That's normal. iTunes doesn't sync photos from your phone; it only serves as a conduit to sync photos to your phone, and to included your photos as part of your iPhone backup. Photos are not included in your iTunes library.
Not sure what you're trying to do but if you're trying to import your photos to your computer see http://support.apple.com/kb/HT4083.
Try restarting your computer. If it still isn't recognized, try items #2-5 at the bottom of this article: http://support.apple.com/kb/TS1538. Also, if you are running iOS 6, be sure you have iTunes 10.6.3 or above installed. If you have the iPhone 5, be sure you are running iTunes 10.7.
If the Scanner and Camera Wizard does not start, have you tried to open it manually? You are saying that with photos in the Camera Roll, the iPhone does not show up in Computer?
You may need to uninstall iTunes and reinstall it. However, you will need to do it the way it is described in this support document http://support.apple.com/kb/HT1925.
Then after the reinstall, connect the iPhone, let it update the USB driver and then see if it connects.