April 29 layout 1

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Karachi, Sat April 29, 2017

MULTAN

IMRAN ALI

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he Customs Collectorate has shown exceptional performance in the revenue generation so far but income of the collectorate is falling sharply due to imposition of Infrastructure Development Cess on the import shipments.

This was stated by Collector Saud Imran Ahmad during an exclusive interview with Customs Today in his ofXice. He said that Multan Customs is a major revenue generating Collectorate of Central Region and Customs Collectorate has its signiXicant importance for business community due to its geographical location.

He said that Multan Customs Dry Port is the only clearance station

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in South Punjab for importers in the region.

Collector Saud Imran expressed his concern over the lack of interest of the businessmen to import their consignments through Multan Dry Port.

The major revenue collection of Multan Customs import clearances of ex-bonding is comprised of High Speed Diesel (HSD) products and its almost 97 per cent of entire import from Multan Dry Port.

He told that Multan Dry Port is the only facilitation hub for importers of this region but business community preferred their import clearances from other stations like Karachi for their import clearances due to their personal beneXits.

Hyderabad ASO confiscates goods worth Rs 19.16 million

Direct wealth tax should be charged to increase revenue collection

Pakistan creates favorable socioeconomic eco system: Ahsan

Customs I&I intensifies crackdowns against smugglers

Valuation of Gypsum board, Gypsum tile & Fiber cement board revised

ASO confiscated smuggled goods worth Rs 19.16 million from Hyderabad, Sukkur | See pAge 02 |

NA Standing Committee on Finance, Revenue, Economic Aairs, Statistics | See pAge 03 |

Ahsan said that Pakistan has achieved an economic growth rate of 5 percent | See pAge 04 |

The Directorate of Customs I&I has intensified anti-smuggling operations | See pAge 14 |

The DG of CustomsValuation has revised the customs value of Gypsum Board | See pAge 16 |

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Drug pusher sentenced to prison & cash penalty Saturday, April 29, 2017

National

LAHORE: A Special Court of the Anti-Narcotics Lahore has sentenced drug pusher to jail imprisonment and cash penalty.

An accused Shahid Abbas was arrested by the Anti-Narcotics Force from a nearby area of Ferozpur road of Lahore city in drug smuggling. The ANF recovered 3.5 kg heroin from his possession.

A team of the ANF prosecution presented a complete investigative challan against the accused before the court where Anti-Narcotics Court sentenced three years and a one month prison and 36,000 cash penalty to him.

hyderabad ASo confiscates goods worth Rs 19.16 million from Sukkar

KARACHI

HYDERABAD

wAQAR AhMeD ANSARI

ASLAM ANJuM QuReShI

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he Customs Gawadar confiscated 3 million liter Iranian diesel worth Rs17.5 million.

The smuggled Iranian diesel was confiscated in different operation here today April 2017). Reportedly, the Customs Gawadar in collaboration with the Frontier Core (FC) Baluchistan operated in Panjgur, Turbat, Mand and Hub and recovered Iranian 2, 88, 000 liter diesel from different vehicles. The customs officials also impounded offending vehicles, truck bearing registration No: LA-476 & BL-754.

Inspector Ghulam Rasool, Shabbir Ahmad Handani, Gul Khan, Mumtaz Jokhiyo and other customs officials participated in the said operations.

The confiscated Iranian diesel is reportedly worth Rs17.5 million in international market. Assistant Collector Kalim Ullah appreciated the performance of customs officials and advised them to curb smuggling at every level. Non-state actors are trying to sabotage national economy as well as CPEC. Assistant Collector also announced cash prizes and letter of appreciation for the staff working day and night to curb smuggling.

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he Customs Anti-Smuggling Organization (ASO) conXiscated smuggled goods worth Rs 19.16 million from Hyderabad, Sukkur and Larkana.

Following the instruction of Hyderabad Customs Additional Collector Rehmatulllah Vistro, the ASO teams conducted various operations to save the national exchequer.

The customs team conXiscated different items, including three Toyota vehicles, auto spare parts, diesel, different foreign origin cigarettes, gutka, dinner sets, and other miscellaneous items.

The ASO seized 9880 liters of smuggled diesel HSD worth Rs494000, foreign origin auto spare parts worth Rs2 million, contraband items different foreign origin 11694 bars of cigarettes worth Rs6.58 million, foreign origin149250 sachets of Indian gutka value 0.9 million, non-duty paid three Toyota vehicles worth Rs3.3 million, dinner sets worth Rs1.1 million and toiletries value Rs596400.

Besides, the ASO confiscated miscellaneous items including firecrackers, dry batteries, fiber glass knitting jogger shoes, battery chargers, and plastic sprayer worth Rs3.2 million.

Under the supervision of Deputy Collector Shahid Ali Abbasi, Cus-

gawadar customs confiscates Iranian diesel worth Rs17.5m

toms preventive assistant collector Mumtaz Ali, the ASO teams comprising of Superintendent Abu Muhammad Warsi, Inspectors Iqbal Mughal, Asaduddin Mirza, Mushtaq Ali Lakho, Waqar Ahmed Baig, Inspector Nazim Ali, Inspector Sha-

keel Khan, Inspector Karamullah Hujan, Inspector Syed Zaigham Ali Shah, Inspector Ahmed, Sepyos Ali Akbar Solangi, Muhammad Essa, Javeed Maskoor, Ayuob, Hawaldar Muhammad Ahmed , Drivers Nisar Ahmdani, Sadiq Khaskheli and Khan

participated in the said operations.

While talking to Customs Today, customs officials said that Hyderabad Customs showed excellent performance with regard to the anti-smuggling during the above said period.

huge contraband goods impounded first time in kp F

ISLAMABAD

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encing on border is very important job being carried out

by Pak-Army. With the shortage of manpower and weapons, the KPK Customs is unable to control smuggling ideally. The Federal Board of Revenue (FBR) had appointed the Frontier Corps at the International Pak-Afghan border of Torkham and FATA and other bor-

der areas through issued SRO. Border management must be a top priority of the government. Director General Intelligence and Investigation (I&I) Shaukat Ali has issued a directive to all the Xield formations which effect major seizures of contraband and smuggled goods. It is an eye opener that banned and smuggled goods are brought under the excuse of Afghan transit trade to Iran which ultimately reaches Pakistani market. Peshawar police is extraordinarily cooperative with the I

& I Peshawar. KPK Police handed over huge contraband and smuggled goods to Customs during the Financial Year 2016-17.

The sources of I&I told Customs Today that it is worth mentioning that after assumption of charge by Shaukat Ali, DG I&I has issued directives to all the field formations to effect major seizures of smuggled goods. The DG I&I and Director I&I Peshawar Muhammad Saleem has also been in the forefront to effect major seizures quite

recently including a large number of non-Customs paid (NDP) vehicles, mobile phones, electronic goods and other items brought to the country illegally evading duty and taxes. All the seizures of contraband goods have been made from April 8 to April 14.

During the beginning of current week, the sources said that on a tip-off, DG I&I Shaukat Ali informed the staff concerned that an attempt would be made to smuggle foreign origin health and environ-

ment hazardous contraband goods to down country destination. Director I&I Muhammad Saleem constituted a team under the supervision of Deputy Director Khial Muhammad who requested the Peshawar police for extending backing in the operation against three trucks loaded with smuggled items. Three suspicious tenwheeler Hino trucks with registration No: C-2624 lower Dir, Z-9117 Peshawar and Z-6130 Peshawar were intercepted.

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Customs tribunal hears 12 important cases LAHORE: The Customs Appellate Tribunal’s Division Bench-II, comprising Judicial Member Omer Arshad Hakeem and Member Technical Imran Tariq, heard 12 cases and adjourned all the cases until the next hearing. The Customs Appellate Tribunal adjourned the hearing of 12 cases including Khawaja Eziz versus Customs Lahore, Customs Faisalabad versus Sadaqat Ali, Hijvary Traders versus Customs Lahore, Salman Nauman versus Customs Lahore, Reliance Weaving versus Customs Multan and Amina Khan versus Customs Lahore. On Thursday, the tribunal heard cases of Salaman Nauman versus Customs Lahore, Muhammad Rehman versus Customs Multan.

Saturday April 29, 2017

National

peshawar customs seizes smuggled cigarettes worth Rs 36 million

Direct wealth tax should be charged to increase revenue collection

PESHAWAR

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ustoms Directorate of Intelligence and Investigation has seized huge quantity of cigarettes worth Rs36 million. The officials of Customs intelligence wing, with the assistance of Nowshera Police, intercepted a truck loaded with smuggled cigarettes and cigars in cantonment area on GT Road. The truck was going to Rawalpindi from Khyber agency. The cigarettes belong to the brands including Milano, Pine, Napoli, Zen and cigars made in Netherlands and the US. A total 525 cartons have been recovered from the truck. The estimated value of the cigarettes is Rs36 million while that of truck is Rs4.0 million.

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fBR officer posted from faisalabad to Lahore FAISALABAD

NAeeM SheIkh

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he Federal Board of Revenue (FBR) has transferred Superintendent Saeed Akhtar Joiya from Model Customs Collectorate Faisalabad to MCC Appraisement Lahore. Sources told Customs Today that Superintendent Saeed Akhtar joiya was performing his responsibilities at the Collectorate of Customs Anti-Smuggling Organization ASO) Faisalabad and Field Investigation Unit ASO Jhang from one year. He was assigned the charge of the MCC Appraisement Lahore for speedy disposal of the pending seizure cases in the Customs Adjudication Faisalabad. He has dealt with many cases on purely merit basis during his posting at the Customs AntiSmuggling Organization (ASO) Faisalabad and Jhang. He has been relieved from his charge from the ASO Faisalabad after a notification No: 01.CC (Central)28/2013/Pt.1/519 of transfer.

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ISLAMABAD

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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 Committee should thoroughly 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 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 re-

ceived 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. The committee recommended that 0.8% GDP on federal government expenditures for education should be con-

Qaiser Ahmed Shaikh, apprised the members about the vital role of this committee for facilitating the Ministry of finance and Revenue to prepare the upcoming Budget 2017-18

fIA submits three names to Sc for JIt

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ISLAMABAD

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www.customsbulletin.com he Federal Investigation Agency (FIA) has sent three names to the Supreme Court for the Joint Investigation Team (JIT). Additional Director General (BPS 21) Wajid Zia will most likely head the team.

The names of other two additional DGs Captain (R) Ahmed Latif and Dr ShaXiq-ur-Rehman have also been sent but Mr. Latif said he might

not be able to discharge his services due to some personal engagements.

The names of Director Islamabad Mazharul Haq Kakakhail and Director Lahore Usman Anwar have also been sent to the SC. One of them will be working as convener. Meanwhile, informed ofXicials of the Securities and Exchange Commission of Pakistan (SECP) said it might hire the services of a foreign Xirm, if the top court asked so, to assist the JIT in investigating offshore companies or tracking the money trail as the commission does

not have any forensic experts. The SECP hired the services of us-based M/s Diligence to conduct forensic investigation of a stock exchange scam in Karachi in 2005. The SECP has shortlisted the names of Imran Inayat Butt, executive director, policy regulation and development department; Ali Azeem Ikram, executive director, insurance division; Yasir Manzoor, director surveillance; Muzaffar Mirza, director law; Usman Hayat, executive director, Xinance; and Tariq Bakhtawar, director.

sider, as announced by the finance minister in his last budget speech.

The committee considered the proposals of Pakistan Real Estate Investment Forum (PREIF) and recommended that government should allow the real estate sector for declaration of actual property value and taxation on the said value should be minimized. The committee also supported the proposals of real estate sector on some extent.

fBR Member fAte allowance restored he performance allowance of Amer Ahmad, a Pakistan Customs Service officer of BS21, has been restored. The performance allowance (equivalent to 100 per cent of basic pay) in respect of the officer, the than Member (FATE) at Federal Board of Revenue (HQ), Islamabad, has been restored with effect from February 25 to March 20.

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Towels worth $70.354m exported in March ISLAMABAD: Towels exports from the country during month of March, 2017 grew by 15.78 percent as compared the exports of the corresponding month of the last year.

According the data of Pakistan Bureau of Statistics, about 15,325 metric tons of towels worth $70.354 million exported in month of March as compared the exports of 13,551 metric tons valuing $50.76 million of the same month of last year.

However, during first three quarters of current financial year exports of the towel from the country decreased by 3.18 percent as was recorded at 132,723 metric tons.

Saturday April 29, 2017

Business

pak creates socioeconomic eco system ISLAMABAD

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inister for Planning, Development and Reform, Ahsan Iqbal said that Pakistan has achieved an economic growth rate of 5 percent and has able to create a favourable socioeconomic eco system which enjoys political stability.

Minister Iqbal remarked that a favourable ecosystem has resulted in attracting the interest of key global investors which are now eying Pakistan as a potential market for investments.

Minister Iqbal expressed these views during his address to Youth

cDA to auction 78 commercial, plots ISLAMABAD

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apital Development Authority (CDA) would auction 78 commercial and residential plots in developed sectors of the city next month to generate revenue. The civic body will earn around Rs 8 billion from the auction of these plots, CDA board also approved the summary in this regard. Plot auctions are a major source of income for the authority, and have been for decades, as the authority has failed to improve alternate sources of income.

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on Thursday at Fast School Management here at a seminar on “CEPEC Myths And Realities.”

Ahsan Iqbal said that CPEC presents Pakistan with a historical opportunity to uplift the country’s

status as the hub of economic activity in the region.

Minister Iqbal urged the the youngsters to prepare themselves in order to beneXit from the opportunities offered by CPEC and play a

constructive role in transforming the economy to a modern industrial economy by adding value at different levels. Minister apprised the audience that China is promoting regional and global connectivity across the Asia PaciXic region as part of its One Belt One Road initiative. Similarly, Pakistan’s Vision 2025 focuses on helping Pakistan to leverage its geo-strategic location in order to explore the inherent economic options. Mr Iqbal noted that CPEC is a fusion of Pakistan’s vision 2025 and China’s Vision of One Built One Road initiative. He said that CPEC has changed the global narrative about Pakistan.

“The country which was ranked as the most dangerous country of the world is now recognised as the next emerging economy”.

uS committed to improve trade relations with pakistan: Stephen U

RAWALPINDI

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nited States is committed to improve trade relations with Pakistan as both countries have the potential to establish business partnerships, Commercial OfXicer of the United States (US) Embassy Stephen P Knode Tuesday said. Visiting Rawalpindi Chamber of Commerce and Industry (RCCI), he said, “We want to improve our bilateral trade relationship and look forward for partners with a prime

objective of economic engagement.”He appreciated RCCI’s role in promoting business activities and trade relations by holding exhibitions in and outside the country. He invited the business community to attend Select USA Investment Summit to be held from June 18 to 20.

There are great opportunities for small and medium size companies as representatives from more than 45 states will be participating in the summit, he added. Referring to China Pakistan Economic Corridor (CPEC), Stephen said this will help Pakistan to improve its

infrastructure and regional connectivity. Earlier, in his welcome address, President RCCI Raja Amer Iqbal said bilateral trade between Pakistan and the USA is far less than real potential of both the countries.

He said both countries should focus on frequent exchange of trade delegations to improve two-way trade. Businesses to business (B2B) meetings are important to understand each other requirements.

RCCI president said $51 billion CPEC project is part of $1465 billion One Belt One Road (OBOR).

Lhc orders to remove blasphemous content LAHORE

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he Lahore High Court (LHC) has strictly ordered information ministry to remove blasphemous content from social media within four months. Justice Athar Mahmood heard the case during which the petitioner told the court that profane material has not been deleted from the social media despite court’s directives. He said that it comes under contempt of court to not follow its orders and requested to remove such sacrilegious content immediately. Subsequently, the court directed the concerned authorities including home and information ministries to submit report and erase the stuff in four months. Earlier, Interior Secretary Arif Khan had informed Islamabad High Court (IHC) that Facebook management has removed 85 percent blasphemous content on the request of Pakistan. He told the court that at least three suspects were arrested in connection with the case whereas blasphemous content from their laptops and mobile devices was also recovered. Federal Investigation Agency (FIA) Director Dr Mazhar Kakakhel submitted progress report in the court and informed that those bloggers who have escaped from the country would be brought back through red warrant.

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ppL profit soars 88% as sales grow significantly KARACHI

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akistan Petroleum Limited’s (PPL) consolidated proXit soared 88% to Rs7.10 billion in the quarter ended March 31 on the back of a signiXicant growth in sales, according to a bourse Xiling.

The oil and gas exploration and production company had recorded a proXit of Rs3.78 billion in the same

quarter of previous year.

Earnings per share (EPS) surged to Rs3.61 in the Jan-Mar quarter from Rs1.92 in the corresponding quarter of last year. PPL’s share price fell 1.81%, or Rs3.04, to Rs164.78 with trading volume of 407,800 shares at the Pakistan Stock Exchange.

“Revenues increased considerably owing to the higher [benchmark] Arab Light Crude price, up 77% year-on-year to $52.5 per bar-

rel, and rise in hydrocarbon production levels,” Topline Securities analyst Nabeel Khursheed said.

Oil production improved 17% to average 17,300 barrels per day, thanks to addition from the Nashpa Xield (37% of total oil production), up 34%, Adhi Xield (18% of total oil production), up 16% and additions from Mardankhel and Shadadpur Xields (cumulatively 6.5% of total oil production), he said. Gas production increased 14% to 881 million cubic feet

per day (mmcfd) in the quarter with Xlows from Kandhkot Xield (23% of total gas production) up 1.9 times to average 202mmcfd and from Shadadpur Xield (4% of total gas production).

“Although pre-tax proXit was up 79%, lower effective tax rate (down 323 basis points to 29%) led to 87% increase in after-tax earnings,” he said.

“We Xlag long-term volatility in international oil prices, delay in key projects, signiXicant exploration and development costs, unexpected Xield

shutdown and delay in realisation of Sui Xield pricing as key risks for PPL,” he said. In nine months ended March 31, the consolidated proXit increased 14% to Rs18.12 billion (EPS Rs9.19) from Rs15.85 billion (EPS Rs8.04) in the corresponding period of previous year. Gas discovered PPL also announced the discovery of new gas reserves in Sindh. It tested gas Xlow at 29.2 million standard cubic feet per day at ZaXir X-1 well in Gambat South Block in Matiari district of Sindh.

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ederal Board of Revenue (FBR) is making concerted efforts to meet the revenue collection targets and the FBR officers and field formations are exerting themselves with full energy and vigour in the ongoing last quarter which is always the most crucial and productive in terms of meeting the revenue collection target and mobilizing resources to drive socio-economic agenda of the government.

This was stated by FBR Chairman Dr Muhammad Irshad while addressing the participants of the 106th National Management Course (NMC) of the National School of Public Policy during their visit to FBR House on Thursday.

He explained that as compared to last year when FBR achieved unprecedented revenue growth, this year the government had decided to follow a growth-oriented approach by giving major subsidies in the oil, export

Saturday, April 29, 2017

and agri sectors which had a drastic effect on the revenue collection efforts.

“These concessions and subsidies are the conscious decision of the government and without them, we would have been comfortably able to register 17 per cent revenue growth,” he said in response to a question by a participant of the course.

Earlier, Member Inland Revenue Policy Dr Muhammad Iqbal gave a detailed presentation to the visiting ofXicers on

“Strategic View, Ongoing Issues and Future Prospects of FBR” in which he explained the functions and organisational structure of FBR with a focus on Inland Revenue Service and dilated on the major problems of taxation system and the concordant issues, challenges and the way forward.

In a separate presentation on “Functioning of Customs and Future Strategic Vision”, Member Customs FBR Muhammad Zahid Khokhar spoke on the historical evolution of Customs Law, types of laws implemented by Customs, functions of Customs, Pakistan Customs revenue contribution, anti-smuggling performance, major challenges and FBR’s response to them.

Later, an interactive question and answer session followed during which visiting ofXicers asked FBR management keen questions on dynamics of Xiscal policy and taxation. Commemorative shields were exst a l o t red a p changed on the occasion. m t as co ented

tha reced lained d unp e v e i h he exp he ac year t n fBR s i e h h t , w th wa year e grow o follo t u n d e e v d re d deci iving ent ha ch by g m a n o r r e p agri ap gov rt and ented o i p r x o e , h l n the growt the oi ffect o ies in e d i c s i t b s u s d a dra major fforts ich ha h w s tion e r c e l l o secto ue c reven

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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

for safety of online transactions

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he government always fails to act in time due to one reason or the other or may be it lacks mechanism to get real time information. The tax to GDP ratio in Pakistan is the lowest in the region and failure of the government to adopt block chain technology in time can be considered a routine matter. In a country of 200 million, less than one million taxpayers show how the government will have to be proactive to increase tax net. Thousands of manual and online financial transactions take place every day, but the ratio of tax remains the same. Another area of concern is to protect the online transactions from criminals. With increasing trend in business and industry to adopt information technology, the chances of cyber crime have also increased.

According to experts, block chain method is used in various countries to keep the record of transactions across many computers in a decentralized digital ledger and in a way that the registered transactions could not be altered retroactively. As Pakistan’s economy is growing, there is a need to adopt modern techniques to enhance tax net and protect transactions from cyber criminals. So far, the concentration was on the higher rates of tax collection which has marred the shape of tax system. It is good omen that the State Bank has started working on a project to adopt block chain technology in central and commercial banks not only to protect the electronic financial transactions from cyber crimes but also record all the data of financial transactions. According to experts, the data is embedded in digital code with the help of block chain technology and it is protected from deletion, tampering, and revision. Using the technology, the record of transactions between parties is efficiently protected and saved.

The technology is being used in banks and trade in various countries. The electronically transfer of money needs to be protected not only from the criminals, but also for secrecy of business deals. Pakistan is the rising hub of information technology and it is not difficult for the government to involve private sector organizations in the system.

Reports suggest three organizations are already involved in payment system operations, but banks are still reluctant to adopt new technology.

eects of panamagate case on economy T

LAHORE

DR AftAB AfZAL

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he business community has heaved a sigh of relief as the Supreme Court has announced its much awaited verdict in Panamagate case. The stock market went up and some business leaders even claimed that the decision was in the interest of the economy as uncertainty was causing adverse effects on business activities in the country.The chiefs of various business organizations, including the Federation of Pakistan Chambers of Commerce and Industry,have asked politicians to keep their focus on the establishment of political as well eco-

nomic stability in the country.The economy of Pakistan is passing through a transitory period and politics of protests and agitation will put the country years away from development.

The Supreme Court has ordered setting up of a joint investigation team to probe the matter and it will be fine for the opposition parties to let the officials do their jobs. Political stability is vital for economic stability of the country. The exports are falling, imports have increased and balance of payment problem is already haunting the economy. In this situation, any new protest programme will adversely affect the economic gains the country has achieved after years of struggle.

It seems another round of showdown between the government and opposition parties is round the corner as the Supreme Court has allowed 60 days to finish the investigation.

However, it will be plausible for the parties to show restraint for the cause of the economy.The judiciary is independent and economic indicators are positive.

The China Pakistan Economic Corridor will go a long way for the economic development of the country. Any political uncertainty will slow down the process of industrialization in the country. The decision guarantees certainty in the business environment and all the parties concerned should try their best to keep peaceful environment in

the country. It is the irony of fate whenever the country takes a stride in the right direction, something happens and all the gains are lost in one go.

It is hoped that all the parties concerned will keep the national interest intact while deciding any agitation programme. The government should also concentrate on the electricity generation as the country is facing the worst kind of energy crisis. As the exports are already nosediving, the shortage of electricity will add insult to injury. It is a test case for the government as well as the opposition to maintain norms of decency in politics and national interests should be given priority on personal interests.

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ADCB launches travel credit card DUBAI: Leading regional bank Abu Dhabi Commercial Bank (ADCB) has unveiled its Traveller Credit Card with a host of rewards and benefits that deliver generous savings for the UAE’s globetrotters, the adventurers and the day-trippers. The one of its kind Traveller Credit Cardin partnership with MasterCard, Hotels.com and Cleartrip, has been designed for the needs of the region’s traveller. Users can look forward to a year-round 20 per cent discount on flight tickets on Cleartrip.ae on any airline and any class, and in addition 20 per cent off on hotel bookings on Hotels.com for any destinations globally.

Customers will also benefit from a 0 per cent bank processing charge on all their purchases overseas, including a complimentary two-night stay upon signing up and up to a six-night stay on each annual renewal of the card.

LccI declares 2017 year of industry-academia linkage LAHORE

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he Lahore Chamber of Commerce & Industry (LCCI) has declared 2017 the year of industry-academia linkage. The decision was made by LCCI President Abdul Basit, Senior Vice President Amjad Ali Jawa and Vice President Muhammad Nasir Hameed Khan in a meeting. A special standing committee on industry-academia linkage was also established, which would be headed by Omar Saleem. The LCCI office-bearers said that the purpose of the initiative was to enhance interaction between the industrial sector and educational institution. It would help produce skilled

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human resources as per requirement of the industry. They said that the LCCI was focusing on development of research activities and capacity-building. The LCCI would collaborate with academia and undertake projects to help the industry handle the challenges faced by it in the 21st century. They said that workshops, conferences, symposia and seminars would also be organised. They said that the economic challenges being faced by the country needed tailor-made and workable solutions and that was possible only through strong academia and industry linkage. They said that there was no dearth of resources in Pakistan, but it was far behind in the economic race because we have failed to properly tap these resources. They said that in the developed economies, there was a strong linkage between the academia and industry and Pakistan today also needs to adopt that pattern to overcome its multiple issues.

Saturday April 29, 2017

Chambers

LABARD holds fund-raising dinner to facilitate disable persons T

ISLAMABAD

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he Lahore Businessmen Association for Rehabilitation of Disabled (LABARD) held its annual fund-raising dinner at local hotel. The funds generated from the event will be used to provide and facilitate free counselling services, medical treatment, education, and vocational training and employment opportunities to persons with disabilities.

The LABARD Fund Raising Dinner was a rare show of solidarity by the all segments of the society with the physically challenged persons who have the desire to play their role as active members of the society. A gathering of over 1000 personalities of the City was enough to make the point that they all are ready to pool their resources to erase the stigma of disability from the face of Lahore. Lahore Businessmen Association for the Rehabilitation of Disabled (LABARD), which started its journey in the year 1996 with a resolve to extend help to the physically challenged persons, has given as-

sistance to thousands of poor and needy disabled persons.

LABARD President & MNA Pervez Malik, the LCCI President Abdul Basit, Senior Vice President Amjad Ali Jawa, MNA Shaista Pervez Malik, Lord Mayor Lahore Col ® Mubasher Javed, former DCO Captain ® Muhammad Usman, Mian Nusrat ud Din, Saeed Khan, Ahmer Malik and various others attended the dinner.

Speaking on the occasion, Pervez Malik, MNA & President, LABARD said, “LABARD is a project that is

very close to my heart. I have always felt that there have been very few facilities for the physically and mentally challenged. These talented people can be treated and provided guidance for earning a respectable livelihood and place in the society; however, we need continuous support from individuals and organisations to keep our mission alive”.

Saeed Khan said that the Lahore Businessmen Association for Rehabilitation of Disabled (LABARD) has so far arranged jobs for hundreds of

Dubai chamber invites emirati jobseekers to join its workforce

T DUBAI

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hrough its participation in Careers UAE 2017, the Dubai Chamber of Commerce and Industry is inviting young Emirati graduates to join its staff and play an active role in serving Dubai’s thriving business community. The annual career fair kicked off today at the Dubai World Trade Centre, and is expected to be attended by 17,000 Emirati jobseekers. The Chamber’s pavilion at the exhibition attracted a large number of recent graduates who were able to learn more about current vacancies within the organisation’s research, legal, corporate responsi-

bility, and international relations departments, in addition to the Dubai International Arbitration Centre. Visitors were also provided with an overview of the Chamber’s mission vision, and values, as well as some of the main benefits associated with working for the non-profit public organisation.

Essa Al Zaabi, Senior VicePresident, Institutional Support Sector, Dubai Chamber, said: “Dubai Chamber is committed to empowering and developing national talent through its strategic Emiratisation programmes and initiatives as they contribute to our organisational growth and the development of the business community in Dubai.” He added that Dubai Chamber achieved an

Emiratisation rate of 55% at the end of 2016, and revealed plans to increase this figure to 60% by the end of this year. Al Zaabi added that the Chamber provides a rewarding experience and exciting environment for staff where they can develop their skill sets and grow professionally.

Dubai Chamber launched the “Fursa: Together We Shape Your Future” programme four years ago, which is designed to train and recruit Emirati graduates, and provide them with an opportunity to establish a career and serve their country. Since its launch, 42 graduates have been trained and 25 were hired on a permanent basis, while the door has remained open to new participants.

disabled persons and it is soon coming up with a state-of-the-art training center in Lahore where the disabled persons would not only be imparted with training in various faculties but arrangements would also be made for their placement in different organizations. He said that a number of services being rendered by the LABARD included: medical assistance, counseling of mentally disabled persons, speech therapy, Qarz-e-Hasana and crutches, tricycles are being provided absolutely free of cost.

pIAf urges govt to cut sales tax ratio he Pakistan Industrial and Traders Association Front (PIAF) has reiterated its demand to cut down the sales tax rate to single digit to take burden off the consumers, besides reducing cost of production for the industry. PIAF chairman Irfan Iqbal Sheik said that there should be low rate of sales tax while tax net should be broadening to achieve growth rate target. In a joint statement along with PIAF senior vice chairman Tanveer Sufi and vice chairman Shahzeb Akram, he noted that the prevailing rates of sales tax at 17 present in Pakistan is too high as compared to other countries in the region. He was of the view that the high rate is the root cause of tax evasion, corruption, thin tax base and smuggling. –CB Report

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DTR-IR Addl Director Azizuddin to retire on Aug 4 ISLAMABAD: Azizuddin Ahmad, a BS-19 officer of Inland Revenue Service, is going to retire from the government service on attaining the age of superannuation.

The officer, presently posted as Additional Director-IR, Directorate of Training & Research (Inland Revenue), Karachi, will stand retired from the government service with effect from August 4. Meanwhile, Mehmood Ahmed, a Pakistan Customs Service officer of BS-16, is going to retire from the government service on attaining the age of superannuation.

Saturday April 29, 2017

Islamabad Minor penalty of Inspector Muhammad Yaqoob set aside ISLAMABAD

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Naheed Azhar posted as commissioner (Ip/tfD) at Rto-II F

ISLAMABAD

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he minor penalty of Muhammad Yaqoob Ch, a Pakistan Customs Service officer of BS-16, has been set aside. Muhammad Yaqoob, posted as Inspector at Model Customs Collectorate (Appraisement), Lahore, had filed a departmental appeal against the minor penalty of “withholding of two increments with cumulative effect” imposed on him vide Board’s Notification No. 0310-C-III/2017 dated 31.01.2017.

After going through the case record, the Member (Admn), in his capacity as Appellate Authority, accepted his appeal and set aside the minor penalty imposed on him by the authorized officer.

The accused official is, however, warned to be careful in future. Meanwhile, The minor penalty of Munir Ahmed Chandio, a Pakistan Customs Service officer of BS-16, has been set aside. Munir Ahmed, posted as Intelligence Officer at Directorate of Intelligence & Investigation, Karachi.

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commissioner-IR Mirza khan to retire on Sept 3 irza Khan, a BS-20 officer of Inland Revenue Service, is going to retire from the government service on attaining the age of superannuation. The officer, presently posted as CommissionerIR (Zone-II), Regional Tax Office, Abbottabad, will stand retired from the government service with effect from September 3. Meanwhile, Salim Raza Asif, 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 Chief Commissioner-IR, Regional Tax Office, Multan, will stand retired from the government service with effect from July 19. –CB Report

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ederal Board of Revenue has transferred/posted three Inland Revenue Service ofXicers of BS 19-20 with immediate effect and until further orders.

Naheed Azhar (BS-20) has been transferred from the post of Director General, (OPS) Directorate General of IOCO-IR, Karachi and posted as Commissioner (IP/TFD) at Regional Tax OfXice II, Karachi. She has also been assigned the additional charge of the post of Director General (OPS), Directorate General of IOCO-IR, Karachi till the posting of a regular incumbent.

Mohammed Nasser Janjua (BS19) has been transferred from the post of Director, (OPS) Directorate Geneal of IOCO-IR, Karachi and

posted at Commissioner (OPS) (IP/TFD) Corporate Regional Tax OfXice, Karachi. He has been assigned the additional charge of the post of Director (OPS), Directorate General of IOCO-IR, Karachi.

Azhar Erum Memon (BS-19) has been transferred from the post of Additional Director, Directorate General of IOCO-IR, Karachi and posted as Additional Commissioner Inland Revenue Large Tax-

payers Unit-II, Karachi. He has also been given the additional charge of the post of Additional Director, Directorate General of IOCO-IR, Karachi till the posting of a regular incumbent.

ASo seizes huge quantity of NDp goods M

ISLAMABAD

tARIQ DeRYA

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odel Customs Collectorate has seized 112 non-duty paid vehicles and various kind of smuggled goods worth Rs 121.899 million during the month of March of the Xinancial year 2016-17. Collector Dr Saeed Khan Jadoon told Customs Today that during the period the Anti Smuggling Organization (ASO) Quetta seized 112 non-duty paid vehicles worth Rs 48.422 million whereas the ASO seized foreign origin cloth worth Rs 6.691 million.

The collector stated that during the said period the ASO seized 2,750 kilogram smuggled food grains worth Rs 0.385 million whereas the ASO seized 549 kilogram black and green tea worth Rs 4.644 million as well as 5,766 tires and tubes worth Rs 14.066 million. He said that during month of March 2016-17, the ASO Quetta seized a huge quantity of auto spare parts worth of Rs 6.184 million whereas the ASO seized four

bottles of whisky worth of Rs 0.024 million. The also ASO seized 27,9061 liters non-duty paid diesel worthRs 13.714 million.

The collector Quetta told that during the month of March the ASO seized 1460 liters of mobil oil under value of Rs0.302 million whereas

the ASO seized 400 dandas of fake cigarettes under value of Rs4.452 million, he further told that the ASO seized 317 number of carpets worth of Rs.0.456 million as for as the ASO seized 41 number of pirated CDs in worth of Rs0.082 million. The ASO seized 891 bags of

urea fertilizer in worth of Rs1.445 million whereas it seized 1008 blankets in worth of Rs1.777 million as for as the ASO seized huge quantity of medicines in worth of Rs2.298 million and the ASO also seized 18 smuggled dinner sets in worth of Rs0.037 million.

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KTBA asks FBR to release refunds KARACHI: The Karachi Tax Bar Association (KTBA) has asked the Federal Board of Revenue (FBR) to release refunds as fast as recovery made by tax offices from taxpayers.

In a letter to the FBR chairman, the KTBA said that the commissioner is empowered to recover tax due from a taxpayer under various modes including attachment and sale of property, seizure of bank accounts, imposition of penalties, additional taxes, rights to arrest of the taxpayer and taxpayer detention in prison etc. “On the contrary, the mechanism of obtaining refunds of excess tax paid is not adequately taken care of,” the KTBA said. The taxpayer is required to deposit tax demand within 30 days of the service of the assessment order.

Dg Valuation revises customs value of sodium alginate KARACHI

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he Directorate General of Customs Valuation has revised the customs values of sodium alginate PCT 3913.1000 through Valuation Ruling No 1130/2017 under Section 25A of the Customs Act, 1969.

According to details, the customs value of sodium alginate was earlier determined vide VDB No.229/2017 dated, 02.03.2017. Representations were received from commercial importers, for determination of customs value of sodium alginate afresh. A meeting of all the stakeholders, including importers, Pakistan Chemical and Dyes Merchant Association (PCDMA), and representatives from clearance collectorates, was held on April 7, 2017 to discuss the cur-

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rent international prices of the subject items. The commercial importers stated that the prices of subject item depend upon the CPS (Centi Poise/Second) values, therefore, they requested to determine the prices as per CPS value which was duly supported by the (PCDMA).

The view point of all participants was heard in detail and considered to arrive at Customs value of sodium alginate different CPS value. Valuation methods provided in Section 25 of the Customs Act, 1969 were duly applied in their regular sequential order to address the particular valuation issue at hand. The transaction value method as provided in Sub-Section (1) of Section 25, found inapplicable in light of the wide variety of invoices submitted at import stage the veracity of which could not be ascertained fully, hence requisite information required under law was not available to arrive at the correct transaction value.

Karachi

Baker hughes eho approaches Shc against attachment of its bank account B

KARACHI

M B RANA

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aker Hughes EHO Limited approached the Sindh High Court (SHC), against show cause notice for attachment of its bank account for recovery of disputed amount issued by Additional Commissioner Inland Revenue Audit Range-B, Zone-IV Large Taxpayers Unit-II. During the hearing counsel for the petitioner stated that it is registered with Securities and Exchange Commission of Pakistan as a branch of Baker Hughes EHO Ltd (Holdings) incorporated in Bermuda, the principal business activity of the petitioner, is sale, service and rental of oil Xield equipment within Pakistan.

According to the petitioner, Additional Commissioner Inland Revenue Audit Range-B, Zone-IV, Large Taxpayers Unit-II has issued a show cause notice dated 11/06/2016 alleged that the petitioner’s assessment for tax year 2012 is erroneous insofar as it was prejudicial to the interests of revenue, therefore, petitioner was directed to explain its position. He further argued that dated 10/03/2017, respondents

raised a demand of Rs99,277,218 in respect of tax year 2012 against the petitioner, being aggrieved it approached the commissioner Inland Revenue Appeals and moved an appeal along with stay application, which is pending before disposal, however, in the absence of any stay order, petitioner is completely in the dark as to its appeal and stay application shall be heard and or decided. Counsel said that now respondents issued notice for attachment of petitioner’s bank account

Saturday April 29, 2017

for said recovery.

Citing Secretary Revenue Division, Commissioner Inland Revenue Appeals-I, Commissioner Inland Revenue Zone-IV, Large Taxpayers Unit-II, Additional Commissioner Inland Revenue Audit Range-B, ZoneIV, Large Taxpayers Unit-II as respondents petitioner pleaded the court may direct CIR Appeals to decide its appeal within reasonable period and Xinal decision of its appeal, respondents restrain from taking any coercive measures.

Sindh excise collects Rs41.6b in nine months KARACHI

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indh Excise and Taxation Department collected Rs41,646.893 million (Rs41.65 billion) in nine months (July 2016 to March 2017) under various heads as compared to Rs34,731 millions collected during same period of last fiscal year. This was revealed by Sindh Minister for Excise and Taxation and Narcotics Control Mukesh Kumar Chawla while presiding over a meeting in his office. ET&NC Secretary Abdul Haleem Shaikh and Director General Shoaib Ahmed Siddiqui also attended the meeting. While briefing the meeting, Siddiqui said that Rs4,445 million were recovered in term of motor vehicle tax, Rs29,587 million in term of infrastructure cess, Rs147 million in cotton fee, Rs307 million in professional tax and Rs1,592 million in term of property tax were collected. The minister, while expressing his satisfaction over the collection of the taxes and performance of the officers, directed the officers to achieve the targets before the financial year ended.

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Internal Audit finds Rs3.8b worth ‘irregularities’

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KARACHI

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he directorate of Internal Audit-Customs has found several discrepancies in the affairs of Model Customs Collectorate Port Qasim during the period 2015-16, which resulted in revenue loss of Rs3.806 billion during the period.

The revenue leakage occurred due to non-realization of income tax and mandatory surcharge, non realization of duty and taxes on time barred customs securities, non-auction of seized goods, excess payment of commission to the auctioneers, short assessment of duty and taxes

on imported goods, wrong classiXication of imported goods and sanction of refunds beyond jurisdiction etc. Internal Audit has highlighted that MCC Port Qasim did not realized the leviable income tax of Rs1.53 billion from M/s Engro Elengy Terminal Pvt Ltd on the import of Xloating storage and re-gasiXication unit (FSRU).

Moreover, Collectorate did not collect surcharge on late payment of duty and sales tax. MCC Port Qasim is required to effect recovery total of Rs1.839 billion. Scrutiny of records revealed that goods declarations of M/s Pakistan Railway were cleared without conXirming the deposit of leviable duty and taxes. Collectorate is required to provide proof of pay-

ment of Rs501.342 million. Scrutiny of bank guarantee record and PRAL data for 2015-16 revealed that Customs securities obtained from various importers were found expired their mandatory period. MCC Port Qasim even after expiry of reasonable time has failed to initiated recovery action/encashment of the same and an amount of Rs467.316 million is stuck up. Corporate guarantees deposited by M/s Halliburton Worldwide Ltd, M/s Sea Land Drilling Contractors, M/s Weatherford Petroleum Services, M/s BGP Pakistan International, M/s Sprinte Oil & Gas Services, M/s Weatherford Oil Tool Limited, M/s Exalo, M/s ENI Pakistan Limited, M/s GeoXify

Krakow S.A Pakistan, M/s Eastern Drilling Services, M/s Supreme Oil Services under SRO 678(I)/2004 were found expired. However, no concrete efforts were made by MCC Port Qasim to recover government’s legitimate revenue. Internal Audit highlights that MCC Port Qasim cleared several goods declarations (GDs) in respect of petroleum companies and their contractors without obtaining the requisite corporate guarantees to secure the element of sales tax to the tune of Rs61.324 million. It is highlighted that an amount of Rs71.181 million is recoverable from M/s MOL Pakistan pertaining to the import of Oil well drilling equipment.

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Dutch industry is increasingly dependent upon exports Saturday April 29, 2017

World

AMSTERDAM: Dutch industry is largely reliant on exports with 70% of sales in 2015 going abroad, according to a report by the national statistics office CBS published on Wednesday.

This is the highest percentage in 20 years. The industrial sector is far more dependent upon exports than the economy is as a whole, with only 32% of the economy export-dependent. The food and drinks sector is becoming more export-oriented, the CBS noted.

The industrial sector provides some 700,000 full-time jobs, of which 426,000 are export-related, the CBS said. The main export markets in 2015 were Germany, Belgium, Britain, France, the US and Italy, in line with the top five 10 years previously.

chinese customs rejects SA table grape shipment

philippines Boc denies bid to lift suspension MANILA

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BEIJING

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ustoms ofXicials in China’s southern district of Doumen have turned away 16.56 metric tons (MT) of South African table grapes, claiming the shipment’s cold handling didn’t meet requirements and phytosanitary certiXicates were inconsistent.

The table grapes were in inspected while in transit from Hong Kong, with 3,599 cases that had an estimated market value of US$40,000. China inspection and Quarantine (CIQ) reported this was the Xirst time inspectors in Doumen – which is part of Zhuhai in Guangdong – had rejected South African grapes due to a failure to meet cold handling standards.

The event comes just Xive months after the Chinese Government agreed to relax its cold treatment

Iran’s 4-year oil revenues hit $157 billion ran’s oil revenues from March 2013 to March 2017, which covers Hassan Rouhani’s presidency, have reached $157 billion, said Mohammad Bagher Nobakht, head of Management and Planning Organization of Ira. He said the volume was $251 billion from March 2009 to March 2013, which covers the second term of Mahmoud Ahmadinejad’s presidency, Fars news agency reported on April 24. He added that the oil price plunged from $104 to $44 during last four years. Before imposition of sanctions on Iran in 2012, the country was exporting 2.5 million barrels per day (mb/d) of oil and gas condensate, but the figure halved due to the sanctions.

The sanctions on Iran were removed in January 2016, which led to an increase in oil and gas exports to 2.65 mb/d, but the oil price last year was over two times less than in 2012. –CB Report

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protocols for South African grapes, in what was described as ‘one of the biggest breakthroughs since deregulation in agriculture’. The new protocol set cold treatment procedures at +0.8°C for a minimum of 20 days, as opposed to the previous protocol

which required the grapes to undergo temperatures of -0.6°C for 22 days. In the CIQ announcement, the authorities said South African grapes could only be kept at a maximum of 2.22 in order to prevent diseases and pests.

china-Netherlands economic cooperation forum held in the hague

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total of 41 intentions of cooperation were reached among more than 100 Chinese and Dutch enterprises during the the Xirst edition of “China-Netherlands Economic Cooperation Forum” held Friday. The event was also hailed as a major event to celebrate the 45th anniversary of the establishment of diplomatic relations between the two countries.

Chinese Ambassador to the Netherlands Wu Ken, in his welcome

speech at the event, said it is openness that has made the Netherlands the gateway of Europe and the Xifth largest exporter in the world, and that connects the Netherlands with China so closely as trade and investment partners.

“As for China, we couldn’t have made the economic achievements without integrating into the global market. In the future, we will keep our commitments to further opening up,” Wu said. –CB Report

he Bureau of Customs (BOC) has denied the motion filed by Bulacan-based Mighty Corp. for the BOC to lift its suspension order against the cigarette firm as a preventive measure against smuggling. Customs Commissioner Nicanor Faeldon signed the order denying the motion to lift the suspension of Mighty Corp.’s importer’s accreditation after the company failed to present supporting documents.

Mighty Corp. Xiled the motion last April 3, asking the BOC to temporarily lift its order, limited to the company’s shipments which had arrived prior to the said suspension, as well as those that were in transit. “(Mighty) argued that the shipments would deteriorate and would substantially hamper its operations.

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The cigarette manufacturer then undertook steps to pay duties and taxes due on the shipments and to post a bond to cover any damage on the part of the BOC,” the Customs said in a statement. Government prosecutor Danilo Campos, however, opposed the motion as the company failed to present supporting documents, particularly the Bills of Lading (BL). Due to Mighty’s failure to present the BL, the BOC said it would not be able to identify the shipments the company wants to be processed, as well as the ports where said shipments are being stored. Faeldon reiterated that the preventive suspension against the company was part of the bureau’s measures to prevent smuggling and other instances of customs fraud. “We will not slow down in our anti-smuggling operations. The bureau will continue to go after people and companies involved in smuggling,” he said.

After a series of operations against the company, Customs operatives and the Bureau of Internal Revenue (BIR) seized master cases.

Demand for thai rice in peru grows

he Ministry of Commerce is set to launch a marketing scheme aimed at boosting Thai rice exports to Peru following an escalating demand. According to Commerce Minister Apiradee Tantaraporn, Peru consumes 1.8 million tons of rice each year, the largest amount in Latin America. 65% of imported rice is from Uruguay, 22% from Brazil, 9% from Thailand, and the rest from elsewhere.

In the past Xive years, demand for Thai rice in Peru has grown continuously with the export value standing at 15.3 million US dollars in 2016, a signiXicant 72% increase

from the year before.

To boost demand for Thai rice, the Ministry of Commerce has instructed the Department of International Trade Promotion (DITP) to develop a marketing plan and continue its effort to promote Thai rice among Peruvian importers.

Meanwhile, Thailand’s inXlation in March rose 0.76 per cent year on year, following a hike in fuel prices, resulting in combined inXlation in the Xirst quarter of the year of 1.25 per cent, according to the Commerce Ministry’s report. However, month on month inXlation decreased 0.46 per cent from Februar. –CB Report

Russian agriculture sector flourishes amid sanctions

W MOSCOW

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hen the EU and US imposed sanctions on parts of Russia’s economy following military intervention in Ukraine 2014, some local ofXicials portrayed the blockade as an opportunity. Together with a falling rouble, they

said, it would boost development of domestic business by encouraging import substitution and making exports more competitive. Many western analysts and investors were cynical. But in at least one area of the economy agriculture and associated sectors the optimism has been vindicated. Russia last year became the world’s biggest exporter of grains, at more than 34m

tonnes. Total Russian grain production hit a record 119m tonnes. The turnround is striking since as recently as 15 years ago and for a couple of decades before during the Soviet era Russia was a net importer.

The success goes beyond grain. Russia has fully substituted imports with domestic production of pork and chicken. It has become a top producer of sugar beet; greenhouse

vegetable production last year was up 30 per cent on the year before.

While agriculture remains far below oil and gas, the sector has overtaken arms sales to become Russia’s second-biggest exporter. In reality, western sanctions had little to do with this. The weaker rouble that helped boost exports and make imports more expensive was a function, above all, of falling oil prices.

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Turkey’s referendum result could scare off investors ANKARA: President Erdogan has built much of his political success on the back of a strong Turkish economy. But GDP and tourism are down and some investors fear Sunday’s referendum win could mean a less positive economic outlook.

Turkey’s economic development played an important role in the debate over controversial plans to change the constitution. Sunday’s referendum win will usher in the introduction of a presidential system. But what will that mean for the economy? President Recep Tayyip Erdogan owes his success largely to the strong growth of the Turkish economy in the past decade, but recent economic news has been less positive.

Saudi customs seizes over 4 million narcotic pills at Duba port audi authorities have seized over four million narcotic pills that were hidden in a number of shipments coming through the northernwestern port of Duba, a customs official said on Saturday.

Duba Port Customs director Ali AlOtuwi said over one million Captagon tablets were found in an onion consignment in a truck on a ferry.

The pills were concealed in the middle of onion bags, Al-Otowi told the Saudi Press Agency (SPA). Around 1.3 million Captagon tablets were found inside the wooden boards shipped in another truck. The smugglers packaged the pills with carbon paper and filled the spaces between them with powder to bypass X-ray machines. Another million Captagon tablets were seized from four marble-cutting machines shipment that was in a truck. About 600,000 Captagon and nearly 18,000 tramadol tablets were seized from the back doors of the same truck. –CB Report

World Customs

thai police arrest suspect involved in drug smuggling

urkish citrus fruit exports grew by 14 percent between September 2016 and March 2017, as reported by the head of the Turkish National Citrus Council, Kemal Kaçmaz, who told the news agency Anatolia that the country’s citrus shipments are an important part of the country’s fruit and vegetable exports.

Kaçmaz pointed out that citrus exporters had found alternative markets against the background of the crisis with Russia in late 2015, but that their exports have increased significantly with the abolition of the Russian government ban on the import of citrus fruits, following the improvement of relations between the two countries. Kaçmaz said that shipments recorded a 14 percent growth between September and March compared to the same period last year. –CB Report

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DRI seizes smuggled gold worth Rs48.8m, nabs 2 he illegal gold market in pockets of Burrabazar are back to business with the yellow metal being smuggled through Bangladesh feeding the spurt in demand. The Department of Revenue Intelligence (DRI) on Saturday night arrested two persons carrying 16.3 kg gold valued at Rs 47 million after they came out of the MG Road Metro station. In the last four days, more than 20 kg gold has been seized by central agencies from areas near Burrabazar. According to DRI sources, the duo linked to a Bangladeshi gold smuggling racket collected the metal from the Ranaghat area. They carried it to Kolkata and then allegedly boarded Metro at Dum Dum. They got down at MG Road and were heading towards a hotel at Burrabazar when DRI officials arrested them outside the station.

Metro Railway authority, though, denied having any knowledge of the duo travelling on a train. While they had some clothes in bags, DRI officials found metallic substances tied around their waists. The duo had concealed gold biscuits in gamochas and tied it as belts around their waists.

During interrogation, they revealed that they were supposed to hand it over to buyers at Burrabazar. Most of the gold biscuits had foreign markings on them. –CB Report

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turkish citrus exports record 14% growth

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BANKOK

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hai authorities arrested another Malaysian man suspected to be a key member of a drug syndicate at the busy Suvarnabhumi International Airport on Monday evening before he could board a Xlight back to Malaysia.

The man, from Penang was nabbed following surveillance by Thai authorities over his alleged role

in two failed attempts to smuggle drugs into Malaysia early this year and late last year.

“The Malaysian man arrived in Bangkok about two weeks ago and has been under constant surveillance by the police ever since,” said the Narcotics Suppression Bureau (NSB) deputy head Maj Gen Pornchai Charoenwong at airport on Monday. According to him, the man was believed to be the key Xigure behind the discovery of 87kg of ‘Ice’ in a rented house in Hatyai January this year and the seizure of 52.4kg of heroin and 41.9kg of ‘Ice’ from a car

driven by two Malaysian men in Chumphon Dec last year.

During investigation, the two detained Malaysian men late last year said Pornchai had disclosed to the authorities about the involvement of the Penang man in those two drug smuggling cases.

“He has been travelling into Thailand many times before this to order the drugs. Once he has brokered the deal, he will go back to Malaysia and wait for the delivery,” he said adding that the police are continuing their investigation on the man and his syndicate.

Iran unveils measures to regulate garment imports

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TEHRAN

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he Islamic Republic of Iran Customs Administration has introduced measures to systemize import procedures of foreign clothing brands. The measures, unveiled during a meeting attended by representatives of the Ministry of Industries, Mining and Trade, the Association of Textile Industry Producers, Iran’s Apparel Union and customs ofXicials, are designed to support domestic gar-

ment industry and prevent smuggling. “Customs post-clearance audit” will now be carried out for several foreign clothing brands, IRICA news portal reported. Customs post-clearance audit refers to controls undertaken after the clearance of the goods and is designed to verify the accuracy of the data declared and conXirm the proper implementation of customs and other legislation, namely the precise payment of duties, taxes and other charges. Moreover, order registration of clothes will be carried out by the Ministry of Industries, Mining

and Trade only after the license holders registered the imported brand.

Brand registration is only possible through collaboration with the parent company. Likewise, order registration certiXicates will only be issued for the ofXicial license holders. As per another measure, related authorities will prevent the installation of billboards advertising clothing trademarks or brand-names that do not have a license holder retailer in Iran. Importers are also required to record the Global Trade Item Number for branded items of clothing

and their ofXicial prices as set by the parent company. GTIN is an identiXier for trade items used to look up product information in a database (often by entering the number through a barcode scanner pointed at an actual product) which may belong to a retailer, manufacturer, collector, researcher or other entity. The uniqueness and universality of the identiXier are useful in establishing which product in one database corresponds to which product in another database, especially across organizational boundaries.

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PRA to set up modern training academy soon Saturday April 29, 2017

Lahore

LAHORE: The Punjab Revenue Authority is going to establish a state-of-the-art training academy in Lahore for training of the employees and officers of the department.

According to the sources of Customs Today, Punjab Revenue Authority Chairman Dr Raheel Ahmed Siddique said the authority will enhance the capacity and training of its staff. The chairman sad the PRA is focusing on the capacity building of its officers, especially in the wake of the recruitment of new officers.

This will be the first of its kind academy equipped with the Virtual Learning Environment (VLE). It will also provide online training saving time and money. Initially, all the courses are planned to be indigenously prepared which can be outsourced to institutions like LUMS and IBA at some advanced stage.

pRA develops Beauty parlours Invoice Monitoring System

customs I&I intensifies crackdowns against smugglers

LAHORE

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M IMRAN MehAR

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fter the successful roll-out of RIMS (Restaurant Invoice Monitoring System), Punjab Revenue Authority (PRA) has now developed Beauty Parlours Invoice Monitoring System (BIMS) which has been done in collaboration with the Punjab Information Technology Board.

A meeting in this regard was held with Hair and Beauty Salon’s Association on Thursday at PRA main building here. Representatives of Hair and Beauty Salon’s Association were formally invited to get themselves updated on the recent developments. A number of leading members from Hair and Beauty Salon’s Association attended the meeting.

fBR starts audit of directors of big companies he Federal Board of Revenue (FBR) has started actions against the directors of the big companies and sought reply from the directors about the assets and tax details. According to Federal Board of Revenue (FBR), the companies’ returns show loss but directors of the companies are living in the bungalows and travelling in the luxury vehicles. The companies are paying heavy salaries to the directors despite the losses. Sources told Customs Today that the Chairman FBR ordered all the Regional Tax Offices (RTOs) and Large Taxpayers Units (LTUs) to conduct the audit of the assets of directors of the companies.

Specifically in Lahore, more directors’ cases fall in the jurisdiction of the Corporate Regional Tax Office (CRTO), then comes Large Taxpayer Unit (LTU) and least important cases fall in the Regional Tax Office-(RTO-II). –CB Report

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Recently, PRA initiated a summary wherein a reduced rate scheme for the beauty parlours has been approved by the government of Punjab. At present, registration in beauty services sector stands only at 287 registered tax payers yielding about 3 to 4 million a month. Previously PRA conducted a workshop with beauticians and owners of such salons. Thereafter, Pakistan hair and beauty association Xiled a representation before the Punjab Revenue Authority to sympathetically consider the beauty services sector’s plea for reducing the rate of sales tax on hair and beauty parlours to around 5%. After a series of meetings to Xigure out a workable option, it was also mutually resolved that the proposed reduction in the sales tax rate will be admissible for only those who opt for invoice monitoring system which will be installed on their business premises for monitoring the sales invoices on real time basis.

LAHORE

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he Directorate of Customs Intelligence & Investigations (I&I) has intensiXied antismuggling operations in order to curtail smuggling of goods and vehicles at all the levels while the teams have been instructed to adopt zero tolerance against type of illegal import of goods and article.

These views were expressed by Customs I&I Deputy Director Ali Zeb Khan while talking to Customs Today here the other day.

The deputy director said that on the directions of Director General Shaukat Ali and Director Rubab Sikandar Customs I&I ASO team consisting Superintendent Waqar Ahmad Cheema and inspectors has intensified antismuggling crackdowns.

Lhc rejects appeal of ch Sugar Mills for use of raw material

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|he Lahore High Court (LHC) has rejected the appeal for the use of raw material by the Chaudhary Sugar Mills. The LHC also called the counsels from the appellant and recipient for the Xinal arguments on 24th of April 2017.

Under the supervision of Chief Justice Syed Mansoor Ali Shah, a two-member bench heard the case Xiled against the relocation of Chaudhary Sugar Mills, Haseeb Waqas Sugar Mills and Ittefaq Sugar Mills owned by the Sharif brothers.

On the call of the court, the counsel for Industry Department Khawaja Haris did not appear before the court but counsel for Chaudhary Sugar Mills Sabtain Fazli appeared before the court and argued that the case of Chaudhary Sugar Mill is totally different from two other sugar mills.

He appealed the court to allow the Chaudhary Sugar Mills to use the raw material of mills as the mills has closed and the raw material is going to rot. –Sajid Nawaz

He added that the director Customs Intelligence has directed the Customs I&I ASO team to go behind the smugglers and nab them to protect legal business.

The director while brieXing upon the last quarter’s performance disclosed that the directorate has posted a growth of 33 percent by impounding Rs659 million goods

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and vehicle, involving duty and taxes worth Rs274 million during the third quarter January March Xinancial year 2016-17.

He said that earlier Rs 494 million non-duty paid goods and vehicles involving Rs 125 million duty and taxes were conXiscated during the third quarter January to March Xinancial year 2015-16.

customs court hears 18 cases on thursday

he Special Court of Customs Taxation and Anti-Smuggling on Thursday heard 18 cases, including pre-arrest bail pleas Xiled by different suspects.

Most of the cases were adjourned without any proceedings as the parties and lawyers concerned did not appear in the court.

Hearing of pre-arrest bail pleas Xiled by accused Muhammad Razzaq and Salman were adjourned for new dates in next week. A case against Abdul Basit was also scheduled for hearing in which court recorded statements of the parties. Abdul Basit is on bail nowadays. Framing of

charges against Humayun Rasheed was also adjourned for next week.

Final arguments and statements of the concerned parties in a case of smuggling against RaXique Ali also scheduled for hearing which is rescheduled for next week.

Meanwhile, The Customs Court adjourned the hearing of 16 cases related to customs matters. During the hearing of most of the cases, the counsels for accused requested the court to postpone the hearing of their respective cases for preparation of arguments on which the court adjourned the hearings for different dates. –CB Report

pcA detects duty, tax evasion by M/s Mani enterprises

D LAHORE

cuStoMS BuLLetIN RepoRt www.customsbulletin.com

irectorate of Post Clearence Audit (PCA) has summoned M/s Mani Enterprises in duty and tax evasion of Rs 41,965 by on the import of tarpaulin.

According to the details, the PCA Lahore observed that the import

clearances data against HS Code 6306.1210 effected from various Model Customs Collectorate during the calendar years. 2012 and 2013 revealed that inadmissible concession of sales tax and value added sales tax under the SRO 1125()/2011 dated 31.12.2011, wrongfully availed on the import of Tarpaulin i.e. sun shedding which is speciXically excluded from that am-

bit of said SRO and hence was not entitled for such beneXit under the said SRO. It has been observed that importer had imported various consignments consisting of tarpaulin and got it cleared under PCT heading 6306.1210 with inadmissible concession under SRO 1125(I/201 1, dated 31.12.2011. Hence, it was said that the importers have short paid an amount Rs 41,965 sales tax,

additional sales tax and income tax due to wrongful, concession under the SRO I 125(D/2011 dated 31.12.2011. The importer was asked to pay above mentioned short paid amount of duty/ taxes within 10 days of receipt of this letter positively. The importer was told in case they do not agree with the audit observation; they may provide the written clariXication.

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Wadhavan Port may get environment nod in three months WASHINGTON: All-weather Wadhavan Port located next to Dahanu near Maharashtra-Gujarat border is likely to get environment clearance in the next three months. For decades now, the development of this port has faced stiff resistance from locals and environmentalists. The port being planned by Jawaharlal Nehru Port Trust (JNPT), has to get environment and coastal regulation zone nods to proceed with the implementation plans. Anil Diggikar, chairman of JNPT said, “Government of Maharashtra through the environment department has approached the Union government. The earlier port site was on land, while the one now is in the sea.” Discussions are in progress and an initial meeting between Ministry of Shipping and Ministry of Environment and Forest has already taken place.

Major ports’ cargo handling up 7%; petro products drive traffic ajor ports, which are under the aegis of the Central government, have registered better growth in 2016-17 , driven primarily by handling of petroleum products. The ports have registered a 6.79 per cent growth in 2016-17 in cargo volumes handled compared with the previous fiscal, by carrying over 647 million tonne of petroleum products, iron ore, and containers. “The growth rate this year is 6.79 per cent, while that in 2015-16 against 2014-15 was 4.32 per cent,” Rajive Kumar, Secretary, Shipping Ministry, told BusinessLine. According to data sourced by BusinessLine, the growth was driven by petroleum products, which were up 8.16 per cent and iron ore pellets which saw a 163 per cent hike. However, there was a steep drop in handling of finished fertiliser (-

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17 per cent), raw fertiliser (-6.76 per cent) and coal. Containers have seen a higher growth in terms of number of boxes against weight. On a pan-India level, the average container being handled at ports has become lighter. So, containers that saw a 1.08 per cent growth in weight, have seen a 3.04 per cent growth in twenty feet equivalent units (average size of a container).In terms of absolute tonnage, Kandla port handled the maximum cargo, followed

by Paradip, Mumbai, JN Port, Visakhapatnam, Kolkata, Chennai, Chidambarnar, Mormugao, Kamarajar (Ennore) and Cochin. In 2016-17 all ports, except Ennore and JN Port, handled more cargo.

Ennore has seen a decline due to a drop in coal handling, following lower demand from the Tamil Nadu Electricity Board, which has started wind power generation. –CB Report

Ports & Shipping

port of Duluth-Superior receives pacesetter Award WASHINGTON

cuStoMS BuLLetIN RepoRt www.customsbulletin.com

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he US Saint Lawrence Seaway Development Corporation (SLSDC) announced that six U.S. ports in the Great Lakes St. Lawrence Seaway System including the Port of Duluth-Superior received the agency’s Robert J. Lewis Pacesetter Award for registering increases in international cargo tonnage shipped through their ports during the 2016 navigation season.

The Xive other recipients are the Port of Green Bay; Toledo-Lucas County Port Authority in Ohio; the Port of Milwaukee; Port of Buffalo, and Ogdensburg Bridge and Port Authority in New York.

“U.S. Great Lakes Seaway System ports play a vital role in supporting trade and economic growth for the United States,” said U.S. Transportation Secretary Elaine L. Chao.

“The strong performance of these ports means greater movement of goods, generating thousands of jobs

and billions of dollars in economic activity.” “On this 25th anniversary of the SLSDC Pacesetter Awards, the SLSDC congratulates the six Great Lakes ports for being recognized as Pacesetter Award recipients for their achievements during the 2016 Seaway navigation season,” said SLSDC’s Deputy Administrator Craig H. Middlebrook. “Earning the

Pacesetter Award does not happen by luck – it is achieved because of the hard work, dedication, and vision of the committed teams of professionals at these ports.” Maritime commerce on the Great Lakes Seaway System annually sustains 227,000 jobs, $35 billion in business revenues, and $14 billion in wages and salaries.

Saturday April 29, 2017

port of Vancouver, wash. sets new tonnage record he Port of Vancouver in Washington state set a new tonnage record in 2016, the port said. For the first time in the port’s 105-year history, a record 7.49 million metric tons of cargo was handled in 2016, up 8 percent from the 2015 record of 6.95 million metric tons. Exports in 2016 rose to 6.32 million metric tons, up from 5.54 million metric tons in 2015. Grain was the largest export by volume, which increased 17.8 percent over 2015 volumes. Imports such as wind energy components increased in 2016, but overall, imports were down 17 percent last year. Despite the overall tonnage increase, the port’s operating revenues decreased from $38.2 million to $35.9 million. However, by leveraging revenues, federal and state grant funds, and tax dollars, the port invested in critical infrastructure such as rail, buildings, dock improvement and skilled staff. Port of Vancouver CEO Julianna Marler said, “These are the types of improvements that attract businesses to the port and help create jobs for the residents of Southwest Washington. –CB Report

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p&o ports to manage Somalia port P

WASHINGTON

cuStoMS BuLLetIN RepoRt www.customsbulletin.com

&O Ports, owned by the Government of Dubai, has won a 30-year concession for the management and development of a multi-purpose port project at Bosasso in the Puntland State of Somalia. The approximate investment for the modern multi-purpose facility will be $336 million (Dhs1.235b) divided into two phases: $136 million for Phase 1 and $200 million for phase 2. President of Puntland, Abdiweli Mohamed Ali, and the Chairman of Ports, Customs & Freezone Corporation (PCFC), Sultan Ahmed bin Sulayem, signed the agreement at a ceremony in Dubai today, 6th April 2017, in the presence of senior government ofXicials and representatives of PCFC. Work on the project will involve building a 450m quay and a 5 hectare back up

area, dredging to a depth of 12m with reclamation work using dredge spoil. There will also be major investment in an IT and Terminal Operating System (TOS), mobile harbour cranes and container handling equipment. President of Puntland, Abdiweli Mohamed Ali, said: ‘’This investment is a huge undertaking in Puntland and will greatly contribute to the infrastructure development in Somalia, particularly the Puntland State of Somalia. Infrastructure development is a priority for the government of Puntland as it underpins the efforts of taking this country forward. This concession agreement of expanding the Bosasso port is a major achievement for my government and for the people of Puntland. It promotes the historical and the trade relations between the UAE and Somalia.’’

Meanwhile, The number of container ship calls at the port last year

decreased to 705 from 755 previously, reXlecting the loss of some mainline services to nearby private ports such as Kattupalli and Krishnapatnam. At the same time, Chennai’s overall average container dwell times marginally improved during the year, to 2.63 days from 2.95 days in Xiscal 2015 to 2016, productivity statistics show. The Chennai port complex encompasses DP Worldoperated Chennai Container Terminal and PSA International’s Chennai International Terminals, with a combined capacity of roughly 3 million TEUs per year. Congestion caused by lengthy truck turnarounds has long been an operational nightmare for shippers and container lines using terminals at Chennai and as a result, growth at the largest East Coast public gateway has remained stagnant for years.

To address those issues, the port authority in coordination with

state-owned rail operator Container Corporation of India (Concor) has introduced new train services, including time-guaranteed runs, and tariff incentives. Accelerating that push, the port authority is also working with railway authorities to build a dry port at Jolarpet, about 140 miles from the harbor, to help capture freight hauled by trucks on the route, which accounts for roughly 50,000 TEUs annually, according to port estimates. Although those are positive signs, the solution is not so simple given the huge price differential between rail and road, and strained rail networks.

But the Narendra Modi government is trying to turn things around. It has set up a separate company Indian Port Rail Corporation Limited based on equity participation from major port authorities and Indian Railways to speed development of last-mile rail projects.

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I & I impounds Land Cruiser valued Rs07.8m ISLAMABAD: Directorate of Intelligence and Investigation, Federal Board of Revenue Rawalpindi, has impounded a non-duty-paid used Toyota Land Cruiser Prado TX worth Rs7.8million including taxes and duties. On a tip-off, the staff of the directorate of intelligence and investigation, FBR Rawalpindi, took possession of a reportedly smuggled foreign origin used Toyota Land Cruiser Prado TX (Toyota Motor Engineering Manufacturing Europe Sa/NA), Model 2007, as per seatbelt) with Chassis No: JTEBZ 29J7000083.

Saturday, April 29, 2017

CUSTOMS BULLETIN

Valuation of gypsum board, gypsum tile & fiber cement board revised KARACHI cuStoMS BuLLetIN RepoRt www.customsbulletin.com

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he Directorate General of Customs Valuation has revised the customs value of Gypsum Board, Gypsum Tile and Fiber Cement Board through Valuation Ruling No 1131/2017 under Section 25-A of the Customs Act, 1969.

According to details customs values of Gypsum board, Gypsum tile and Xiber cement board were determined vide Valuation Ruling No.951/2016, dated 13-10-2016. It was deemed expedient to revise the Valuation Ruling in order to make it reXlective of current prices prevailing in the international market.

Hence, an exercise was conducted to determine customs values of subject goods afresh.

Stakeholders meeting was held on 05-04-20I7 & 11-04-2017. The importers were also requested to furnish invoices of imports made during last three months showing factual value.

Websites, names and E-mail addresses of knownforeign 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 duty and taxes) to substantiate that the beneXit of difference in price is passed on to the local buyers. The some importers of Gypsum Board, Gypsum Tile and

Fiber Cement Board appeared for meeting 11-04-2017 and contended that there was no change in the international market only few sales tax invoices were submitted by manu-

facturers M/s DFB Gypsum Valuation methods provided in Section 25 of the Customs Act, 1969 were duly followed and applied sequentially to address the valuation issue at hand.

Shc directs cIR Appeals to decide case of Soorty enterprises KARACHI

M B RANA

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he Sindh High Court (SHC) has directed the commissioner Inland Revenue Appeals-V Karachi to decide the appeal of Soorty Enterprises (Private) Limited within four weeks.

The court ordered this on a constitutional petition filed by company, challenging impugned

notice for enforce recovery of Rs 28,224,370 issued by commissioner Inland Revenue, Zone-I RTO-III. A two-member bench headed by Justice Aqeel Ahmed Abbasi heard the constitutional petition.

During the hearing, counsel for the petitioner argued and sought interim relief, after his arguments, the court disposed of the constitutional petition with directions to the respondents not to enforce recovery of impugned demand, which is subject matter of appeal before commissioner appeals, till its fi-

nal disposal. In case of any adverse order, if passed by the commissioner appeals, the respondents shall not enforce recovery of impugned demand for further period of seven days from the date of receipt of such appellate order.

Court also mentioned in its order that “it is expected that the appeals of the petitioner, if not disposal of so far by the commissioner IR appeals shall be decided within a period of four weeks from the date of receipt of this order, which may be communicated to it in the

counsel for the petitioner within one week”.

Earlier, counsel for the petitioner submitted that officials of the tax department issued a show cause notice for recovery of Rs 28,224,370 without showing any lawful reason, therefore being aggrieved petitioner approached the commissioner Inland Revenue Appeals-V and filed an appeal along with stay application which is pending before CIR Appeals, however, during the pendency of said appeal, petitioner is being threatened by the tax department.

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

Citing Chairman Federal Board of Revenue (FBR), Assistant Commissioner Inland Revenue Unit-14, RTO-III Karachi, Commissioner Inland Revenue Unit-14, RTO-III and commissioner Inland Revenue AppealsV as respondents, petitioner pleaded the court may declare that act of the respondents is illegal, mala fide and arbitrary.

Counsel further pleaded that court may restrain the tax authorities from taking any coercive action against the petitioner till final decision of its appeal pending before CIR Appeals.