a company’s culture,” he stresses. “The most secure organisations don’t just set policies; they actively monitor compliance and take decisive action when standards aren’t met.”

There are also various advanced solutions available, as US-based security systems specialist Ecamsecure points out in its piece, “Cargo Theft: What it is and How to Prevent it”, noting: “Advanced security technologies are transforming how businesses protect their cargo. These solutions offer a proactive approach to monitoring and preventing theft, leveraging the latest in surveillance and analytics.”

These advancements include:

• Mobile surveillance units (MSUs): “MSUs are self-contained, solar-powered mobile security camera systems designed to provide comprehensive security coverage in high-risk areas. These units are equipped with high-definition cameras and advanced detection software, offering surveillance in locations where traditional systems may not be feasible. Their mobility helps ensure they can be easily deployed and repositioned as needed, providing ongoing protection for warehouses, transit routes, and parking areas,” Ecamsecure highlights.
• Remote video monitoring: “Around-the-clock remote video monitoring helps ensure cargo is under constant surveillance. These systems allow trained professionals to monitor multiple locations in real time, identifying and responding to unusual activity quickly. With integrated deterrence measures like alarms or voice-down systems, remote monitoring provides a reliable and cost-effective alternative to traditional on-site security personnel,” notes the security specialist.

• Artificial intelligence (AI)-driven threat detection: “AI-powered systems are revolutionising security by analysing video feeds in real time and identifying potential threats,” it says. “These systems can detect suspicious behaviours, such as unauthorised access or loitering, and issue instant alerts to enable quick intervention. By addressing risks proactively, AI-driven solutions significantly reduce the likelihood of theft.” 

AI can play a far greater role, however, as pointed out by Eli Chachak, co-founder and CTO of CyberDB – a web-based research platform that focuses on the global cyber industry.

“As cyber threats targeting transit systems grow more frequent and complex, AI in transportation is stepping in to protect them,” he says. “Let’s face reality. Cyber threats are growing smarter. Therefore, AI and machine learning (ML) are major components of effective cyberattack prevention systems.”

Chachak notes that the most common cyber risks include phishing attacks, ransomware threats, and system vulnerabilities: “Online pirates trick employees into sharing sensitive information; hackers lock down systems, demanding payment to release them; (and) unpatched or outdated software can be easily taken advantage of,” says Chachak about these respective risks.

“The fallout from these attacks goes beyond financial losses. Downtime affects shipments, flights, and overall operations, leading to major delays. In industries like air travel, this can even put lives at risk,” he emphasises.

AI can monitor traffic across vast networks for potential cybersecurity threats, keeping an eye out for these attempts. “It doesn’t only watch; it also adapts and tends to become better at preventing the attacks from happening again,” says Chachak.

“Here are the actions AI and ML can perform to protect transportation systems: flag unusual traffic patterns and suspicious behaviours, isolate and neutralise threats before they spread, (and) learn over time and improve (their) ability to detect future issues more accurately.”

So, although cargo theft is on the rise (and becoming more sophisticated), vigilance, advanced security solutions, and proactive strategies will enable cargo carriers to beat supply chain bandits.