April 20 layout 1

Daily on www.customsbulletin.com

Find us on

pAkIStAN’S FIrSt INDepth NewSpAper oN cuStoMS

Daily

ABC Certified

Karachi, Thu April 20, 2017

ISLAMABAD

M FAIZAN

www.customsbulletin.com

N

ational Assembly Standing Committee on Finance, Revenue, Economic Affairs, Statistics and Privatization suggested that direct wealth tax / net wealth tax @ 0.5% (adjustable) should be charged by the government for increasing the

revenue collection and also recommended that digital money promotion mechanism should be considered by the FBR and State Bank of Pakistan for increasing the revenue. The meeting of committee on Finance, Revenue, Economic Affairs held at Parliament House, Islamabad under the Chairmanship of Qaiser Ahmed Shaikh, MNA. Qaiser Ahmed Shaikh, chairman of the committee apprised the members about the vital role of this committee for facilitating the Ministry of Finance and Revenue to prepare the upcoming Budget. He said that this C o m mittee should t h o r oughly

Vol 2, Issue No. 121

Price Rs. 14.00

consider the suggestions /proposals received from various business forums/stake holders for onward submission to Finance Division. The Committee unanimously decided that its next meeting would be held on 26th April, 2017, to discuss the budgetary proposals, exclusively.

The Committee also decided that stakeholders and FBR would be called in the said meeting, while considering the suggestions received from Karachi Chamber of Commerce. The committee decided that Tax Reforms Commission report should be discussed in detail in its next meeting, because the Committee members were of the view that recommendations of the Karachi Chamber have already been addressed in the Tax Reforms Commission report.

DG Valuation revises customs values of textile lining material

Govt sets 5.7 percent GDP growth by 2018: Senate told

Trade Development Authority of Pakistan CEO SM Muneer quits

Customs I&I Lahore impounds Rs659m NDP items, vehicles in 3Q

Duty concessions given in 5,109 cases: FBR chief tells Senate body

DG of Customs Valuation has revised the customs value of textile lining material | See pAge 02 |

Dastagir apprised the Senate that macro economic stability had been achieved | See pAge 03 |

SM Muneer has quit as chief executive oďŹƒcer of the TDAP | See pAge 04 |

Customs I& I Lahore has posted a growth of 33 percent by impounding Rs 659m | See pAge 14 |

FBRChairmanhassaidthatdutyconcessions have been granted in 5,109 cases | See pAge 16 |

2

www.customsbulletin.com

ASO seizes vehicle & goods worth Rs575000 in April’s first week Thursday, April 20, 2017

National

HYDERABAD: The Customs’ Anti-Smuggling Organization (ASO) has impounded 22 smuggled cartons of Royal Business cigarettes along with a Suzuki Hi Roof vehicle during a raid on railway station Hyderabad during the first week of April 2017.

The market value of the seized cigarettes is Rs575000 involving duty taxes of Rs 385000. Sources told Customs Today that Collector Agha Shahid Majeed Khan received a tip-off that non-duty paid cigarettes and other items were being smuggled. He constituted a team under the supervision of Additional Collector Rehmatullah Vistro.

Dg Valuation revises customs values of textile lining material

LAHORE

KARACHI

SAJID NAwAZ

wAQAr AhMeD ANSArI

www.customsbulletin.com

www.customsbulletin.com

he Federal Tax Ombudsman (FTO) has adjourned the hearing of a case filed by M/s Agro Tractors (Private) Limited Lahore against the Corporate Regional Tax Office (CRTO), Zone-II Lahore, until the next date of hearing. FTO Mian Munawar Ghafoor heard the case in which counsel for appellant Muhammad Faisal Naseer argued that the Corporate Regional Tax Office (CRTO), Zone-II, had failed to release the tax refund of the last two years claimed by the company.

He said the RTO collected excessive tax from Mujahid Islam, M/s Agro Tractors Private Limited during the last two years. He approached the commissioner concerned many times for issuance of refunds but the CRTO officials did not pay refunds after the passage of reasonable time. At the end, the company decided to approach the FTO seeking interference in this case. The counsel appealed the FTO advisor to direct the CRTO to clear the refund claims. The counsel further said the CRTO should refund the excess collection in the wake of taxes by the end of financial year but the situation is quite otherwise.

T

T

The Directorate General of Customs Valuation has revised the customs value of textile lining material fabric and textile invisible coated lining material fabric through Valuation Ruling No 1123/2017 under Section 25-A of the Customs Act, 1969.

According to the details, the previous Customs values of textile lining material were determined and notiTied vide Valuation Ruling No.630 / 2013 dated 27-12¬2013 which was more than three years old therefore, an exercise was undertaken by this Directorate General to revise the same according to trends prevailing in the current international market. Meetings were scheduled on 10-01-2017, 16-022017 and 11-04-2017.

All the participants were requested to submit invoices of imports during last three months showing factual value.

Websites, names and e-mail addresses of known foreign manufacturers of the item in question through which the actual current value can be ascertained.

Copies of contracts made / LCs opened during the last three months showing the value of item in question. Copies of sales tax Invoices issued during last four months showing the difference in price (excluding

Fto hears case filed

by M/s Agro tractors against corporate regional tax office

duty and taxes) to substantiate that the beneTit of difference in price is passed on to the local buyers.

The requisite documents were not submitted by any stakeholders, however importers, and representative of trade organization attended the meeting and put forth their point of view that internationally the prices of subject item varies due to different kind and different thicknesses as per sample forwarded by them. Moreover, the untwisted yarn which is the raw material of the subject item has

declined signiTicantly. The main stress of the importers was that textile invisible coated fabric which is similar item is being assessed and Released at lower rate ranging from $ U.S 2.30 to 2.65 which has created un-stability in the fecal market.

Meanwhile, The Directorate General of Customs Valuation has revised the customs value of (low end brands) ladies undergarments (brassier) of poly cotton blend through Valuation Ruling No 1122/2017 under Section 25A of the Customs Act, 1969. Ac-

cording to the details, Valuation Directorate had earlier conducted an audit of clearance values of the subject goods and found the same to be on the lower side, in comparison with the international trading and national selling prices. In the previous 90 days data, majority of the under reference imported goods from China were being cleared at rates vitiating from US $ 0.0173/Kg to around US $ 4.00/Kg (but generally without declaring whether in bales or in individual retail packing mode).

ASo seizes goods worth rs04.1m during different actions T

HYDERABAD

ASLAM ANJuM QureShI www.customsbulletin.com

he Model Customs Collectrate’s Anti-Smuggling Organization (ASO) conTiscated smuggled items including three vehicles, smuggled 9880 liters Iranian high speed diesel ( HSD) and contraband 08 cartons of Gutka worth Rs04.1 during different operations in March 2017.

The ASO team, following the in-

struction of Hyderabad Customs Collector Agha Shahid Majeed Khan, conducted various raids in Hyderabad under the supervision of Headquarters Additional Collector Rehmatullah Vistro.

The ASO seized smuggled goods including non-duty paid smuggled three Toyota vehicles Hilux surf with registration No: BF-9778 modelled 2006 worth Rs02.00million involving duty and taxes of Rs02.8million, foreign origin non-duty paid Toyota Suzuki Alto car with registration No:

AKA-143 modelled 2000 worth Rs500000 involving duty taxes of Rs407500 and foreign origin Hilux surf without registration modelled 1998 worth Rs800000 involving duty and taxes of Rs01.02million.

The ASO ofTicials also conTiscated contrabands foreign origin 08 cartons, 80 packets, 82750 sachets of Indian Gutka worth Rs248250 and smuggled foreign origin 9880 liters of Iranian high speed diesel (HSD) worth Rs494000 involving duty taxes of Rs 380380 during the above said

period. The ASO team, comprising Superintendent Abu Muhammad Warsi, Inspectors Asadudin Mirza, Iqbal Mugal, Mushtaque Ali Lakho, Nazim Ali, Shakeel Khan, Waqar Ahmed Baig, Sepoys Essa, Abid Raza, Ghulam Sarwar, Ayuob, Muhammad Ahmed (Hawaldar), Drivers Sadiq Khaskheli, Javeed Maskoor and Nisar Ahmdani, took part in the operations. Talking to Customs Today, Rehmatullah Vistro said the Hyderabad Customs showed excellent performance regarding the anti-smugglings during said period.

Meanwhile, The Customs’ Anti-Smuggling Organization (ASO) has impounded 22 smuggled cartons of Royal Business cigarettes along with a Suzuki Hi Roof vehicle during a raid on railway station Hyderabad during the Tirst week of April 2017.

The market value of the seized cigarettes is Rs575000 involving duty taxes of Rs 385000. Sources told Customs Today that Collector Agha Shahid Majeed Khan received a tipoff that non-duty paid cigarettes and other items were being smuggled.

3

www.customsbulletin.com

Turkish investors interested to invest in Pakistan KARACHI: Turkish investors were interested to invest in Pakistan in different sectors, said Murat Mustafa, Turkish Consul General of Turkey in Karachi.

Sindh Governor Muhammad Zubair also emphasized on coordinated efforts for increasing trade between Pakistan and Turkey that could also play an important role in eliminating poverty and un-employment in the region. Both the dignitaries exchanged their views in a meeting held at the Governor House, said an official statement on Monday.

The governor said the people of Pakistan and Turkey were bound under the relationship of Islamic brotherhood.

Thursday April 20, 2017

National

ASo impounds smuggled goods, vehicles valued rs16.00m

govt sets 5.7 percent gDp growth by 2018: Senate told

FAISALABAD

NAeeM SheIkh

www.customsbulletin.com

he Customs Anti-Smuggling Organization (ASO Faisalabad has impounded contraband goods worth Rs16.00million during March.

Deputy Collector Muhammad Rizwan Khan told Customs Today that smuggling cases are declining day by day due to strict monitoring and timely actions of the ASO teams. He also appreciated the performance of the ASO as it has foiled a number of smuggling bids in the region. He said the seized items include non-duty paid vehicles, foreign origin cloths, cigarettes and other miscellaneous items.

The Faisalabad ASO registered more than 16 seizure cases during the antismuggling activities in March.

T

ASo starts grand operation against smugglers KARACHI

MuBeeN huSSAIN

www.customsbulletin.com

ustoms Intelligence and investigation (I&I) Anti-Smuggling Organization (ASO) has shown tremendous performance during the last 20 days as it has launched a grand operation against smugglers and customs duty evaders across the city. During several raids, the ASO teams impounded 31 non-duty paid luxury vehicles and registered cases against the suspects. The ASO officers also seized more than 40,000 liters smuggled diesel in the operations. Sources told Customs Today that the worth of seized vehicle and diesel is Rs 80 million . The First Information Reports have also been registered against the suspects involved in smuggling. The higher authorities have asked the officers of Customs Intelligence and investigation (I&I) Anti Smuggling Organization (ASO) to continue the pace of work in future.

C

ISLAMABAD

cuStoMS BuLLetIN report www.customsbulletin.com

M

inister for Commerce Engineer Khurram Dastagir apprised the Senate that macro economic stability had been achieved during last three years and country’s Gross Domestic Product (GDP) remained over 4 per cent.

Responding to a Calling Attention raised by Sherry Rehman about increasing trade deTicit during JulyMarch (FY 2016-17), the minister said efforts were being made to enhance GDP to 5.7 per cent by 2018.

He said owing to administrative steps taken by the government, collection of Federal Board of Revenue (FBR) had increased and it witnessed 60 per cent increased during the last three years. He said FBR revenue collection had jumped to Rs 3102 billion from Rs 1947 billion during the said period.

FBR exceeded its revenue tax collection target for the Tirst time, he added. The minister said budget deTicit had also decreased due to the government’s steps.

He said Pakistan Stock Market was considered among best market of the world and market capitalization had also been improved significantly. He said foreign direct investment had also registered 12.4 per cent growth while foreign exchange reserve surged to $ 21.57 billion. The minister said the gov-

ernment was cognizant of country’s export and it was also registered 3.6 per cent increase.

However, he said machinery import for energy related and other development projects had also been increased which was main cause of widening of trade deTicit. Meanwhile, The Senate has informed that cartels in cement, automobile and sugar industry are Tleecing consumers worth billions of rupees and had taken refuge under the court

FBr exceeded its revenue tax collection target for the first time. the minister said budget deficit had also decreased due to the government’s steps

peshawar I&I-Ir unearths massive tax evasion

T

PESHAWAR

cuStoMS BuLLetIN report

www.customsbulletin.com he Federal Board of Revenue’s Directorate General of Intelligence and Investigation-Inland Revenue has unearthed massive tax evasion by some companies.

The Peshawar I&I-IR busted the organised gang involved in business of fake and flying invoices to commit tax frauds and claim illegal input tax adjust-

ments, reflecting existence of blacklisted buyers in market to evade sales tax.

The directorate has also started sales tax audit and inquiry in cases of M/s ADN Traders, Peshawar, M/s KD Trading, Peshawar & M/s SG Asia Traders, Peshawar under sections 25 and 38 of the Sales Tax Act, 1990.

The initial findings of the proceedings reveal that registered persons are, prima facie, involved in tax fraud as defined in section

2(37) of the Sales Tax Act, 1990.

The taxpayers are commercial importers of consumer goods like battery, bulbs, cloth buttons, glass beads, padlock, school bags, etc, but declaring their sales to registered persons including the industrial units. All of them have claimed huge purchases and declared low sales. Most of the sales invoices are split into less than Rs 50,000 value to avoid compliance of section 73 of the Sales Tax Act, 1990.

Stay Orders to avoid action by the Competition Commission of Pakistan (CCP). Replying to questions related to Finance Ministry, Minister for Law and Justice, Zahid Hamid informed the house during question hour that CCP has imposed a Tine worth Rs 140 million to automobile industry, Rs 6.402 billion to cement industry while the sugar industry owners had got stay order from the court prior to passage of any adverse decision by the CCP.

etD takes action against 263 vehicles he Excise and Taxation Department (ETD) during general hold-up took action against 263 vehicles over non-payment token tax. The team checked vehicles at different roads and impounded 46 vehicles besides issuing tickets to 217 vehicles over non-payment of token tax. The team also removed unrecommended number plants from 1,087 vehicles during the operation, a spokesman for ETD said here Thursday.

T

4

www.customsbulletin.com

Govt utilizing resources to achieve cotton cultivation target MULTAN: Secretary Agriculture Punjab Muhammad Mahmood said the government was utilizing all possible resources to achieve cotton cultivation target on 6 million acre of land.

He directed the Agriculture department’s officials to remove hurdles faced by growers in cotton cultivation and ensure availability of high quality seed in the market. He ordered to send samples to laboratories for maintaining fertilizer and pesticide quality and asked the officials to provide guidance to growers regarding cotton production technology.

He said that strict action would be taken against official concerned over complaints regarding fake fertilizer, pesticide during cotton season.

Thursday April 20, 2017

Business

tDAp ceo SM Muneer quits FAISALABAD

cuStoMS BuLLetIN report www.customsbulletin.com

S

M Muneer has quit as chief executive ofTicer of the Trade Development Authority of Pakistan (TDAP).

Addressing a gathering in Faisalabad, he said that he would play an active role in traders’ politics and hold trader conventions across the country. He said the United Business Group (UBG) was the true representative of the business community of Pakistan. “It has made third consecutive clean sweep in the elections of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI),” he said. Pakistan’s in-

ptcL reports 2pc growth in revenues KARACHI

cuStoMS BuLLetIN report www.customsbulletin.com

he Pakistan Telecommunication Company Limited (PTCL) has announced the financial results for the first quarter of 2017 and declared a sequential growth of 2 percent in PTCL’s revenue in Q1-FY17 over Q4-FY16. Revenue from PTCL’s flagship Broadband service increased over same quarter last year. Likewise, wholesale services and international revenues also increased. Operating expenses were reduced by 2 percent over the same period of last year thanks to cost optimisation measures.

T

terest always remained near and dear to his heart, he said.

“As CEO of TDAP, I tried my best to plug the loopholes and curb corruption in the organisation. Corruption

in the organisation has been decreased to zero over the last three years,” he said, adding that despite his best efforts some disgruntled elements were creating hurdle in the

smooth functioning of this organisation. He said that Mian Idrees, being the Tirst elected president of the FPCCI from UBG, played his full role to revive the body and put it on the right track. He said that Mian Idrees spent Rs10 million from his own pocket on renovation of the FPCCI hall, which had been named after his father. He said that there was a time when the FPCCI was at the brink of bankruptcy and it had no money to pay salaries to its staff. However, now a splendid building of FPCCI in Islamabad has been completed and “we have enough money in our kitty to expand its activities”. He said the manufacturing sector of Pakistan was passing through a deep crisis and this was the reason that his sons had switched to business and set up their own shops in Lahore.

Motorbikes production increases to 1.209m units in 9 months: pAMA T

ISLAMABAD

cuStoMS BuLLetIN report www.customsbulletin.com

he production of motorcycles and three-wheelers in the country increased to 1.209 million units during Tirst nine months of the current Tiscal year as compared to the production of 998,040 units in July-March (2015-16). On monthly and yearly basis the production of the two-wheelers and three-wheelers in March was recorded at 138,050 units as compared to the production of 135,503 units and

115,805 units in February 2017 and March 2016, respectively. According to latest data released by Pakistan Automobile Manufacturing Association (PAMA), the production of motorcycles increased from 601,939 units in July-March (2015-16) to 712,040 units in Tirst nine months of the year 2016-17.

Similarly, production of DYL motorcycles also witnessed a slight increase during the period under review as the production went up to 5,973 units from 5,901 units in same period of the preceding year. Suzuki motorcycles’ production also rose to

14,712 units in July-March (201617) from 12,856 units in last year.

Meanwhile, Chinese Information Technology and services company Shenzhen ZNV Technology Co.Ltd launched its ofTice here for providing solution for telecommunication, Internet date centre, railroad and education. Shenzhen ZNT was the global provider of comprehensive management solutions, taking lead in ensurance of energy conservation and efTiciency improvement, said Chairman and CEO Robert Zhu while addressing the inauguration ceremony of company here Thursday.

egypt, pakistan to surpass canada’s economy by 2050 ISLAMABAD

cuStoMS BuLLetIN report www.customsbulletin.com

he economies of emerging market minnows Egypt and Pakistan could surpass the Canadian economy by 2050, according to a “brave” new report by management consultancy PricewaterhouseCoopers (PWC). “By 2050, emerging economies such as Mexico and Indonesia are likely to be larger than the UK and France, while Pakistan and Egypt could overtake Italy and Canada,” PWC said in a report. According to the measure, Canada is currently ranked as the 17th largest economy, but by 2030 the country will slip to No. 18 and by 2050 to No. 22. Egypt will move to No. 15 place and Pakistan right behind it. Despite the Canadian economy’s diminished status, the country’s GDP will roughly double to US$3.1 trillion by 2050 from its current level. The PWC forecast seems incredulous as Egypt’s GDP based on the more common market exchange rates (MER) stood at US$340 billion and Pakistan a mere US$284 billion in 2016. By contrast, Canada’s US$1.5 trillion massive economy placed it as the 10th largest in the world. By PWC’s MER measure, Canada’s GDP will slip to No. 17 by 2050, only narrowly beating both Egypt (No. 18) and Pakistan (19).

T

Ministry aims for $6b software exports by 2020 KARACHI

T

cuStoMS BuLLetIN report www.customsbulletin.com

he government has targeted an increase up to $6 billion per annum in Pakistan’s software exports by 2020, according to a Ministry of Information Technology and Telecommunication spokesperson.

For this purpose, the ministry has asked authorities to speed up the establishment of seven technol-

ogy incubation centres nationwide in order to train the youth. At present, software exports amount to $2.7 billion. “More than 30 consortia comprising over one hundred companies have submitted their bid proposals for four new incubation centres (one in each province),” said Ignite CEO Yusuf Hussain in a press statement. Ignite, which is headed

by Minister for Information Technology and Telecom Anusha Rahman and funded by telecom opera-

tors in Pakistan, has been tasked to establish the incubation centres.

Meanwhile, ministry spokesperson Saghir Anwar said the consortiums’ proposals were currently being scrutinised.

The two-level scrutiny would Tirst shortlist those consortiums which meet the set technical criteria for the establishment of technology incubation centres and subsequently their Tinancial bids would be considered. The projects will be

awarded by the Tirst week of May. By the second week of May, the Tirm would invite applications from interested parties for the establishment of three specialised tech incubation centres; Internet of Things, Robotics and Fin-Tech.

“The three specialised centres will most probably be set up in Islamabad,” said Anwar. Ignite has already set up a tech incubation centre at its ofTice building in Islamabad in February. “In the Tirst batch,

around 40 trainees will be accommodated. Such centres in provinces may have similar capacities to train tech-savvy students in each batch, while there may be more than one batch every year,” added Anwar. The spokesperson said that the larger objective of setting up these centres was to provide proper guidelines for students, provide them with job opportunities including self-employment and earn more foreign exchange at the national level.

www.customsbulletin.com

ADVERTISEMENT

5

6

www.customsbulletin.com

MULTAN IMrAN ALI www.customsbulletin.com

t

he Federal Tax Ombudsman (FTO) has full authority to take stern action against maladministration of the tax department on the complaints of taxpayers.

This was told by Federal Tax Ombudsman Abdur Rauf Chaudhry during an exclusive interview with Customs Today in his regional OfTice. He said that FTO is playing vital role in resolving grievances of taxpayers of the country. FTO has protected the rights of business community according to practice law.

He told that Federal Tax Ombudsman ofTice was established in Year 2000 to deliver speedy justice to aggrieved taxpayers in any case by launching independent investigations after receiving complaints of taxpayers on inefTiciency of tax department.

Abdul Rauf informed that FTO is receiving almost 1500 to 2000 complaints against tax departments and we are providing relief to taxpayers in minimum time by resolving their genuine concerns. The ratio of cases will increase further with the passage of time due to timely relief because Federal Tax Ombudsman is bound to conclude any complaint within 60 days of period at any cost according to their rule of law.

Federal Tax Ombudsman has made their complaint registration procedure easier for the facilitation of public and “we are in access of every grieved person through email or writing an application on a simple paper by attaching supporting documents with their

complaints,” he explained.

Federal Tax Ombudsman has ended afTidavit on the legal stamp papers to ease complainants for Tiling their complaints after shortage of stamp papers. He told that FTO is providing speedy justice to complainant free of cost and they don’t need even counsels for the representation of their cases if they have not enough resources and they may represent their case themselves in any matter.

They can hire any counsels also for the pursuance of their cases Tiled in FTO as there is no legal binding for them.

He stated that Federal Tax Ombuds-

man may investigate any tax matter if they found the allegations of maladministration factual during the hearing of any case and asked relevant tax authority to submit their response in these charges within given span of time. He stated that Federal Tax Ombudsman has sufTicient powers for the implementation of decision and every decision is also forwarded to President of Pakistan. FTO also exercises same powers of Supreme Court by alleging Contempt of Court on the disobedience of its decision.

Rauf Chaudhry expressed, “30-35 cases per month are Tiled with Federal Tax Ombudsman in the Multan OfTice and we are satisfying our 80% petitioners due to speedy justice system in FTO.” He further told that Federal Tax Ombudsman is working in all four provinces of the country including their regional OfTices in Multan and other cities of Punjab. Federal Tax Ombudsman has planned to establish a state-of-the-art ofTice in Sialkot after receiving substantial amount of complaints of business community. He stated, “FTO has launched awareness s i o t hat F t campaigns in the major cities d e m f infor 2000 of the country and we are also u o a t r 0 l 0 s t 15 Abdu t s n o running continuous advere m l m rt ing a tisement promotions to x depa a t receiv t s ain f to g e a i l aware public. Federal Tax s e t r n ai ng y compl rovidi Ombudsman is also conb p e e r m a i t e ducting meetings and semiand w imum rns in min s r nars with Chambers of Come conce y e a n p i x u n ta merce and small traders to eir ge ing th v l o aware them about the impors e r tance of FTO.

www.customsbulletin.com

Thursday, April 20, 2017

7

8

www.customsbulletin.com

Founder & Chairman Zulfiqar Ali Editor rahil Yasin editor@customsbulletin.com.pk For advertising & subscription marketing@customsbulletin.com.pk www.customsbulletin.com Phones: 042-35781643-4, Fax: 042-35781645 Address: 627, Siddiq Trade Centre, Gulberg, Lahore

eDItorIAL

uS interest in pak economy

A

t a time when the country’s economy is recovering from years of regression, two contrasting news reports appeared recently in the media, showing differences of opinion in US diplomacy toward Pakistan. One report is in threatening tone, saying that to break the stalemate in Afghanistan, the United States must break Pakistan’s pathologies. It alleges that out of 20 terrorist organizations, seven of them operate from Pakistan where they have safe havens and are a constant threat to the Afghan peace. On another note, US Ambassador David Hale has expressed his country’s resolve to work for the development of Pakistan as the two countries are closely aligned.The ambassador has also pointed out a very basic ingredient required for the development and that is innovation.

According to him, the two countries should work for economic growth, increase bilateral trade, improve investment climate, protect intellectual property and promote entrepreneurship.

The United States and Pakistan have passed through hot and cold relations on various occasions in the past and reason is only one and that is most of the US officials challenge the sovereign status of Pakistan. They are not accustomed to listen to any no from Pakistan and that is the root cause of the problem. It is also a matter of decision for the Pakistani officials to adopt a permanent policy about the US. If there is friendship, it should go through thick and thin with that country and if it wants to keep a neural status, it should keep it up in every situation. Iran is the best example of diplomatic success as it stayed away from any direct conflict with any country involving the United States. The Iranian diplomacy worked well in Afghanistan, Syria and Yemen. Besides, it supported certain groups in Lebanon without inviting direct threat to the country. The Pakistan’s economy is growing and it needs peaceful environment not only within the country, but also in the region. The best way to engage US in Pakistan is to create a conducive environment for TRADE AND INVESTMENT activities. The US companies should be invited to take benefit of the China Pakistan Economic Corridor and set up industries in tax free zones. There is lot of business and trade potential in Pakistan and the country could be converted into an attractive investment destination.

water disputes with India T

LAHORE

Dr AFtAB AFZAL

www.customstoday.com

he water crisis is potential risk to not only the country’s economy, but also for the life. At a time when India has stubbornly been violating the Indus Water Treaty by building new dams on the rivers, the successive governments in Islamabad have also showed highest degree of negligence in conducting a sound analysis of trans-boundary water issues. The lethargic attitude of the Pakistani ofTicials also caused inordinate delays in presenting the dispute to the Indus Water Commission or the World Bank.

The issue has so far been not only remain unaddressed, but also car-

ries risks to spoil the regional peace.The water security of Pakistan is under grave threat which could hinder the development of the country and peace in the region. The government has apparently failed to launch any research work or study the perils of water shortage and fell short of devising any diplomatic offensive against water terrorism of India. The rivers once fully Tlowing through the country have turned into small streams or have dried up.

The issue is not been taken seriously at any government forum and the coming generation are likely to live in barren land. The Indus Water Treaty has been under threat for the last three decades. Though India is trying to bulldoze the international treaty

despite it has no exit clause,the successive governments in Islamabad have failed to perceive the short and long terms dangers attached with it.According to experts, the treaty itself could not address two basic issues such as division of water in dry years and the cumulative impact of storages on the Tlows of the River Chenab.

India has launched Wular Barrage and Kishenganga projects on the Jhelum and Neelum rivers, posing grave threat to the Pakistani agriculture during the Rabi and Kharif seasons. Under the treaty, India is allowed to create storages on the western rivers up to 3.6 million acre feet for general, power and Tlood storages, respectively. India doesn’t want to discuss crucial clauses of the treaty which create

shortage of water in Pakistan and has even refused to include it in the composite dialogues between the two countries. However, it does not want to discard the treaty. Experts believe there is ambiguity in several clauses of the treaty which could have different interpretations. This is the best strategy of India which wants to keep the issues alive and foil any attempt to reach a clear cut decision. It multiplies the nature and number of conTlicts between the two countries. India is facing the same issues with Bangladesh as it wants every clauses of agreements to its favour. On another note, global warming has started glaciers to melt, creating a new situation in various parts of the world including the Himalayas range.

9

www.customsbulletin.com

FPCCI urges FBR to clear RPOs before April 20 KARACHI: President Faisalabad Chamber of Commerce and Industry (FPCCI) Zubair F.Tufail and other leaders from exporters’ associations on Wednesday demanded the Federal Board of Revenue to pay all refunds including income tax, sales tax, rebate and DLTL to exporters at the earliest. At least, the cheques may be issued before April 20, to the exporters whose refund payment orders (RPOs) had already been issued by FBR, they said speaking at a press conference here at the Federation House, the headquarters of Federation of Pakistan Chambers of Commerce and Industry (FPCCI). According to law, a cheque must be issued against a RPO within seven days of its issuance, he said and urged the FBR to clear RPOs issued so far within 15 days. Prominent business leaders included Chief Coordinator of Value-added Textile Associations of Pakistan.

Faisalabad business community urges govt to clear refund claims FAISALABAD

cuStoMS BuLLetIN report www.customsbulletin.com

aisalabad Chamber of Commerce and Industry (FCCI) President Engineer Muhammad Saeed Sheikh has said that liquidity crunch is a fundamental cause of decline in textile export and urged the government to immediately pay all refund claims of businessmen.

Faisalabad Chamber of Commerce and Industry (FCCI) President Engineer Muhammad Saeed Sheikh warned that continuous decline in national exports will foment unemployment in addition to further widening the import export deficit. He said, “Despite of the fact that European Union had granted GSP Plus

F

status to Pakistan from 2014, we failed to give any support to our declining exports.” He said the government has also ensured uninterrupted power and gas supply to industrial sectors but still the declining trend in export is continuing.

He said that textile is the main stay of national economy and despite of worst situation, it has successfully maintained its position as leading export sectors of the country. It has also privilege to provide job to 38 percent population but they have been left at the mercy of Federal Board of Revenue (FBR), he added.

He said that the refund claims of exporters are piling up with the FBR and they have to get fresh loans at high mark-up rate to fulfil the needs of working capital. He said that the chambers of commerce and industry and textile associations have been pin pointing these issues since long. The government has also given assurance to clear all pending claims but the factual position is that more and more refund claims are piling up with the payment of just a peanut of the total number of claims, he added.

Thursday April 20, 2017

Chambers

Load shedding to end from pakistan

by Nov: 2017 – Dr. Miftah Ismail D

ISLAMABAD

cuStoMS BuLLetIN report www.customsbulletin.com

r. Miftah Ismail, Minister of State and Chairman Board of Investment said that with the energy reforms and positive initiatives of the current government, electricity load shedding from Pakistan would end by November 2017.

He said for the last 70 years, only 23000MW installed capacity of electricity was achieved in Pakistan while the current government has started many energy projects due to which 25000MW electricity would be generated in Pakistan. He said this while addressing business community at Islamabad Chamber of Commerce and Industry.

He said another LNG terminal would be operational by July or August this year and LNG gas supply would be enhanced from 600MMBTU to 18000 MMBTU that would reduce gas shortage from the country. He said government was exploiting cheap energy sources to bring down gradually the cost of electricity that would also reduce cost of doing business in Pakistan and make our industry more com-

petitive. He was hopeful that new gas connections for industry would be opened by August this year.

Dr.Miftah Ismail said that level playing field would be provided to the Pakistani and Chinese investors in CEPC projects and interest of local business community would not be compromised. He said zero income tax and zero duty on import of machinery would be available to investors for investing in S EZs under CPEC for a certain period while

government would ensure supply of electricity and gas to the investors. He said if private sector was interested in developing industrial zones under CPEC, government would encourage it. He invited ICCI delegation to his office for consultation regarding the establishment of ICT Model Industry Zone in Islamabad under CPEC. Speaking at the occasion, Khalid Iqbal Malik, President, Islamabad Chamber of Commerce and Indus-

No relief as shipping lines continue to charge port congestion surcharge

P

KARACHI

cuStoMS BuLLetIN report www.customsbulletin.com

resident of the Karachi Chamber of Commerce and Industry (KCCI) Shamim Ahmed Firpo, while referring to a recent meeting at Karachi Port Trust (KPT) to resolve the issue of port congestion surcharge, said that it is highly unfair on the part of the KPT for not inviting the chamber’s officials in the meeting.

He said that the Karachi Chamber, which is the largest chamber and a major stakeholder, was totally ignored and not invited to attend the crucial meeting despite the fact that the KCCI has been constantly receiving dozens of complaints from traders each day who always seek

chamber’s assistance whenever they face any issue.

The KCCI president added that although the shipping lines agreed to withdraw port congestion surcharge during the said meeting as there was no congestion at the KPT but no relief has been provided to the traders as shipping lines continue to charge port congestion surcharge of $150 and $300 per container. In a statement issued, Shamim Firpo said that traders have been constantly complaining about the unjust port congestion surcharge by shipping lines despite the recent assurance to withdraw this surcharge as trafTic Tlow remains normal. Shipping companies were charging $300 for a 40-foot container and $150 for a 20-foot container as port congestion surcharge, resulting in raising the cost of imported goods

and intensifying the hardships for traders who were already under intense burden due to exorbitant duties/ taxes and numerous other exorbitant charges by Shipping Lines, he added. Shamim Firpo was of the view that it was highly unfair to penalize traders for inefTiciencies at the ports as it is this inefTiciency which causes delays in clearance of containers that will obviously result in port congestion but this was not the case as KPT authorities have categorically rejected any kind of congestions by saying that plenty of space was available and they can even provide even more space if required. He said that currently, Pakistan’s logistics were considered to be the poorest among whole region and it was a matter of grave concern that the country stands below the global averages.

try said that due to lack of new industrial zone in Islamabad, many industrialists were shifting to other provinces and stressed that BoI should accelerate efforts for setting up ICT Model Industrial Zone in Islamabad under CPEC in consultation with ICCI to encourage industrialization. He said FDI and exports in other regional countries were on the rise while Pakistan was witnessing decline in FDI and exports.

Industrial open house, career Fair 2017 concludes he industry is fully prepared to collaborate with academia for bright future of the country. It was said by President Lahore Chamber of Commerce and Industry (LCCI) Abdul Basit while talking to faculty, business community and students on closing ceremony of the third Industrial Open House and Career Fair 2017 (IOH&CF-17) held at University of Engineering and Technology Lahore on Wednesday. He said research and development was core mutual area of interest for joint working and this was a key of success for growth of economy. He also appreciated initiatives taken by the UET to get close to industry for national development.

Meanwhile, Vice Chancellor UET Lahore Prof Dr Fazal Ahmad Khalid said academia was fully committed to produce quality manpower for all levels of market. –CB Report

T

10

www.customsbulletin.com

Inland Revenue’s BS-21 officer Dr Ikram to retire on June 30 ISLAMABAD: Dr Ikram Ghani, a BS-21 officer of Inland Revenue Service, is going to retire from the government service on attaining the age of superannuation.

The officer, presently posted as Chairman, Pakistan Tobacco Board, Peshawar, will stand retired from the government service with effect from June 30.

Dr Ikram had assumed the charge of the post of Member (FATE) at Federal Board of Revenue (HQ), Islamabad on August 30, 2016 after relinquishing the charge of the post of Director General (BTB), Federal Board of Revenue (HQ) on the same date.

Thursday April 20, 2017

Islamabad omar Shafique takes charge as customs Secretary ISLAMABAD

cuStoMS BuLLetIN report www.customsbulletin.com

Arshad takes charge as Addl Director of Islamabad pcA M

ISLAMABAD

cuStoMS BuLLetIN report www.customsbulletin.com

mar Shafique, a Pakistan Customs Service officer of BS-19, has taken charge as Secretary.

Omar, pursuance the Board’s Notification No.0905-C-II/2017 dated 16.03.2017, relinquished the charge of the post of Additional Collector at Model Customs Collectorate, Hyderabad with effect from March 25 and assumed charge as Secretary at Federal Board of Revenue (HQ), Islamabad on April 3. Meanwhile, Azhar Hussain Merchant, a Pakistan Customs Service officer of BS-19, has taken charge as Secretary. Azhar, pursuing the Board’s Notification No.0905-C-II/2017 dated 16.03.2017, relinquished the charge of the post of Additional Collector, Model Customs Collectorate (Appraisement-East), Karachi on March 29 and assumed charge of the post of Secretary at Federal Board of Revenue (HQ), Islamabad on April 5.

O

principal Appraiser Abdul hafeez to retire on May 9 yed Abdul Hafeez, a Pakistan Customs Service officer of BS-17, is going to retire from the government service on attaining the age of superannuation. The officer, presently posted as Principal Appraiser at Model Customs Collectorate of Appraisement (West), Karachi, will stand retired from the government service on May 9. Meanwhile, Syed Muhammad Wasi, a Pakistan Customs Service officer of BS-16, is going to retire from the government service on attaining the age of superannuation.

The officer, presently posted as Appraiser at Model Customs Collectorate of Appraisement (West), Karachi, will stand retired from the government service on May 19.

S

uhammad Arshad Khan, a Pakistan Customs Service officer of BS-19, has assumed charge of the post of Additional Director, Directorate General of Post Clearance Audit (Customs), Islamabad.

The ofTicer, in pursuance of Board’s NotiTication No.0905-CII/2017 dated 16.03.2017, relinquished the charge of the post of Secretary at Federal Board of Revenue (HQ), Islamabad with effect from April 3. Meanwhile, Ali Waheed Khan, a Pakistan Customs Service ofTicer of BS-18, has assumed the charge as Deputy Director, Directorate General of Intelligence & Investigation, Islamabad.

Ali, in pursuance of Board’s NotiTi-

cation No. 1003-C-II/2017 dated 27.03.2017, relinquished the charge

of the post of Deputy Director, Directorate of Reforms and Automa-

tion (Customs), Karachi with effect from April 3.

customs central region collects rs58177m St C

LAHORE

M hAYAt

www.customsbulletin.com

ustoms Central Region has collected Rs58177 million on account of sales tax during the Tirst nine months of Tinancial year 2016-17 (July-March).

The sales tax collection has been collected by all the four collectorate of customs including collectorate of customs Preventive Lahore, Collectorate of Customs Appraisement Lahore, Colletorate of Customs Multan and Collectorate of Customs Faisalabad.

As per details, Collectorate of Customs Appraisement Lahore collected Rs25297 million sales tax during the nine months of the period under review while the Collectorate of Customs Preventive Lahore collected Rs10502 million sales tax during the Tirst nine month of Tinancial year 2016-17.

Similarly, Collectorate of Customs Multan collected Rs16491 million sales tax during the period from July to March of the current Tinancial year. On the other hand,

the Collectorate of Faisalabad collected Rs5886 million on account of sales tax during the period of Tinancial year 201-17.

Overall the Customs Central Region collected Rs58177 million sales tax revenues during the nine month of Tinancial year 2016-17.

The sales tax has been collected from import and export by all the four Collectorates that come under the limits of Central Region.

11

www.customsbulletin.com

PRAL restricted from making direct contact with taxpayers KARACHI: The Federal Boar d of Revenue (FBR) has barred the Pakistan Automation Pvt Limited (PRAL) from making direct contacts with taxpayers.

The FBR directed PRAL not to respond to complaints filed by the taxpayers and instead forward them to the FBR’s information technology wing.

According to the official sources, the FBR has taken serious notice of direct communication of PRAL with the taxpayers, accountants, income tax practitioners and lawyers. “PRAL is only a FBR’s service provider envisioned to be an invisible existence behind FBR,” said a notice issued by the board.

FBR directed the PRAL chief executive office to prohibit all such activities.

customs court grants bail to two suspects in NDp toyota Surf case KARACHI

M B rANA

www.customsbulletin.com

ustoms Court Judge Syed Faiz Rasool Rashdi has granted interim pre-arrest bail to suspects, Muhammad Nabeel Khan and Yasir who were allegedly involved in keeping a smuggled/ non-duty paid Toyota Hilux Surf, jeep bearing registration no BF-6536 model 1998 in their custody.

During the hearing, both the accused appeared before the court along with their counsels and moved applications for pre-arrest bail. The counsels argued that their clients were innocents and were falsely implicated in this case and that they are ready to face trail, however, they have apprehensions of arrest, therefore and court may grant them bail till final disposal of this case. After

C

his hearing, the court granted them bail and observed in its order that, “Without touching the merits of the case, ad-interim pre-arrest bail is granted to said accused subject to furnish surety in the sum of Rs 200,000 each with P.R bond in the like amount to the satisfaction of this court. Customs Court directed accused to join investigation if and when required by the investigation officer and appear before the court on next date of hearing. Court also called the police papers and issued notice to special prosecutor for customs department. According to the prosecution, on a credible information, staff of the customs department intercepted the said vehicle near Sultanabad Karachi and case was registered against the above mentioned accused persons in violation of section 2 (s) 23 and 178 of Customs Act, 1969 punishable under clause (8) (89) and 14 of section 156 (i)ibid.

Karachi

Dg Valuation revises customs value of plywood/film faced plywood

chinese company offers to establish oil refinery near port Qasim UK KHAN

cuStoMS BuLLetIN report www.customsbulletin.com

Chinese Company, M/s Mingyuan Holdings Group Company Limited, has offered to install an oil refinery near Port Qasim Karachi with the investment of $2 billion. According to the details, the refinery estimated to refine over 10 million tons of oil annually to set the commodity in the local and international markets. The delegation of the Chinese company led by its Chairman Ji Hong Shui presented the offer during meeting with Chairperson, Sindh Board of Investment (SBI), Ms. Naheed Memon here. The company also discussed to establish the industries relevant to the oil refinery in the area adjacent to Port Qasim, however, if the establishment of the refinery was not possible in the area of near Port Qasim Karachi they might consider Dhabeji, Gharo, Nooriabad, Thatta or Kotri. Talking to the delegation, the chairperson SBI appreciated their offer and assured full cooperation to the Chinese company on behalf of Sindh government. She called upon the members of the Chinese delegation to present their suggestions with regard to their required facilities like electricity, water and gas so as to take necessary action.

A

T

KARACHI

wAQAr AhMeD ANSArI www.customsbulletin.com

he Directorate General of Customs Valuation revised the customs value of plywood/Tilm faced plywood through Valuation Ruling No 1121/2017 under Section 25A of the Customs Act, 1969.

According to details, it was noticed that plywood/Tilm faced plywood is being importing regularly involving a high quantum of duty & taxes. It was deemed expedient to initiate an exercise to ascertain whether the declarations were in line with prices prevalent in the international market.

Some variation were seen in the declarations, hence it was decided to issue a Valuation Ruling keeping in view international trends. Stakeholders’ meetings were scheduled on 24-03-2017 & 05-04-2017. All participants were requested to submit invoices of imports during last three months showing factual value, websites, names and e-mail addresses of known foreign manufacturers of the item in question through, which the actual current value can be ascertained, copies of

Thursday April 20, 2017

contracts made/LCs opened during the last three months showing the value of item in question and copies of Sales Tax Invoices issued during last three months showing the difference in price (excluding duty and taxes) to substantiate that the beneTit of difference in price is passed on to the local buyers. The meetings were attended by importers of plywood/Tilm faced plywood and members of Karachi timber merchants group and their proposals were considered for determination of customs value of plywood/Tilm

faced plywood.

The values were discussed with them and were unanimously agreed to. Valuation methods given in Section 25 the Customs Act, 1969 were followed. Transaction value method provided in Section 25 (1) as found inapplicable because the requisite information was not available as per law. Identical and similar goods value methods provided in Section 25(5) & (6) were examined which provided some reference Values but were not found helpful in determination of values due to some Variation in Values.

customs court declares proclaimed offender to suspect

C

KARACHI

cuStoMS BuLLetIN report www.customsbulletin.com

ustom Court Judge Syed Faiz Rasool Rashdi has declared proclaimed offender to the absconding accused namely Bashir Dawood and Mariyam Dawood who were booked in a case of concealment of income, furnishing inaccurate particulars of their income/ wealth and money laundering in an offshore company.

During the hearing, Investigation OfTicer Muhammad Arif appeared before the court and submitted that both the suspects have not been arrested yet. He further submitted

that proceedings have been completed. After the hearing, the court declared both the accused as proclaimed offenders.

It needs to be mentioned here that the court had issued their bailable and non-bailable warrants several times and on the last date of hearing, the court had directed the Federal Investigation Agency (FIA) for issuing red warrants against them. Earlier, investigation ofTicer had Tiled an application before the court for attachment of property and bank accounts under section 8 of the Anti-Money Laundering Act, 2010 in order to protect the public exchequer and also had informed the court that above named accused

persons are absconders, therefore, court had allowed to IO for attachment of their bank accounts as case property for 30 days.

According to the prosecution, case no 01/2016 was registered against them alleging that the accused persons having offshore company and involved concealing the income approximately Rs9,870 million and amount of income tax sought to be evaded of Rs2, 469 million and amount of income tax recoverable (up to tax year 2014) Rs2, 467 million along with default surcharge & penalty to be determined at the time of payment. Case was registered in violation of under section 111 (1)

(d) (1) of the income tax ordinance 2001, liable to be prosecuted under section 192 ibid read with section 2 and 8 (2) of the AMP act 2010. Meanwhile, Customs Taxation and Anti-Smuggling Court Judge Syed Faiz Rasool Rashdi awarded 10 days imprisonment and Rs 100,000 fine to accused namely Sunil Kumar son of Tillu Ram who was booked in a case of attempting to smuggled/ non-duty paid mobile phones from Dubai to Karachi. During the hearing, the suspect appeared before the court along with his counsel and filed an application for pleading guilty and left himself on the mercy of the court.

12

www.customsbulletin.com

Turkey’s exports surge to $13.6B in March Thursday April 20, 2017

World

ANKARA: Turkey’s exports have increased for a third straight month in March, data from the Exporters’ Assembly of Turkey (TIM) revealed on Saturday. Turkish exports in March have increased 19 percent yearon-year, the highest rise since November 2012, according to TIM. Exports totaled $13.6 billion last month and reached $37 billion for the first three months up from $34.7 billion in 2016, which represents an increase of 6.7 percent compared with the same period last year, TIM announced.

Turkey’s total exports within the last 12 months stood at $144.9, up by 2.4 percent compared with the previous 12 months. “With the recovering global economy and the support and incentives of our government, Turkey’s exports started to rise again in 2017,” said TIM President Mehmet Buyukeksi.

Iran customs adopts new tactics to fight smuggling

TEHRAN

cuStoMS BuLLetIN report www.customsbulletin.com

T

he High Council of Free Zones has given the nod to the Islamic Republic of Iran

khouzestan Steel exports 1.9m mt in latest year houzestan Steel Company has become Iran’s largest exporter of steel by exporting 1.9 million mt of billet and slab in the Iranian year which ended on March 20, KSC sales deputy Bahman Tajalizadeh said Friday.

“Some 52% of the company’s output was exported, a historical record for Iran’s steel industry,” Tajalizadeh said, adding: “The Mobarakeh Steel Co., Iran’s largest producer, was previously its largest exporter of steel”. “We have regular exports to 13 countries now, some 50% of which are shipped to the MENA region, 40% to the Far East and around 10% to American countries,” Tajalizadeh said. “Asia is an important market for KSC. We have developed our export markets in Thailand, Taiwan, South Korea, Malaysia and Indonesia, as Chinese exports to this area decreased last year. –CB Report

K

Customs Administration to exercise customs controls and collect duties at ports of entry of FREE TRADE zones. Customs and border protection equipment were earlier installed only at FTZs’ ports of exit up until now, according to IRICA website. The customs administration has also received a new truck

outfitted with X-ray equipment it had ordered for Shahid Rajaei Port, enabling the speedy scanning of imported containers. Domestic resources were committed for the purchase, the report said. There are now 12 X-ray trucks in Iran’s customs terminals, three of which (including the new one) operate at Shahid Rajaei–Iran’s most active port in the southern province of Hormozgan.

On average, about 2,000 containers enter Shahid Rajaei Port every day. Some 44 million tons of goods worth $11.14 billion were exported from and nearly 10 million tons worth $18.65 billion were imported to Iran via Shahid Rajaei Port in the last Iranian year (ended March 20, 2017), registering a 44% and 12% rise in tonnage and value respectively year-on-year. Some 5 million tons of cargos were transshipped at the port over the period.

Shahid Rajaei Port earned over 122 trillion rials ($3.24 billion) in revenues last year.

Dutch tax office opens hunt for tax-dodging American express users

C

redit card company American Express has been told to hand over information to the US tax ofTice tax authorities about Dutch residents with bank cards linked to accounts outside the Netherlands.

The US tax service has asked for the information to help the Dutch government determine if residents are complying with local tax laws, Bloomberg quoted a justice department statement as saying. The Dutch authorities requested this informa-

tion based on a treaty that allows the Netherlands and the United States to cooperate in the exchange of tax information, according to Bloomberg.

In the United States this type of case is referred to as a ‘John Doe summons’, in which the tax authorities suspect that citizens aren’t following tax laws, but don’t know their names. Should the Dutch involved turn out to have hidden assets, they risk Tines of up to three times the total of tax they owe, according to the Volkskrant. –CB Report

Sars customs seize Ferrari F1 worth r13.8m CAPE TOWN

cuStoMS BuLLetIN report www.customsbulletin.com

S

ARS Customs ofTicials intercepted a Ferrari F1, worth an estimated R13.8 million, which was being smuggled back into the country after it had been stored in a bonded warehouse in South Africa since 2014.

When it was first brought into the country, the owner failed to follow correct import procedures including paying the necessary customs duties and VAT, the South African Revenue Service (Sars) said in a statement released on Wednesday. The vehicle was subsequently held in a bonded warehouse for three years as the owner could not finalise the required customs processes. In February 2017, the vehicle owner submitted an export declaration to take the car to the Democratic Republic of Congo

I

through Beitbridge border post, the statement read. “A day later, there was an attempt to have the vehicle return to South Africa through the same border post,” Sars spokesperson, Sandile Memela stated. The vehicle has now been detained. A letter of intent has been issued to the owner as part of the Promotion of Administrative Justice Act No 3 of 2000, to enable him to make representation to Sars.

Meanwhile, South Africa’s new Tinance minister says he is aware of the “climate of sharp disagreement and mutual suspicion” as his predecessor’s Tiring deepens a split in the country’s ruling party. Malusi Gigaba briefed the media Saturday a day after President Jacob Zuma Tired the widely respected Pravin Gordhan and set off an outcry by many in the ruling African National Congress and opposition parties.

The currency of one of Africa’s biggest economies has slipped amid concerns about corruption at top levels of government.

thai imports reach $845 million mports from Thailand reached US$845 million by March 10 this Tiscal year, US$119 million more than the previous year, a source at the Myawaddy trade camp said. Imports are rising ahead of the Thingyan water festival which falls. Exports were just US$55 million, up US$14.8 million from last year, compared to the previous year. Exports of US$56 million were recorded in 2012-13. “More food, soft drinks, cooking oil, cosmetics, plastic items and mats are being imported before Thingyan. More motorcycles and farming equipment are also around. There are more than 500 trucks entering into Myanmar on the

Myawaddy Friendship Bridge each day,” a border trade merchant said.

Myanmar exported Tish, prawns, crabs, tea, ginger and sesame to Thailand.

But exports are dwarfed by imports, apparently because the Thais buy agricultural goods, like onions, beans and corn, at the season-end. The second Myawaddy Friendship Bridge is intended to boost Mekong and Asean trade. Meanwhile, Representatives from manufacturing, trade and banking sectors discussed on Monday the trade issues with the United States after the US government reviews trade policy with 16 countries which have trade surplus with the US. –CB Report

Yamal to invest $144m in construction of Latitudinal railways

T

MOSCOW

cuStoMS BuLLetIN report www.customsbulletin.com

he Yamal-Nenets Autonomous District will invest in construction of the Northern Latitudinal Railway 8.2 billion rubles (about $144 million), the District’s Governor Dmitry Kobylkin said on Friday. “Our obligations for the Northern Latitu-

dinal Railway are 8.2 billion rubles,” he said. “This refers to a car road – a bridge across the Ob River near Salekhard – we shall face those obligations from 2020.” The governor said, the region in 2015 already Tinished a passage of the Railway – a bridge across the Nadym River, which cost was 14 billion rubles (about $246 million). Before that, Nadym could be connected with the “mainland” only

by a ferry line, using which depended absolutely on seasons and weather.

“The demand for the railway comes both from the regions and from the Russian industrial companies,” he continued. “The conTirmed estimation of the cargo turnover is more than 21 million tonnes a year, and it is most important that the road will be built from only Russian materials.” “For construction of only the bridge across

Ob, the demand would be for more than 135,000 tonnes of metal parts, sand, rubble, sleepers, rails, reinforced concrete structures for railway lines,” he added. The Northern Latitudinal Railway is 707 km of rail line, connecting Yamal with the Uralsk and with Russia’s North-West. The railway will also connect the national transport systems via the Sabetta seaport with the Northern Sea Route.

13

www.customsbulletin.com

Japan trade surplus with China hikes TOKYO: Japan has logged a surplus of 111.8 billion yen (S$1.4 billion) with China – its first in five years. Overall, Japan’s seasonally adjusted trade surplus stood at 680.3 billion yen.

This is the highest since April 2010.

Analysts said that February’s 8.3 percent growth in the volume of exports, and average export volume growth of around 4 percent in January, was a positive sign for the export-reliant economy this quarter.

“Year-on-year exports to Asia were extremely strong, but those to the US and EU didn’t grow very much,” said a senior economist.

Saudi banks overcome liquidity crunch but profits to shrink further he worst effects of the liquidity crunch that hit the Saudi Arabian banking sector in 2016 have subsided with fresh liquidity injections by the government into the banking system and reduced pressure from government’s domestic borrowing programmes, according to analysts.

“The banks came through the period largely unscathed, with liquidity coverage ratios recovering and capital strength intact despite a dip in earnings. However, we expect profitability to continue declining in 2017, reflecting rising impairment charges and funding costs. Our analysis shows that liquidity metrics have recovered at banks that have reported their 2016 results,” said Andrew Parkinson, Director Financial Institutions at Fitch Ratings. Saudi banks’ average liquidity coverage ratio improved to 204 per cent by end-2016, down just one percentage point year on year, having dropped to 156 per cent at end-September 2016. –CB Report

World Customs

uk customs at risk of being swamped by Brexit surge

T

S. korea’s seafood exports increase nearly 11% in Q1 outh Korea’s exports of seafood rose 10.9 percent in the first three months of the year on steady overseas demand, government data showed Wednesday. Outbound shipments of South Korean seafood reached US$482 million in the January-March period, up from $434.7 million tallied a year ago, according to the data compiled by the Ministry of Oceans and Fisheries. It marked the fifth straight quarter of on-year gain.

Japan was the biggest buyer of South Korean products, importing $156.5 million worth of seafood over the three-month period, up 7.9 percent from a year earlier.

Exports to China fell 7.1 percent on-year to $75.4 million amid rising trade tensions between the two neighboring countries over Seoul’s plan to deploy a U.S. missile defense system here. –CB Report

S

LONDON

cuStoMS BuLLetIN report www.customsbulletin.com

A

new computer system acquired to collect customs duties and clear imports into the UK may not be able to handle the huge upsurge in workload expected once Britain leaves the EU, government customs authorities have acknowledged to a parliamentary inquiry. HM Revenue & Customs told investigators the new system had fallen into the category of

programmes needing “urgent action” in order to be ready by March 2019, when Brexit is due to be complete; the chair of the parliamentary inquiry said conTidence that it would be operational in time “has collapsed”. Setting up a new digital customs system has been at the heart of Whitehall’s Brexit planning because of the Tivefold increase in declarations expected at British ports when the UK leaves the EU. About 53 per cent of British imports currently come from the EU, meaning they do not require tracking or checks because they arrive through the EU’s single market and

customs union. But Theresa May, prime minister, announced in January that Brexit would include departure from both trading blocs.

The Revenue currently handles 60m declarations a year but, once outside the EU customs union, that number is expected to rise to 300m.

The revelations about the system, called the Customs Declaration Service, are likely to throw a sharper spotlight on whether Whitehall can implement a host of new regulatory regimes, in areas ranging from customs and immigration to agriculture and Tisheries, by the time Britain leaves the EU.

Thursday April 20, 2017

Japan to extend $850 millin bailout loan to Mongolia apan has committed $850 million in loans to Mongolia as part of a bailout to help rescue the country’s struggling economy, Mongolia’s finance ministry said on Wednesday.

Mongolia, landlocked between China and Russia, agreed to a $5.5 billion bailout from the International Monetary Fund (IMF) as well as other institutions and countries in February. The cash-strapped Asian country saw its economy grow just 1 percent last year, its lowest in seven years, and it has struggled to maintain the value of its currency and manage its debts following a collapse in foreign investment and a decline in commodity prices. The $850 million loan from Japan was agreed during a visit to Tokyo this week by the chairman of Mongolia’s parliament, Miyeegombo Enkhbold, said an official at the Finance Ministry. Negotiations have not yet been completed, the official added. “This amount is almost equal to all soft loans provided by Japan to Mongolia since its transition to a democracy and market economy,” said analyst Dale Choi at Mongolian Metals & Mining in a note on Tuesday.

The loan comes in addition to the three-year IMF Extended Credit Facility worth $440 million, as well as an extension to a 15 billion yuan ($2.18 billion) swap line Mongolia’s central bank has agreed with the People’s Bank of China. –CB Report

J

turkish economy struggles amid political uncertainty

D

ANKARA

cuStoMS BuLLetIN report www.customsbulletin.com

espite serious assurances given by government authorities, Turkey’s once Tlourishing economy shows signs of weakness ahead of a crucial referendum which would signiTicantly increase President Recep Tayyip Erdogan’s powers. Turkey’s economy grew 2.9 percent in 2016, with 3.5 percent in the last quarter, despite negative outlooks by credit rating agencies.

Figures have been naturally welcomed by the government. Speaking at a rally in the capital Ankara on the weekend, Erdogan said the 2.9 percent growth in 2016 is not enough for Turkey, but it is above the estimates of credit rating agencies he criticized in the past. The data issued by the Turkish Statistical Institute last Friday put Turkey’s gross domestic product (GDP) growth at 2.9 percent in 2016, with a per capita income of 10,807 U.S. dollars, lower than government forecasts and signiTicantly lower

than the 6.1-percent growth in 2015. The World Bank forecast Turkey’s growth at 2.1 percent for 2016 while rating agency Moody’s predicted 2 percent. But the “Turkish miracle” seems to be something of the past in only less than a decade. Strong economic growth has been one of the main achievements of Erdogan’s government which solved the issues of unemployment and poverty. However, unemployment rate climbed to 13 percent in last December, the highest level in seven years. The inTlation

rose to nearly 11.3 percent in March, the highest since October 2008. The Turkish lira hit an historic low against the U.S. dollar and euro, putting companies that bet on these currencies in a very difTicult spot.

But the lira has managed to stabilize over the last few months after the central bank began tightening policy at the start of the year. The outlook of Turkey’s tourism, a major economic sector, has also never been so bleak. Increased attacks by the Islamic State group and Kurdish rebels drove the country.

14

www.customsbulletin.com

Nine inspectors including three females join Customs I&I Thursday April 20, 2017

Lahore

LAHORE: As many as nine newly recruited inspectors including three female inspectors have given their joining at the directorate of Customs Intelligence and Investigation Lahore with immediate effect.

As per details the female inspectors those gave joining at the Customs Intelligence and Investigation regional headquarter Lahore included Wajiha Samreen, Mehwish Manazoor and Hina Fayyaz. On the other hand the male inspectors those gave going included Hassan Ghulam Muhammad, Fahad Iqbal, Zaman Ranjaha, Fida Hussain, Sarmad Mehmood and Ahtisham Naveed. Customs I&I Director Zulfiqar Younas had an introductory meeting with the inspectors and advised them to work with devotion, sources told Customs Today.

customs Appellate tribunal upheld adjudication order in Season Food case LAHORE

SAJID NAwAZ

www.customsbulletin.com

C

ustoms Appellate Tribunal upheld the impugned order passed by the adjudication authority and dismissed the appeal Tiled by the Season Food Private Limited against collector of Customs (Adjudication), Collectorate of Customs and others.

Omer Arshed Hakeem Member Judicial Bench-II declared that there are some violations in Imports and Exports Act 1950 and some sections of Customs Act 1969 mentioned by the adjudication authority, so the appeal against Order-in-Original passed by the additional collector of Customs (Adjudication) shall dispose of and last judicial forum order is sustained. As per the precise fact of case, the Importer Sea-

customs I&I impounds 240 sacks of Indian Zeera irectorate of Customs Intelligence and Investigation (I&I) Lahore seized non-duty paid 240 sacks of Indian spices (Zeera) worth Rs10 million.

Sources told Customs Today that on information the Customs I&I ASO team tracked a truck loaded with the Indian zeera which was coming from Rawalpindi through Sheikhupura Road and heading towards Akbari Mandi Lahore. The sources said that the Zeera was to be supplied to the Kashmir Traders at the Akbari Mandi. Sources said that the ASO team intercepted the truck on the information of Director Zulfiqar Younas led by a team deputy director Zeb Ali Kha. The team of anti-smuggling Customs I&I was comprising Superintendent Zulfiqar Cheema, Inspector Sohail Murtza and others. The official sources said that the Customs I&I on the direction of director Intelligence and Investigation conducted a number of successful raids and seized millions of rupees non-customs paid items and vehicles. –M Hayat

D

son Food Private Limited, 171-Shadman-II, Lahore was imported consignment of soya TVP granules and saught clearance vide GD No WLCS-5913 under PCT heading 2304-0000. On examination, customs authorities found that Soya TVP imported items not fall under the claimed PCT heading. The importer violated provisions of section 16 and 32 (1) & 2 of customs Act 1969.

After the Show Cause notice to the importer, the adjudication authority examined the case record and heard the arguments from both side and passed the order in original that the importer has violated the laws while he imported Soya TVP. The appellant aggrieved from the adjudication authority order and Tiled the case before the Customs Appellate Tribunal on the grounds that there is no legal justiTication with the respondent to withhold the shipment of perishable nature and argued all other point on the bases appellant imported goods.

customs I&I Lahore impounds rs659m NDp items, vehicles in 3Q LAHORE

M hAYAt

www.customsbulletin.com

D

irectorate of Customs Intelligence & Investigation Lahore has posted a growth of 33 percent by impounding Rs 659 million goods and vehicle, involving duty and taxes worth Rs274 million during the third quarter January March Tinancial year 2016-17.

The directorate conTiscated Rs 494 million non-duty paid goods and vehicles involving Rs 125 million duty and taxes during the third quarter January to March Tinancial year 2015-16.

As per comparative performance of Anti-Smuggling Organization the directorate made a total of 11 case cases of goods and non-customs paid vehicles worth Rs27 million involving duty and taxes worth Rs 30 million during the third quarter Jan-

customs court adjourns case of cell phones smuggler

T

he Special Federal Court of Customs Taxation and Anti-Smuggling has adjourned the hearing of the case Tiled against accused who was arrested in mobile phones smuggling case. According to the details, Muhammad Ilyas was nabbed by the customs authorities at Faisalabad International Airport while he was coming back from Dubai through a private airline. During the checking of his luggage, the customs authorities found 400 costly mobile phones hidden in his bags. The value of the smuggled mobile

phones is more than Rs 2 million and he attempted to make a loss to the national kitty in the wake of taxes levied on mobile phones. Customs Investigation and Prosecution team of Faisalabad presented him before the court and asked for his physical remand that was approved by the court for four days. The Customs Investigation team after completion of remand presented him before the court for further proceedings where the court sent him to jail on judicial remand and than approved his bail as well. –M Imran Mehar

uary to March Tinancial year 201617 while the same period last Tinancial year the total cases were 10 worth Rs 22 million involving duty and taxes worth Rs 14 million.

Similarly, the directorate registered 10 case worth Rs593 million

T

involving duty and taxes worth Rs 192 million during the month of February Tinancial year 2016-17 when compared to nine cases worth Rs 443 million involving duty and taxes worth Rs73 million same period Tinancial year 2015-16.

customs court hears 17 cases

he Special Court of Customs Taxation and Anti-Smuggling heard 17 important cases on Friday and adjourned most of the cases until the next hearing.

At least 17 cases of different types, including pre-arrest bail pleas Tiled by accused persons were scheduled for the day. The court adjourned bail pleas of Azhar, Haseeb, Muhammad Ayub Khan, Shafqat Ali and Shahbaz until the next hearing.

The cases, including tax evasion, customs, smuggling and narcotics, were scheduled for the day.

A case of Tariq Kazmi who is allegedly involved in mobile smug-

gling was also scheduled for the hearing in which the court recorded statements of the parties and adjourned it for next week. The cases of Lahore, Gujranwala, Sialkot and Jhelum were scheduled for the day.

Meanwhile, The Special Court of Customs Taxation and Anti-Smuggling on Tuesday heard 17 cases, including pre-arrest bail pleas Tiled by suspects.

Most of the cases were adjourned without any proceeding as the parties and lawyers concerned did not appear in the court. Hearing of pre-arrest bail pleas Tiled by accused Abdul Razaq and Salman were adjourned for new dates in next week. –CB Report

customs lodges 13 FIrs against several companies

P

LAHORE

cuStoMS BuLLetIN report www.customsbulletin.com

akistan Customs had lodged 13 FIRs against several companies for feeding of wrong port of loading into Pakistan Customs Computerized System (WeBOC) by the freight forwarder and consequent thereupon Tiling of GD showing in-

correct port of loading and origin by the importer. However, six out of the total 13 FIRs will not be pursued by the authorities while the rest seven FIRs are correct and Customs would go with the due process.

It transpired that Freight Forwarders/ Co-l oader/Ship ping Agents, in connivance with accused importers, have been involved in the clearance of imported goods by mis-

declaring the vital information with regard to the shipper’s name, port of loading, country of origin. The goods were actually shipped from a different destination but the Freight Forwa rders/Co-l oader/Shipp ing Agents while Tiling the Import General Manifest (IGM) in Pakistan Customs Computerized System (WeBOC) fraudulently manipulated the shipper’s name and port of loading.

During the course of scrutiny it transpired that the consignments were shipped from a different location, but the master shipping agent Tiled the Import General Manifest (IGM) with incorrect information with ulterior motives in the Customs Computerized System at the time of Tiling Import General Manifest and issued manipulated Bill of Lading showing wrong shipper’s name and country.

15

www.customsbulletin.com

Liebherr Lifts at LatAm Ports WASHINGTON: Liebherr has delivered mobile harbour and Ship-to-Shore (STS) cranes with container handling applications to customers in the Latin American countries of Puerto Rico, Jamaica, Mexico, and the Bahamas. In Puerto Rico, the Port of San Juan has taken delivery three new STS container cranes able to lift 65 tonnes with a twin lift spreader. They will be working for American Containership Operator Crowley Maritime in its Isla Grande terminal. In Jamaica, the Port of Kingston has a new mobile harbour crane LHM 600 (highrise version), destined for Kingston Wharves Limited’s multipurpose terminal. As the biggest crane operated in the Caribbean, the LHM 600 will be able to handle fully loaded containers taken from atop the 19th container row.

port of Sydney presents first budget to cBrM council he Port of Sydney Development Corp. presented its budget to Cape Breton Regional Municipality councillors for the first time on Wednesday, and the financial forecast calls for a surplus, thanks to increased cruise ship bookings. The budget shows an anticipated surplus of $70,542.46 on revenues of just over $2.2 million, including $937,000 from cruise ship passenger taxes. Total revenues are expected to be up about $700,000 this year, Paul Carrigan, the port’s general manager, told council. Part of the increase over last year’s revenues is due to a transfer of $200,000 from development funds left over from the dredging of Sydney Harbour, which was funded by three levels of government and Nova Scotia Power.

“And due to the 90 cruise ships coming to the port this year, revenues for the

T

passenger tax, berthage, security and the craft market are up significantly,” said Carrigan. “So that is very good news for the port revenues.”The cruise ship season is expected to be busy from the end of April to the end of November, he said, and will likely result in the addition of five or six new employees. No one objected to the budget presentation by the port corporation, which is owned by the municipality, and several councillors asked questions about budget items for clarification.

However, Coun. Ray Paruch, a longtime port critic, said the day marked the first time the port authority had ever presented a budget to council for approval. And, he said, port officials have never made a report to council on their operations, despite that being required under the corporation’s articles of association. –CB Report

Ports & Shipping

plaquemines port exploring container shipping terminal WASHINGTON

Nigerian ports to achieve hub status as Nigerian shippers return fter 11 years of dumping Nigerian ports for neighbouring countries like Ghana, Togo and Benin Republic, shippers and importers from Niger Republic have resumed movement of transit cargoes through Nigerian ports. Transit cargoes are consignments of landlocked countries passing through the corridors of maritime nations to another landlocked countries. LEADERSHIP, our sister publication, had earlier reported that Nigeria was set to reclaim over N136 billion it is losing to neigbouring countries’ through diversion of transit cargoes originally meant for the nation’s ports. Nigerian ports that used to be transit corridors for Chad, Niger republic, Burkina Faso and Northern Cameroon handled 10 million metric tonnes of Nigerien cargoes between 1998 to 2006. But since 2006, about 70 per cent of cargoes belonging to Niger Republic that were usually transited through Nigerian seaports have been lost to neighbouring Ghana, Togo and Ivory Coast. –CB Report

A

cuStoMS BuLLetIN report www.customsbulletin.com

T

he Plaquemines Port plans to develop an intermodal container shipping terminal along the Mississippi River in Plaquemines Parish, a move that would increase competition with the Port of New Orleans, which is situated roughly 20 miles away. American Patriot Holdings LLC, a Miamibased marine industry Tirm with a satellite ofTice in New Orleans, announced the initiative Wednesday with the Plaquemines Port Harbor and Terminal District, which runs the port facility. At this early planning stage, the project’s cost or timeline is unclear. The plan calls for developing a logistics system for vessel operations, including local deepdraft operations and multiple upriver terminals, initially planned for the Memphis and St. Louis areas. If the new port is built on 4,200 acres, it would be the southern-most fullservice port operation on the river,

Thursday April 20, 2017

ofTicials said, and offer full intermodal service by way of the river, railroad and highway.

“We’re building a new, modern technology port from the ground up where berthing depths exceed 60 feet and with the capability to accommodate the larger Post-Panamax vessels coming through the widened and deepened Panama Canal,” said Sandy Sanders, Plaquemines Port’s executive director. The

facility would complement a planned $8.5 billion facility to liquefy and export natural gas, which is being proposed by Washington, D.C.-based Venture Global LNG on a 632-acre site that’s also owned by the Port Harbor and Terminal District. That project, in the works since late 2014, is scheduled to be built in two phases, with a Tinal export capacity of 22 million tons per year, the company said.

port of Seattle hopes to help out cuban ports A

WASHINGTON

cuStoMS BuLLetIN report www.customsbulletin.com

s Cuba develops its ports, the Port of Seattle hopes to be a role model. In January, Port of Seattle commissioners and its then chief executive met with Cuban transportation ofTicials in Havana.

The occasion was the opening of the Tirst direct west coast service to Cuba by SeaTac based Alaska Airlines. “I think there’s a real opportunity to bring executives from Cuba to Port of Seattle to learn best practices, to learn about the airport, the seaport, and the cruise business,” said Port Commissioner Stephanie Bowman. “A little known fact people don’t really recall…Cuba was the number one importer of peas and lentils before the embargo.”

The Port of Seattle considers itself to be unique with a cargo seaport, cruise ship terminals, and a

large airport all under one government entity. The Port of Seattle says it can offer help and guidance in any one of those areas. “They’re looking to becoming a major trans shipment point for the Caribbean. And that’s where we can offer our expertise, on the marine cargo side of the business,” Bowman said. “They’re in a very tough place. They’re dying for foreign investment,” said Commissioner Fred Felleman, who was also on the trip. “They want to open their doors, and we want to help them do that. Meanwhile, they don’t have the infrastructure in place to absorb that crush.” The crush Felleman and many Cubans are concerned about is what if the nearly six decade old series of economic embargoes placed on the regime of Fidel Castro were to quickly go away and open the island’s economy to an on rush of American tourists. Politically, the U.S. and Cuba have been on opposite

poles since the 1959 communist revolution, even though the island is just 90 miles away from Florida.

Felleman, a longtime Seattle-based environmentalist, particularly in the area of marine mammals, says the Port of Seattle’s environmental initiatives could help the Cubans manage that impact. “Sustainable development is the only way these guys can prosper for the long haul,” Felleman said. “I think they understand they have something very special.

The question is, can they get in front of the curve.

Meanwhile, lthough vessel lineups at the Port of Vancouver have declined in the past week or so, they are still above historic levels, according to Canada’s Grain Monitoring Program (GMP). In its most recent weekly report, the GMP reported that 11 grain vessels had cleared from Port of Vancouver in Week 33 and three others had

cleared from the Port of Prince Rupert in northern B.C. Those clearances reduced vessel lineups to 31 ships at the Port of Vancouver and six at Prince Rupert — numbers that are still well above normal. Those numbers are high “but the vessel count has really come down,” said Mark Hemmes, president of Quorum Corp., the company contracted to manage the GMP. “As of (March 24) we were down to 24 boats.” The one-year average at Vancouver is 19 vessels. Before the 2013-14 crop year, vessel counts in Vancouver were typically in the range of eight to 12. Hemmes said a number of factors have contributed to historically high vessel numbers at Vancouver.

The most inTluential factor is weather. “When you look at what the weather’s been like out there for the last 14-18 days, it’s nuts the amount of rain that they’ve been getting,” Hemmes said.

16

www.customsbulletin.com

Mianwali ASO impounds Land Cruiser worth Rs23m FAISALABAD: The Model Customs Collectorate (MCC) Faisalabad’s ASO Mianwali has impounded a Toyota Land Cruiser. The market value of the seized vehicle is Rs23m involving customs duty and taxes of Rs10.9m. Sources told Customs Today that ASO Mianwali DC Muhammad Rizwan received a tip-off regarding the smuggling of above said vehicle. He immediately constituted a raiding team comprising Superintendent Choudhary Muhammad Sardar, Azhar Hussain Jafri, Riasat Hussain, Driver and Sepoys Saif Ullah, Ghulam Mohayudine, Muhammad Yousaf, Muhammad Abdullah, Faiz Ahmed and Sher.

Thursday, April 20, 2017

CUSTOMS BULLETIN

Duty concessions given in 5,109 cases: FBr chief tells Senate body ISLAMABAD cuStoMS BuLLetIN report www.customsbulletin.com

F

ederal Board of Revenue (FBR) Chairman Dr Muhammad Irshad has said that duty concessions have been granted in 5,109 cases.

The FBR chairman revealed this during a Senate Standing Committee on Finance and Revenues meeting, held under the chairmanship of Senator Saleem Mandviwalla at the Parliament House.

During the meeting, the Senate Committee chairman said that the FBR is at fault due to amnesty schemes and now they are harassing the taxpayers after several years.

He alleged that the FBR is the most corrupt department and it protects all corrupt people. “What actions the FBR has taken against those who has granted more incentives in violation of rules provided under that amnesty scheme for clearing nonduty paid (NDP) vehicles,” he added.

The FBR chairman protested on declaring whole department corrupt. He said that the FBR would take action against those who had violated the law. He assured the committee that he would present a report before the

committee after taking actions against their officers.

But the chairman of the committee did not seem to agree with the FBR high-ups and insisted

that the FBR used to protect its corrupt officers. The Customs’ top officials told the committee that there were 17,714 cases where lower model has been declared

for providing incentives under the amnesty scheme in Quetta.

Senator Jamaldini said that the FBR officers were demanding extra money. He cited Section 32 of

Customs Act whereby the FBR could take up cases of three years.

However, the FBR high-ups took the stance that they could take up cases of the last five years.

NAB to collaborate with stakeholders for anti-corruption strategy ISLAMABAD

cuStoMS BuLLetIN report www.customsbulletin.com

T

he National Accountability Bureau (NAB) is hoping for collaboration with all stakeholders for joint efforts to check corruption in the country.

This was expressed by NAB Chairman Qamar Zaman Chaudhry, according to a statement issued by the bureau.

Chaudhry noted that NAB’s ten-

tacles spanned the length and breadth of the country and that the bureau was constantly endeavouring to raise awareness, prevention and enforcement. Moreover, NAB has chalked out a comprehensive and proactive National Anti-Corruption Strategy (NACS) to raise awareness, enhance prevention and for effective enforcement.

The anti-corruption watchdog has also managed to recover Rs 45 billion to date from corrupt elements and had deposited in the national exchequer.

Further, NAB has Tiled 12 references in the Rs22 billion Modarba

Scam and recovered Rs1.73 billion apart from properties and vehicles. So far 34 people have been arrested in the scam including prominent names.

However, the bureau’s primary focus is on cases of cheating the public at large through fraudulent Tinancial companies, bank frauds, willful bank loan defaults, misuse of authority and embezzlement of state funds by government servants. Equipped with a forensic science lab (FSL) at its Rawalpindi bureau, the authority can carry out digital forensics, check dubious documents and conduct Tinger-

print analysis.

Moreover, NAB has rationalised its workload and timelines have been prescribed for efTicient, effective and expeditious disposal of cases within a maximum of 10 months. As per the latest report of Transparency International (TI) of 2016, Pakistan’s ranking in the Corruption Perception Index (CPI) has improved by over nine points, adding that Pakistan is considered to be a role model among South Asian countries for its efforts against corruption. In collaboration with Higher Education Commission (HEC), NAB established over 45,000

Published by M S Raza Off# 42, 3rd Flr Gull Plaza M.A Road Karachi, Printed by Dhoom Printing Building No RY/A, 11/6,11/7, Mashoor Mahal,off I.I. Chundrigar Road, Karachi

Character Building Societies (CBSs) in universities, colleges and schools across the country to raise awareness against corruption. For 2017, NAB has targeted to raise the number of CBS to reach at least 50,000.

NAB also hosted the Tirst SAARC Seminar in Islamabad where the heads of SAARC anti-corruption authorities agreed to the create a region-wide anti-corruption forum.

Pakistan was elected to head the body as its inaugural chairman. On bilateral the front, NAB has signed a MoU with China to streamline and structure cooperation in the Tields of anti-corruption.