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Vol 1 Issue No. 185

Karachi, Sat September 19, 2015

KARACHI

AFTAB CHANNA

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ollector Model Customs Collectorate MCC Exports Dr Saifuddin Junejo says he is raising working environment of the collectorate to help increase Pakistan’s exports by facilitating the exporters. During an exclusive interview with Customs Today, the MCC Exports Collectors said he would put up all his efforts

Price Rs. 14.00

to facilitate the exporters.

“I am streamlining the working atmosphere in the collectorate which had became messed up.” The ofSices of the collectorates are being renovated and model working practices are being adopted to encourage the staff of the collectorate”, he added. In the past, the ofSicers were assigned multiple tasks that formula did not work properly, causing serious problems for the collectorate staff, he said, adding that the department of manufacturing, rebate and DTREs etc were being separated.

Customs Intelligence seizes contraband items, vehicle worth Rs 5m

Customs Adjudication issues ONO against Huma Textile on titanium

Dastgir offers SCO members to use Pakistani ports after completion

ASO team under Mujtaba Memon seizes smuggled items worth Rs 74m

KCCI proposes to make NTN compulsory for opening business accounts

Customs Investigation has seized contraband goods, including a vehicle | See pAge 02 |

The Collectorate of Customs Adjudication-II has issued an Order | See pAge 03 |

Commerce Minister Khurram Dastgir has asked the members of SCO to use | See pAge 04 |

The Customs ASO Hyderabad has confiscated smuggled items worth | See pAge 12 |

To resolve the issue ofWithholdingTax on bank transactions, President of the KCCI | See pAge 09 |

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Germany agrees to provide €60m for IDPs, hydropower Saturday, September 19, 2015

National

SLAMABAD: The German Deputy Development Minister, Thomas Silberhorn, who is on a two-day visit to Pakistan, has signed three agreements worth €60 million for IDPs and Hydrocarbon projects.

Finance Minister Ishaq Dar and Deputy Minister Silberhorn signed three agreements comprising €60 million under German development cooperation for Pakistan.

The agreements consist of a €10 million grant for the rehabilitation for IDPs in FATA as well as €10 million grant for the Regional Infrastructure Fund doe KP. Moreover a €40 million loan agreement for the Warsak Hydropower plant.

Customs intelligence impounds car, seizes contraband items worth rs 5m LAHORE

Judgement in 12,000 tola gold smuggling case deferred KARACHI

m HAYAT

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ustoms Investigation and Intelligence has seized contraband goods, including a vehicle, Nokia smart phones and other items worth Rs 5.38 million.

Sources said that on the information of Customs Intelligence Director Saud Imran and on the instructions of Additional Director Rizwan Salabat and Deputy Director Salma Afzal, the intelligence team seized 611 smart phones of Nokia brand worth Rs 2.749 million involving Rs 1.125 million duty and taxes.

The directorate also confiscated auto parts, medicine, sunglasses and art silk cloth worth Rs 1.14 million involving duty and taxes amounting to Rs 605,000.

It also impounded a Toyota Mark-X Car worth Rs 1.5 million involving duty and tax amounting to Rs 900,920, the sources said.

The Customs Intelligence’ anti-smuggling team conducted operations under the supervision of Deputy Superintendents, Nasir Minhas, Rafique Bhatti and Rauf Farooqi.

Inspectors Zulfiqar Dogar, Nadeem Ahsan Khan, Munawar and other staff of the directorate was also part of the raiding

he judgment in a long–drawn gold smuggling case was deferred on Thursday for the second time. The Special Court of Customs Taxation and Anti-Smuggling has set September 29 for the pronouncement of the judgment.

Earlier, Judge Syed Faiz Rasool Rashdi had reserved the verdict in the case and fixed August 29 for its judgment but it could not be announced on that date as the judge was on leave. The court office, therefore, adjourned the pronouncement of the judgment to September 17.

According to the details, in February 1996 the Anti-Smuggling Organization (ASO) of the Pakistan Customs had thwarted a bid to smuggle gold into the country. The ASO had caught a boat with 12,000 tolas of gold worth Rs 600 million. Four suspects Hussain, Dawood, Abbas and Muhammad Umer, who were on the boat, were arrested.Subsequently, the custom authorities had registered a case against the accused persons under the relevant sections of Customs Act 1969.

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LNG sector seeks help from policymakers ISLAMABAD

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hahid Rasheed Butt, the patron-in-chief of the Islamabad Chamber of Small Traders, has expressed deep concerns over the LNG policy. In an interview, he said that the LNG policy is creating hurdles for transport sec-

tor which must be taken seriously by the policymakers.

He further said that minor changes in the LNG policy could help country reduce energy shortage and save billions of dollars besides reducing pollution. Butt added that LNG introduce for transport sector to replace the costly petrol which can help country to save billions in terms of energy import bill.

He said that the government should consider bringing sales tax on imported gas from 5 percent to zero to

make it viable for the private sector. Shahid Rasheed said that gas utilities are charging 11 percent losses while demanding to jack up losses to 16 percent which is illegal as Oil and Gas Regulatory Authority (OGRA) has determined a loss of 10.63 percent. He asked the policymakers to pay more attention to LNG sector as there are no chances of notable prices hike in the next decade as world’s regasiSication capacity is set to get a boost of 75 percent in the next 5-7 years.

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Karachi NAB moves LHC for Qasim Zia’s physical remand LAHORE: The National Accountability Bureau (NAB) Karachi on Thursday approached the Lahore High Court (LHC), seeking physical remand of Pakistan Peoples Party (PPP) leader Qasim Zia.Qasim Zia is already in jail on judicial remand as he was arrested by NAB Punjab last month in Usman Securities fraud case. During the hearing at the LHC, the NAB officials requested the court to hand over PPP leader to them for the recovery of looted money. The court asked about Zia’s offer regarding amount refund on which NAB lawyer stated that authorities are examining Qasim Zia’s offer. After listening arguments, the court subsequently adjourned the hearing till September 23, 2015 and sought final reply from NAB.

excise starts crackdown on token tax defaulters ISLAMABAD

SHAHiD miNHAS

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he Excise and Taxation Department of Punjab has started operation against token tax and unregistered vehicles throughout the province.

According to sources, Director General Punjab Akram Ashraf Gondal directed all regions to carry out special crackdown against token tax defaulters. Excise teams in different regions, specially Lahore, Kasur and Nankana Sahib, seized 35 vehicles on token tax defaults and also confiscated documents of 25 vehicles. During this action against defaulters, the Excise Punjab also recovered Rs 2.8 million.

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Customs to launch crackdown on smugglers from October 2 KARACHI

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he Customs (Enforcement) South has decided to launch a crackdown on smugglers in Sindh and Balochistan on the directions of Federal Board of Revenue (FBR) chairman.

According to the sources, the Customs will take action along with police and other law enforcement agencies against smugglers. Customs (enforcement) south Officer Iqbal Nayazi said that the crackdown is likely to start from October 2.

The sources added that Chief Collector Custom (enforcement) south Zahid Khokhar visited Balochistan and discussed with Inspector General Frontier Constabulary General Sher Afghan and Inspector General Police Balochistan Muhammad Amlish about the smuggling issues in border areas.

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Saturday September 19, 2015

National

Adjudication issues oNo against Huma Textile on titanium dioxide import KARACHI

AFTAB CHANNA

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he Collectorate of Customs Adjudication-II has issued an Order-in-Original against M/s Huma Textile for underinvoicing in import of titanium dioxide under SRO 638(I)/2005 dated 27.6.2005, causing loss of Rs 931,429.

According to details, the Directorate of Post Clearance Audit, Customs Karachi, while scrutinizing data of importers relating of claiming of admissible/inadmissible concessions in taxes, found that the importer had illegally availed the beneSits of concessionary rates under aforesaid SRO. In the ONO, the Deputy Collector Customs Adjudication-II Muhammad Aftab stated that the importer M/s Huma Textile has intentionally and willfully caused a loss to the government exchequer by availing the beneSits of SRO 638(I)/2005 dated 27.6.2005 which was evidently not admissible to them at the time of imports.

The ONO further states that the Model Customs Collectorate Appraisement (East) Karachi requested to re-adjudicate the case vide ONO No 58 of 2011 Manual 40 cases dated 19.10.2011. Hence, in compliance of the orders of the Honorable Tribunal, the present proceedings were initiated.

The case was Sixed for hearing on

07.04.2015, 15.04.2015, 22.04.2015, 14.05.2015. The representative of the importer, Muhammad Zahid appeared for hearing on 22.04.2015 and requested for adjournment of two weeks which was granted accordingly. However, neither any one appeared to attend the hearing nor any written reply was received from the respondent on subsequent date of hearings. The hearing notices were afSixed on the notice board in terms of section 215 of the Customs Act, 1969.

pCA, while scrutinising data, found that the importer had illegally availed the benefits of concessionary rates under Sro 638(i)/2005

Customs Court hears 11 cases on Thursday

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n the Special Court of Customs Taxation and Anti-Smuggling, 11 different cases were scheduled for hearing on Thursday.

No progress was made on cases and all cases were adjourned without any proceedings because no lawyer and parties appeared in the court. Hearing of the bail pleas of accused Meer Gull adjourned till next hearing.

Cases scheduled for hearing on Thursday including tax evasion, customs, smuggling and narcotics.

Cases of pre-arrest bail pleas of Sive accused including Muhammad Toufeeq, Sher Ali, Tahir Niaz, M Nadeem and Muzamal Hussain were also scheduled in the Customs Court for their pre-arrest bails but the Court adjourned these cases until next hearing. Court also proceeded on statements of witnesses in four different cases on the day.

Meanwhile, Most of the cases were adjourned without any proceedings because no lawyer and parties concerned appeared in the court. It was just like a holiday in the court on Friday. Hearing of bail pleas of three suspects adjourned till the next hearing. Cases scheduled for hearing on Friday including tax evasion, customs, smuggling and narcotics. Cases of pre-arrest bail pleas of M Aslam and Usman were also scheduled in the Customs Court.

However no one appeared in the case.

In the ONO, the Deputy Collector-Adjudication-II directed the importer to pay the evaded revenue of Rs 931,429. However, in addition, a penalty of Rs 100,000 is also imposed for violation of Provision of Section 32(1)(2) & (3A) of the Customs Act, 1969, Section 3(1), section 3,6,&7 read with section 34 of Sales Tax Act 1990 and Income Tax Ordinance 2001 punishable under Section 33 (5) and section 7A of the Sales Tax.

FBR IR Member Ashraf Khan to visit RTO Multan ember Inland Revenue (Operations) Ashraf Khan will visit Regional Tax Office Multan.

According to details, Ashraf Khan Member Inland Revenue (IR) operations will chair a meeting in which he will discuss significant matters of Regional Tax Office Multan. Member IR Ashraf Khan will evaluate the performance of the Regional Tax Office during the meeting.

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Privatisation committee considers options for divestment Saturday, September 19, 2015

Business

ISLAMABAD: The Cabinet Committee on Privatization in its meeting chaired by Finance Minister, Senator Mohammad Ishaq Dar considered various options presented by the Privatization Division for divestment of Faisalabad Electric Supply Corporation (FESCO) and TPS Muzaffargarh of Northern Power Generation Company (Ltd). The Chairman Privatization Commission apprised Minister Dar about the progress achieved in this regard and the timeline for fulfilling the remainder of procedures. The Finance Minister observed that the Financial Advisors should provide the Government with multiple options with a view to maximizing the gains from these transactions.

Closing: kSe 100-index nose-dives by 383pts on foreign selling KARACHI

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he Karachi Stock Exchange benchmark 100-index lost 383.36 points or 1.16 percent to reach 32768.71 points and volume of 63,262,950 shares on Friday. Till midday, the KSE opened on a positive note of early trading but again dipped 0.38 per cent, losing 126.32 points to drop

to 33025.75 points level.

On Thursday, the KSE fell amid late session proSit-taking at KSE on concerns for uncertain global stocks and commodities. Volatility prevailed in yesterday’s session where the 100-index initially opened strong to hit a high of 392 points, however it could not sustain into the green zone, with the index closing down 193.49 points or 0.58% at 33,152.07 points. High and low were 33243.25 and 32728.20 respectively. Total volume traded in the market was 63,262,950 shares.

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he country’s total foreign exchange reserves have surged to $18.72,601 billion on the week ended September 11. According to the State Bank of Pakistan (SBP), the foreign reserves held by the central bank amounted to $13.68,905 billion and the net foreign reserves held by other banks were $5.03,606 billion.

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ederal Commerce Minister Khurram Dastgir Khan has asked the members of Shanghai Cooperation Organisation (SCO) to use Pakistani ports after completion of the China-Pakistan Economic Corridor.

The minister said this, while addressing the meeting of Ministers

he Benazir Income Support Programme (BISP) has helped reduce poverty ratio by 22 per cent. The figure was revealed in a first-ever evaluation report of the programme that was launched by President Mamnoon Hussain, while BISP chief Marvi Memon was also present there. The BISP evaluation report pointed out whether the cash transfer programme has achieved its objective of providing direct support to the poorest families by supplementing their incomes. It also evaluates the impact on key areas including consumption smoothening and poverty alleviation.

Highlighting key findings of the report, Marvi Memon said that 64% beneficiaries have control over BISP’s stipend. This means empowerment of women and more expenditure on children’s nutritional needs. “This report surveys impact between April and June 2013, a period of the last government when payments were not being made regularly. However, it has some important findings for future years,” she said. Payments to the beneficiaries have been regular since 2014, she added.

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Dastgir offers SCo members to use pakistani ports after CpeC

KARACHI

BiSp helps decrease poverty by 22%

of Commerce of SCO in Xian, China.

The minister said, “Pakistan’s trade strategy focuses on developing linkages with our neighbours, leveraging our geographical location, and capitalizing on regional connectivity initiatives.”

He emphasised that cross-border land trade is especially important for landlocked member countries as Pakistan and SCO countries will benefit substantially from greater integration through energy, commerce and transit trade.

He said that China-Pakistan

Economic Corridor (CPEC) is a landmark initiative under the umbrella of One Belt One Road and this economic corridor will connect the nodes of growth centres, falling between Kashgar and Gwadar.

SCO members include China, Kazakhastan, Kyrgyzstan, Russia, Tajikistan and Uzbekistan. Prime Minister Nawaz Sharif has visited all the countries in SCO after assuming office in order to explore and develop strong political, economic and trade ties with these countries.

Kh Asif says 5,155MW projects to achieve financial close this year ISLAMABAD

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he private sector power projects of 5155MW will achieve Sinancial close by end of current year.

This was revealed by Federal Minister for Water and Power

Khawaja Muhammad Asif, while chairing the 102nd meeting of the Board of Private Power and Infrastructure Board (PPIB). He said that the government is making every effort to increase electricity supply to the national grid through all possible avenues, including private sector. The private sector power projects which are expected to achieve Sinancial close this year are 102MW Gulpur Hydropower Project at Poonch River, Azad Jammu & Kash-

mir, 720MW Karot Hydropower Project at Jhelum River, District Rawalpindi, 870MW SukiKinari Hydropower Project at Kunhar River, Mansehra, Khyber Pakhtunkhwa, 1320MW Port Qasim Coal based Power Project at Port Qasim, 660MW EngroPowergen Coal based Power Project at Thar Block-II, Sindh, 1320MW Shandong Imported Coal based Power Project at Qadirabad, Sahiwal and 163MW Grange Holdings Coal based Power

Project at Arifwala, Punjab. The said projects have local and foreign investments where investors from China, Korea, Qatar and Saudi Arabia have large equity contributions in these projects. Different ongoing private power projects were also discussed in the meeting in context to the overall electricity situation in the country. Meanwhile, The Economic Coordination Committee of the Cabinet in its meeting chaired

by Finance Minister, Mohammad

Ishaq Dar accorded approval in principle for import of 50,000 tons of gram pulse in view of hike in its price due to shortage in the local market. TCP will carry out the import. While according approval to Ministry of Food Security’s proposal with consensus of the house, Ishaq Dar directed that the Ministry of National Food Security, Ministry of Commerce and Ministry of Industries may make arrangements for the import of gram pulse at the earliest.

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ustoms Appellate Tribunal (CAT) has concluded a hearing into NATO containers burning case and reserved decision after counsels of Laguardia Logistics and Customs Collector completed their arguments.

The two-member division bench, headed by CAT Chairman, Ghulam Murtaza Bhatti and comprising another member Khalid Mehmood, heard the case.

During the hearing of case, Laguardia Logistics’ counsel argued against the imposition and charging of undue and unlawful taxes over company’s logistics services.

The company is famous for delivering petrol to NATO troops

in Afghanistan and suffered colossal loss after containers burning incidences in Pakistan.

The bench reserved the decision after hearing arguments of both sides and directed them to wait for order.

Meanwhile, The Customs Appellate Tribunal (CAT) has reserved decision of the case regarding cancellation of license of a company, Euro Duty Free.

A two-member division bench, headed by CAT Chairman, Ghulam Murtaza Bhatti and comprising another member Khalid Mehmood, heard the case.

The Euro Duty Free (company) filed a petition in CAT, seeking the court to set aside customs deputy collector’s decision for cancellation of the company’s license.

Company’s counsel, Mian Nazir Azher argued that collector’s office imposed the decision be-

yond its jurisdiction.

He stated before the bench that company’s license was cancelled without sufficient evidences. He further stated that the decision was violating law since another attached case was pending before the collector office and verdict could not be issued on them separately.

Meanwhile, deputy customs’ representative argued that license of company, Euro Duty Free, should be cancelled since the company was involved in unlawful practices. She alleged that company was evading duty and importing dutiable items without paying the due taxes.

She also stated before the court that through evading duty, the company had caused loss of more than Rs 35 million. After hearing arguments of both sides, the bench directed them to wait for orders.

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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

govt needs to do more

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espite all positive indicators such as thriving stock market, stable currency and low inflation, Pakistan could not become a promise land for foreign investors who still prefer to go to India, Bangladesh or even Ghana than coming here. Since the country joined the USled war on terrorism, hundreds of thousands of people have been killed in terrorism activities and the nation still feels the heat of uncalled for war despite the passage of over one and half decades.

The nation has travelled from dictatorship to democracy, but conducive investment climate could not be created. The general impression all over the world is that Pakistan is a dangerous place to live and it is very difficult for anyone to invest in an unstable country to risk his money. The present government has introduced various reforms after coming to power, but it could not convert Pakistan into an attractive investment destination.

The International Monetary Fund has projected 4.7 percent growth rate for the country in financial year 2015-16 and the State Bank has lowered its benchmark interest rate at 40 years low. The construction industry has recorded a growth of 5.5 percent and car sales have jumped by 22 percent.

The stock market is robust and decrease in oil prices in the international market has somehow resolved the balance of payment problem as the country spends five percent of its GDP on the import of petroleum products. According to IMF, Pakistan can save $12 billion in the next three years if the oil prices remain low. However, Prime Minister Nawaz Sharif needs to do more to maintain financial discipline. His government is engaged with IMF program soon after coming to power in 2013 and still looks toward the donor agency to streamline financial affairs. What the government needs to do is to announce a generous investment package for businessmen to enhance industrial growth. It should also look into the causes which lead foreign investors to land in India and Bangladesh than Pakistan despite acquiring a better position in ease to do business index than the countries in the region.

Through the good offices of Finance Minister Ishaq Dar, the country has achieved economic stability, but the economy needs to grow by at least 7 percent to meet the losses incurred during the years under dictatorship. At least 25 percent population in the country lives below the poverty line and most of it lacks health, education and employment opportunities. The government still not has come out of energy crisis and security issue remains to haunt foreign investors. However, fears of foreign investors can be removed if the government has the will and commitment to serve this nation.

Fitch’s rating F

LAHORE

Dr AFTAB AFZAL

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itch Ratings has assigned a B credit rating to Pakistan with a ‘stable outlook’, but ‘weak’ economic fundamentals even if compared with the similar rated peers. According to a report issued by the rating agency, its Sirst ever rating of Pakistan, the B ratings balance the country’s underdevelopment, political instability, weak public Sinances and history of macroeconomic volatility against the stabilization and progress on reforms achieved under the latest International Monetary Fund (IMF) program.

On another note, big investors all over the world are looking to-

ward emerging or frontier economies to launch industrial projects after industrial growth has slowed down in China and some European economies. The popular investment destinations in Asia are Vietnam and the Philippines and in Europe, Poland, Romania, Hungary and Czech Republic have emerged as attractive destinations for potential investors. The world rating agencies are the volunteers which highlight economic conditions of the countries. About Pakistan, Fitch’s rating shows highly speculative debt which is two levels below the investment grade.

Earlier this year, Moody’s, another US rating agency, had lowered Pakistan’s credit risk warning to ‘high’ from ‘very high’, but Fitch Ratings show that the risks have not still

over. Earlier, the country was facing balance of payment problem, but the IMF deal with Pakistan Muslim League-Nawaz government had averted the crisis. Despite all odds and pressure, the Pakistani rupee has emerged as the third-best performer this quarter among 12 Asian currencies tracked by Bloomberg. Fitch warns that distraction from Sinancial discipline with potential to increase inSlation or a widen current account deSicit or a political instability could cause a downgrade, but political stability, improved security, comfortable level of foreign exchange reserves and sustained Siscal consolidation could lead to an upgrade in the rating. The agency warns of the country’s costly conSlict with India that

should not turn into a full-Sledged war. However, the positive side of the policy is that Pakistan is trying to normalize its relations with Afghanistan and India whereas it has deep relations with China. If $46 billion investment offered by China is realized, the government will be in the best position to revive economy, which is enduring chronic power failures and terrorism that has killed more than 50,000 people since Pakistan joined the war on terrorism in 2001. The agency hopes that the China-Pakistan Economic Corridor can strengthen the country’s economic fundamentals, but it remains to be seen how the government maintains the rate of progress and how it bears the cost of any debt Sinancing.

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Lakeshore Chamber organises expo to highlight 60 local business enterprises NEW YORK: Lakeshore Chamber of Commerce will highlight 60 local business enterprises, as they display their wares and services Sept.

23 at the chamber’s 11th annual Business Expo, set for Dynasty Banquet Center in Hammond. Additionally, the chamber’s popular Expo luncheon will feature a panel of economic development experts who will highlight recent victories in East Chicago, Hammond, and Northwest Indiana.

mobicash launches ‘Bachat Account’ for its subscribers obicash, continuing with its innovative offerings, launched a savings account for its mobile account holders. Aptly titled ‘Bachat Account’, it provides an incentive to account holders conscious of their saving habits by offering them a daily profit on maintaining a certain balance of money in their mobile account. The profit in the “Bachat Account” is calculated and posted to the mobile account on a daily basis. This service comes with unique features that are industry first initiatives, daily posting to the mobile account and option to subscribe/un-subscribe directly from customer mobile account menu.

This service is available to both existing and new Mobicash mobile account customers. Aniqa Afzal Sandhu, Senior Director Mobile Financial Services – Mobilink, while expressing her joy at the launch of this latest product stated, “This latest product will be of immense benefit to our customer base as it offers them a handsome return on their earnings and promotes a savings culture. Around the globe, people are encouraged to save for a better tomorrow, and our product is a step in that direction. Mobicash wants to provide Pakistani citizens with a safeguard against economic uncertainty and other personal emergencies. In line with our vision to bridge the divide between banked and unbanked proportions, our Bachat Account offers individuals an opportunity to lead a better lifestyle by encouraging microsaving.”This service currently offers mobile account holders three separate saving plans based on a set range of balance requirements: Bachat Plan A sets PKR 2500 as the minimum balance, which offers users an annual profit rate of 6%, Bachat Plan B has a minimum balance requirement of PKR 7,500 with an annual return of 7%, while Bachat Plan C offers an industry high annual return of 9% on a minimum balance of PKR 15,000.

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Saturday September 19, 2015

Chambers

kCCi proposes to make NTN a must for opening business accounts KARACHI

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o resolve the issue of Withholding Tax on bank transactions, President of the Karachi Chamber of Commerce and Industry (KCCI) Iftikhar Ahmed Vohra has proposed that the national tax number (NTN) should be made compulsory for all Current Accounts/ Business Accounts opened by the banks.

“No bank account should be opened without the NTN certiSicate and all existing account holders may be required to submit NTN certiSicate issued by the FBR otherwise the account should be closed. A threshold may be Sixed for turnover in Savings Account, and NTN should be made compulsory for turnover exceeding the threshold”, President KCCI added in a letter issued to Federal Minister for Finance Muhammad Ishaq Dar. He was of the view that once the particulars of accountholder are available to FBR through NTN, it has

the required powers under the Income Tax Ordinance as well as other prevailing laws to pursue the registered person to Sile Tax Returns.

“It is important to distinguish between Non Filer and Unregistered person. The term non-Siler is based on the assumption that the person is registered but not Siling the returns.

Therefore the concept of registered and unregistered persons should be applied instead of Filer and NonFiler”, he advised.

President KCCI further pointed

out that it was not the function of banker or the account holder who is a Filer, to ensure that Tax returns are Siled by the registered person. As long as a person is registered, it is the function of FBR and RTOs to ensure compliance under the provisions of Income Tax Ordinance which confers the powers on RTOs to ensure compliance and no short cuts such as WHT on Bank Transactions be adopted which has disrupted the entire supply chain. He was of the view that the aforementioned pro-

Chinese trade team visit iCCi to explore business collaborations ISLAMABAD

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large delegation of Chinese companies led byMike Wang visited Islamabad Chamber of Commerce and Industry to explore business collaborations with Pakistani counterparts. The Chinese companies were representing various sectors including manufacturers of automobiles and auto parts, security systems including bio-metric solutions, construction machinery, power generation equipment, water puriSication equipment and solid waste management systems etc.

Speaking at the occasion, the head

of Chinese delegation Mike Wang said that their visit was a follow up of the decisions taken during the visit of Chinese President to Pakistan in April 2015 to further strengthen relations between the private sectors of both countries. He said the current visit was to explore Pakistan for business potential and next time, more companies of Chongqing City of China would come to Pakistan to Sind out possibilities of joint ventures and investment.

The Chinese companies gave a detailed presentation on their products which were being exported to USA, Europe and many other countries. In his welcome address, Muzzamil Hussain Sabri, President, Islamabad Chamber of Commerce and Industry highlighted the investment potential in

various sectors of Pakistan’s economy for Chinese investors. He said that China-Pakistan Economic Corridor project was poised to create plenty of business opportunities for the entrepreneurs of both countries and stressed that maximum companies of Chongqing City of China should participate in the construction of this project. He said Pakistan was a promising country for business and Chinese companies should put up manufacturing plants in our country in the areas of interest. He said China and Pakistan should facilitate and encourage regular interactions between their private sectors that would help in establishing more joint ventures and business partnerships in areas of interest leading to enhanced bilateral trade.

posal was the best option available to ensure broadening of tax base while the representatives of trade and industry will not have any substantial ground to oppose it. The measure will bring the prevailing uncertainty among the trade and industry to an end and will allow both FBR and the business community to focus on their respective role, he added.

President KCCI noted that despite various meetings between representatives of Chambers and trade organizations, Ministry of Finance and Federal Board of Revenue (FBR) during last two months, the issue of 0.3 percent Withholding Tax on banking transactions has not been resolved to the satisfaction of stakeholders. The imposition of 0.3% WHT on bank transactions has resulted in a slowdown of business activities and decline in bank deposits.

He informed that a number of delegations representing various sectors of trade and Industry have held meetings with the President and office bearers of KCCI to highlight the problems arising out of 0.3 percent WHT on bank transactions and its impact on their business which has slowed down significantly.

SCCi elections: ittehad Founders’ group wins all seats he ruling Ittehad Founders’ Group, swept clean and won all the five seats of SCCI associate class by knocking out rival Democratic Founders’ Group, during the annual elections of Sialkot Chamber of Commerce and Industry (SCCI) here. There were total 1779 registered votes of SCCI Associate Class cast their votes. Out of which, 810 votes were cast and turn out remained 45 percent.

According to SCCI Election Commissioner Sheikh Naveed Iqbal, Maj (Retd) Mansur Ahmed, Adnan Arshad Sethi, Mian Babar Ali, Ashir Elahi and Umer Khalid against opposition’s Mirza Ayaz Baig, Muhammad Iqbal Asad, Zarar Ahmed Dar, Rehan Bin Tahir Mughal and Muhammad Tahir Siddique were elected as members of SCCI.

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Russia’s FSKN seizes 3kg heroin worth $91,000 Saturday September 19, 2015

World

MOSCOW: Officers from the Federal Drug Control Service (FSKN) seized 3 kilograms of heroin worth 6 million rubles ($91,000) and detained a band of drug dealers here the other day, the TASS news agency reported.

The drug dealers, according to FSKN spokespeople, were Uzbek and Tajik nationals.

They had rented an apartment in Moscow where they packaged the drugs, which were then distributed to the southeastern part of the city.

First the officers arrested the courier, who had concealed 300 grams of heroin in a pot of yogurt and his underwear.

They then detained the suppliers and confiscated 2 kilograms of drugs from them.

Chinese Court jails woman for moscow man sentenced 6½ years for smuggling ivory to 1yr imprisonment for smuggling animals

BEIJING

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MASCOW

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single mother who bought six pieces of ivory in West Africa and smuggled them back to China has been jailed for 6½ years, state media reported.

The woman, 37, was stopped at Beijing Capital International Airport in December 2013 and the ivory, weighing 14.5kg and worth more than 605,000 yuan was found in her luggage, state radio reported.

Smuggling endangered animals or animal products can lead to a 10year jail term, or even a life sentence, for serious offences in China.

The woman, whose full name was not given in the report, told a court in Beijing she bought the ivory as souvenirs.

She said she had gone to Ivory Coast Sive times and had only bought ivory on one trip.

Prosecutors said she had spent

iran to host 10 eu trade delegations in 2 weeks ran says it is preparing to host 10 European trade delegations within the next two weeks, stressing that the rise in the frequency of visits by trade delegations is a result of July nuclear breakthrough with the P5+1.

Masoud Khansari, the president of Tehran Chamber of Commerce, has told the media that a surprise influx of trade delegations has created a challenge for the Chamber as well as the government of President Hassan Rouhani in terms of planning. Khansari added that eight major European trade delegations have so far visited Iran in light of the Iran nuclear breakthrough which was achieved in mid-July. He expressed delight over this and said President Rouhani’s team deserve praise for brining Iran out of what he described as “relative [trade] isolation”.

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20,000 yuan on an air ticket, but stayed in the African nation for only one day and a night when she bought the ivory.

The woman, who owns a hair salon in China, said she had only stayed brieSly as she wanted to check out the business opportunities running bars and restaurants in Ivory Coast. The ivory smuggled into China. Photo: China National Radio

It was also the Sirst time she had left her daughter for any length of time, she said. She told the court the ivory was bought from a Chinese person in Ivory Coast and she was unaware it was illegal to bring it back to China. The pieces of ivory were wrapped in tin foil and prosecutors alleged this was to try to prevent them showing on airport X-ray machines.

4 Dutch men accused of smuggling £38m drugs appear in court

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our Dutch men have appeared in court accused of smuggling £38million-worth of class A drugs into the UK in an ambulance.

Packets of cocaine, heroin, amphetamine and ecstasy were found in secret compartments in the Dutch-registered vehicle.

The ambulance – complete with state-of-the-art equipment inside – was followed from Holland to the West Midlands.

Detectives from the National Crime Agency swooped on the suspected smuggling gang in Smethwick in June.

Olof Schoon, 38, Leonardus Bijlsma, 55, Dennis Vogelaar, 28, and Richard Engelsbel, 51, were later charged with drug offences.

The men, who live in or near Amsterdam, did not enter pleas when they appeared at Birmingham Crown Court.

our Eastern European men – two Czech Republic lizard collectors and two recognised research scientists from Moscow – have each been sentenced to 12month jail terms for a cruel attempt to smuggle protected native animals out of WA. But the men will be spared further time behind bars on the sentence imposed by District Court Judge Stephen Scott, who took into account the 7 1/2 months the men had spent in custody since their arrest in February.

The men – Czech’s Jan Suchanek and Jan Stenicka and Russians Roman Nazarov and Eduard Galoyan – will sign $5000 undertakings not to commit further offences for the rest of the jail term which will mean they are not required to spend further time in prison. The men, who remain in custody on related charges in the Perth Magistrate’s Court and are likely to be deported, each pleaded guilty to multiple charges of attempting to export native specimens and attempting to export live animals

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in a way that subjected them to cruel treatment. The four arrived in Perth earlier this year and attempted to smuggle animals including skinks, geckos, frogs and snakes out of Australia. All four of the men, who arrived in Perth in January, tried to export the animals by packaging them in various ways and posting them overseas using Sictitious names.

Some of the packages had the animals hidden in hollowed out books.

Galoyan and Nazarov were caught at Perth International Airport with animals hidden in their hand luggage. Galoyan had concealed the animals in socks in a canteen. Nazarov had animals hidden in cigarette packets. Judge Scott said 28-year-old Suchanek, who tried to export 32 animals, had been interested in reptiles since he was eight years old. Meanwhile, The Russianled Eurasian Economic Union (EEU) has accepted an Armenian proposal to explore the possibility of seeking a free trade agreement with Iran, a senior ofSicial in Yerevan revealed on Thursday. Armenia and Iran have for years discussed ways of removing or at least reducing tariff barriers in bilateral trade.

100 Czech firms keen to invest in Iran eputy CEO of Czech Republic I.B.C. has said that 100 Czech Sirms are interested in making investments in Iran. At a meeting with the Governor of Lorestan province and the head of Khorramabad’s Chamber of Commerce in the city of Khorramabad on Monday, Frantisek Konisek recounted that, “for the Sirst time, I visited Iran 35 years ago on behalf of

Sigma Corporation which is one of the largest producers of industrial equipment and we started collaboration with Khuzestan’s sugarcane industry.”

Pointing that there has not been much opportunity to develop cooperation with Iran over the past two decades, he added that, “recently, we have resumed our collaboration and a Czech delegation visited Iran last year.

BofA forecasts trading revenue slip by 5% to 6% in Q3

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WASHINGTON

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ank of America Corp. Chief Executive and Chairman Brian Moynihan said here the other day that the bank’s trading revenue could fall 5% to 6% in the third quarter.

Mr. Moynihan, speaking at the

Barclays Sinancial services conference, said he expected revenue from the unit that trades bonds, currencies and commodities would be down, but revenue from the smaller equities-trading unit would be up.

His statements echoed a similar prediction Wednesday by Citigroup Inc. Chief Financial OfSicer John Gerspach, who said his bank’s trading revenue could decline 5% in the

third quarter. Mr. Gerspach said the decline would be partly because of tough comparisons, given the strong performance in rates and currencies products in September 2014.

At Bank of America, second-quarter revenue from the trading business, excluding an accounting adjustment, fell 2%. It followed the same pattern that Mr. Moynihan predicted for the third quarter, with

revenue down in Sixed-income trading and up in equities trading.

Mr. Moynihan took several questions; none were about the shareholder vote next week that will determine whether he gets to keep the chairman job.

The bank has been slashing expenses for years and Mr. Moynihan vowed Thursday to continue to do so.

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Hong Kong port’s troubles deepened over 2015 HONG KONG: The port of Hong Kong’s troubles have deepened over 2015. The latest numbers from the Government of Hong Kong’s Marine Department for the month of August show a year-on-year fall of 9.8% in the number of TEUs passing through the whole port.

Meanwhile,Hong Kong-listed Sinotrans Shipping predicted that its profit would fall significantly year on year (y/y) for the first half of 2015 and the company may drop into considerable losses during the period. Such substantial decrease in profit or considerable loss is mainly the result of the company’s continual slowdown of growth in international trade and dry bulk seaborne volume as a result of the weakening of economic growth in China and other emerging markets in 2015, a stock filing of Sinotrans Shipping said on 9 July.

Ports & Shipping

China, Japan, S korea expanding port alert system after Tianjin explosions

port of Vancouver uSA opens new rail entrance for freight

BEIJING

VANCOUVER

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hina, Japan, and South Korea are expanding an initiative aimed at sharing information, particularly warnings of danger, following the deadly explosions that rocked Tianjin port last month. The ports of Ulsan and Pyeongtaek, in South Korea; Shaoxing and Jiaxing, in China; and Yokkaichi and Niigata, in Japan; will join the Northeast Asia Logistics Information Service Network, bringing its membership to 19. The proximity of Pyeongtaek, Ulsan and Yokkaichi ports to refineries make the major gateways for for oil and chemical cargo. “Through this network, China, Japan, and South Korea can better manage and store dangerous cargoes, thus improving the competitiveness of our logistics industries,” said Park Byung-chul, director for marine logistics at South Korea’s Ministry of Oceans and Fisheries.

he Port of Vancouver USA and its partners have concluded the $30m Trench rail project, which created a new entrance designed to help trains move goods Slow from regional businesses more easily into out of the port.

Trench is a major part of the port’s $275m West Vancouver Freight Access (WVFA) project, which helps reduce regional rail congestion by up to 40%, ensuring businesses along the West Coast and between Portland, Oregon and Chicago can effectively move products from source to market.

The opening was conducted by port ofSicials, US Senator Maria Cantwell and representatives from the ofSices of US Senator Patty Murray, US Representative Jaime Herrera Beutler and governor of Washington Jay Inlsee. “Everyone speaking today and many in the audience played a huge part in realis-

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peru to add eight ports over the next 10 years eru’s director general responsible for concessions at the Ministry of Transport and Communications, Raúl García, wants to see eight major ports operational in Peru over the next 10 years. He argues that, not only will this drive down logistics costs and therefore boost overseas trade, but also lessen the reliance on the country’s three main ports: Callao, Paita and Matarani, where the majority of such traffic is currently handled. Ports to be developed are Salaverry, Chimbotr, Huacho, Pisco and Ilo. The government has already initiated studies into construction of Miguel Grau port. This would serve as an alternative outlet for Bolivian cargo on the Pacific, much of which is currently handled by ports in the north of Chile.

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Sri Lankan govt decides to extend agreement of port city project he new Sri Lankan government said here the other day that it had decided to extend the agreement of a China-funded multibillion dollar port city project in capital Colombo for a further six months.

Cabinet Spokesperson Dr Rajitha Senaratne told journalists that the agreement signed between the Sri Lankan government and the China Communications Construction Company Ltd (CCCC) in September 2014, expired on Tuesday.

However since the project remained temporarily suspended, the government extended the agreement for a further six months, Senaratne added.

“The company was supposed to complete certain parts of the project by September 2015. But they had to stop that. So we have extended the period by another 6 months,” the spokesman said.

He further assured that if the environmental reports called for by the government are favorable then the project would continue without further delay. The $1.4 billion project which is funded by the CCCC was suspended in March after concerns were raised over some aspects of the project. However the government said recently that the project would continue and be part of its megapolis development in order to transform the country into a “smart and technologically advanced nation” in the coming five years.

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ing this project.”

Port of Vancouver USA CEO Todd Coleman said: “Everyone speaking today and many in the audience played a huge part in realising this project. “Cantwell’s support of freight to Senator Murray’s hard work on the TIGER grant programme, and all those who provided funding for this project.”

The project, which was completed $8m under budget and ahead

of schedule, was designed to eliminate conSlicts between trains entering the port.

It triples the port’s rail capacity, allowing tenants to efficiently move products such as grain, steel, Subaru vehicles and wind-energy components. The complete freight access project is scheduled to be completed in 2017, about a year ahead of schedule and $50m under original estimates.

King Abdullah Port in global spotlight n response to an invitation from Economic Cities Authority (ECA) Secretary General Mouhanad Hilal to Saudi Ports Authority (SPA) Head Nabil Al-Amoudi, a delegation of senior SPA ofSicials visited King Abdullah Port (KAP) at King Abdullah Economic City (KAEC).

Led by Al-Amoudi, the visitors included Captain Abdullah Al-Zamei, GM of Jeddah Islamic Port, and

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Naeem Alnaeem, GM of King Abdulaziz Port in Dammam. Commenting on the visit, Mouhanad Hilal said: “We were delighted to welcome Nabil and Saudi Ports Authority delegates in order to exchange knowledge and build the Sirst block of our future collaboration. The visit included a closer look at the progress of King Abdullah Port as well as the business model for the Kingdom’s

Sirst private port.” Both parties agreed on future cooperation, including exchange of monthly reports and to work together on studies that will be of beneSit to ports in the Kingdom. KAP plays a complementary role in the ports sector in the Kingdom and demonstrates that cooperation between the public and private sectors is a cornerstone of success in the national economy.

west Coast ports import volumes surge in August

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CALIFORNIA

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rising tide is lifting cargo volumes nationwide, with the onset of the pre-holiday peak shipping season.

The West Coast ports of SeattleTacoma, Wash. and Oakland, Calif. saw August import volumes rise in double digits over last year.

The Northwest Seaport Alliance, which includes the ports of Seattle and Tacoma, received 113,972 loaded 20-foot equivalent units, a standard measure for container cargo, in August—a 31% improvement over the prior-year period’s loaded imports. Oakland saw loaded import container volume jump 15% over last August to 82,492 TEU. Empty export containers more than doubled at the Washington

ports to 44,393 and rose 15.6% to 41,659 in Oakland—likely because of a lack of demand from weak foreign economies as well as a seasonal repositioning of containers to accommodate extra holiday volume in the coming months. Loaded exports were up slightly in Seattle-Tacoma and remained essentially Slat in Oakland relative to last August. The healthy performance that suggests the PaciSic ports may have Sinally worked

through major delays and congestion that plagued them during and after protracted labor negotiations with the West Coast dockworkers union over much of the past year. Last week Los Angeles and Long Beach, the nation’s largest container ports, also reported an August jump in cargo volume. Major Atlantic and Gulf Coast ports of Charleston, S.C., Norfolk, Va., and Houston also saw improved import performance in August.

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Australia earns profit A$1bln at farm gate in nut exports CANBERRA: Australia’s tree nut industry has solidified its position as Australia’s most profitable horticultural export sector, generating A$1.2bn at the farm gate and over A$1bn in export earnings over 2015. Upon announcing the results, Australian Nut Industry Council chairman Jolyon Burnett said the exponential growth was being driven by high nut prices and increasing global demand from health-conscious consumers. “With our crops being counter-seasonal to the northern hemisphere nut producing nations, Australia offers the freshest nuts for six months of the year,” Burnett explained.

Saturday, September 19, 2015

CUSTOMS BULLETIN

ASO team under Mujtaba Memon seizes smuggled items worth Rs 74m in 2 months HYDERABAD

ASLAm QureSHi

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he Customs Anti-Smuggling Organisation (ASO) Hyderabad has confiscated smuggled items worth Rs 74.31 million during July-September of the current fiscal year 2015-16, marking 64 percent growth as compared to Rs 45.1 million of the same period last year.

The ASO teams, following the direction of Collector Model Customs Collectorate Hyderabad, Ahmad Mujtaba Memon, conducted various operations in Hyderabad, Sukkur and Larkana and recovered petroleum products, cloth, green tea and other items. The ASO teams conducted operations under the supervision of Additional Collector Omar Shafique and Assistant Collector (HQ) Samiullah at highways and railways station.

On the other hand, The ASO Hyderabad has seized smuggled goods worth Rs 16.777 million involving duty/taxes amounting Rs 9.86 million during last ten days.

NLC, ADB to establish terminal on Pak-Afghan border to facilitate exporters PESHAWAR

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he Pakistan National Logistic Cell (NLC), with support of the Asian Developmental Bank (ADB), will establish an NLC terminal for importers and exporters over 432 kanal lands on the Pak-Afghan border. The project will cost Rs 9 billion. This was revealed

by Brigadier (r) Nadeem Iqbal Raja and Lieutenant (r) Colonel Waheed

Janjua while talking to Vice President All Pakistan Customs Agent Association and Director PakAfghan Joint Chamber of Commerce. On this occasion, Lieutenant Colonel Iftikhar-u-Din Shinwari, Faiz Mohammad Faizi and elders of Hoga Khail tribe were also present.

They said that the NLC terminal will comprise walk-through gates, computerized weighting scale, warehouse, display center, customs station and clearance facilities for vehicles used for imports and exports. Besides, a bank, and FIA and NADRA ofSices will also be set up.

The Afghan importers will be is-

sued special permit cards. They said that this terminal will be completed in two phases. The work has been started on phase one where the FIA and immigration ofSices have started their work. In the Sirst phase, cards of NADRA will be issued to those vehicles which would come from Afghanistan while funds of Rs 9 billion have been provided

by Asian Development Bank and land of 432 kanal will be required for this purpose. At least 132 kanal is available with the Pakistan Army while the remaining land will be taken on lease after agreement with Hoga Khail tribe.

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