Tuesday, 19 December 2017

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Karachi, Tue December 19, 2017

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pecial Assistant to the Prime Minister on Revenue Haroon Akhtar Khan has told the Oield formations of the Federal Board of Revenue (FBR) to maintain the ongoing momentum and ensure 19 per-

cent growth rate in revenue collections.

He was addressing a meeting of the chief commissioners here.

The meeting was held to review the performance of regional tax ofOices and to ensure that target assigned for the second quarter should be met accordingly.

The tax ofOicials attending the meeting were chief commissioners from Lahore Tax Unit (LTU), CRTO

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Lahore, RTO to Lahore, Multan, Sahiwal, Faisalabad, Gujranwala and Sialkot. Haroon Akhtar Khan visited the Regional Tax OfOices on the instructions of Prime Minister Shahid Khaqan Abbasi to ensure optimal revenue generation and resource mobilization in the coming months. He stressed that maximum efforts must be made to achieve the targets to keep the growth of revenues at 19 percent. Earlier, the Special Assistant to Prime Minister on Revenue Haroon Akhtar Khan clarified that there shall be no deviation from overall objective of the project.

AFU Recovery Islamabad gets over Rs600m as deferred payment from PIAC

DG Valuation Surriya to revise VR No 762/2015 on January 5, 2018

FTO postpones hearing of case filed by M/s Ashraf & Brothers

Governor Sindh visits UK for promotion of investment

Customs Exports recovers Rs 6.13 billion from M/s Rozeena Traders

The Recovery Branch of the AFU Islamabad has received over Rs600m | See pAge 02 |

DG Valuation has decided to revise the VR No: 762/2015 on Jan 5, 2018 s| See pAge 03 |

FTO has heard a case filed by proprietors M/s Ashraf & Brothers againstthe RTO-II) | See pAge 04 |

Governor Sindh has left for a week-long visit to the UK to motivate British investors | See pAge 11 |

Customs Exports has recovered evaded taxes and duties amounting to Rs 6.13m | See pAge 16 |

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AB Islamabad generates marginally extra CD in first week of Dec Tuesday, December 19, 2017

ISLAMABAD: The Customs Accompanied Baggage (AB) Section of the Model Customs Collectorate (MCC) Islamabad earned Rs90000 extra Customs Duty against an assigned proportional revenue collection target during the first week of December Financial Year 2017-18.

According to details explained by Ali Asad, Assistant Collector AB, that the performance is satisfactory during the first week of December Financial Year (FY) 2017-18.

Islamabad

Afu recovery Branch gets over rs600m as deferred payment from piAc

ISLAMABAD

ISLAMABAD

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he Federal Board of Revenue (FBR) has further expedited efforts to increase the number of tax filers. Documents show that the FBR increased the number of taxpayers to an impressive 1.2 million last year.

As per FBR data, over 1.2 million tax returns were received last year but of them, a staggering 31 percent of filers failed to contribute even a single penny as tax to the national exchequer.

However, a mere 0.2 percent of the total number of files coming to a dismal figure of 2,445 as they contributed more than Rs10 million each. The most disturbing figures related to the individual taxpayers who merely contributed Rs2.11 billion reflecting how far the distance FBR needs to cover before finding real taxpayers in good number. Figures of taxpayers compiled by the FBR showed startling results as last year’s number showed that just 1.2 million persons filed tax returns and out of these filers 31 percent didn’t pay tax at all. Similarly just 0.2 percent (total 2445 filers) paid more than Rs10 million tax. Other figures are also very disappointing as far as total collection from individuals is concerned as total collection from individuals during tax year remained at Rs211 billion.

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he Recovery Branch of the Customs Air Freight Unit Islamabad has received over Rs600million as deferred payment from M/s Pakistan International Airlines Corporations (PIAC), official sources told Customs Today.

The Air Freight Unit (AFU) told CT that it has recovered above said dues out of the total deferred payment of Rs1173.582million of all duties and taxes during the month of November Fiscal Year (FY) 201718. The sources said that M/s PIAC is to pay dues because of import of three aircraft on dry lease on quarterly installment payment bases.

Sources notified CT that recently an installment of Rs15.36million dated 13th of November has been received. The sources informed the correspondent that there were six other departments and companies whose duties and taxes are pending and cases were forwarded to the Recovery Department. During the month of November FY17-18, the AFU only recovered deferred amount from the PIA and the rest of departments who did not pay their pending dues comprise Immigration and Passport Office whose recoverable dues are Rs14.91million. M/s WASA Faizabad had to deposit Rs4.93million as a balance payment into the ac-

fBr expedites efforts to increase number of tax filers

count of AFU Islamabad whereas M/s Safe City Project had to pay Rs51.36million which was not transferred into the relevant head of the account. It may be remem-

bered that the Cabinet Division had to pay the deferred amount of Rs3.95million whereas M/s Teknoaid had to pay Rs0.605million and M/s BGP International Islam-

abad had to disburse Rs67.97million. The sources added that all the abovementions cases have been forwarded to the Recovery Department for further action.

iDp earmarked slightly higher cD target with rs800m for 2Q

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ISLAMABAD

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he Customs Islamabad Dry Port has been assigned a collection target of Rs800million as Customs Duty for 2nd Quarter Fiscal Year 2017-18.

According to details given by Deputy Collector Tahir Iqbal Khattak that the revenue target is slightly higher against the 1st Quarter (July to September) Financial Year (FY)

2017-18. The collectorate was allocated Rs706.54million of CD whereas the Islamabad Dry Port was done a Rs841.43million revenue collection target for 2nd Quarter (October to December) FY17-18 as CD. Telling about the details of earmarked target for Oirst quarter, Deputy Collector told CT that the IDP was assigned Rs163.20million of CD for the month of July FY17-18 while it was done Rs271.74million under the same head for the month of August FY17-18. And the IDP was

allocated a revenue collection target of Rs271.60million as CD for the month of September FY17-18.

Tahir further told CT that, for 2nd Quarter, the collectorate was assigned CD targets of Rs261.64million for the month of October FY1718 while IDP was allocated Rs277.19million under the same head for the month of November FY17-18. And the Collectorate of Islamabad was earmarked Rs303.80million of CD for the month of December FY17-18.

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ASO Preventive foils bid to smuggle charas through Daewoo Express KARACHI: The Anti-Smuggling Organization (ASO) has foiled a bid to smuggle a huge quantity of charas through a Daweoo passenger bus. According to the details, the ASO, Model Customs Collectorate (MCC) Preventive, started the checking of the passenger buses at the Mochko point. During the strict surveillance, the staff intercepted a bus coming from Quetta and searched it completely. While searching the bus, the staff found suspicious packets which were filled with high quality charas. The authorities also seized the charas and the bus (Karachi Express) registration No JB-5886. Sources said that the recovered drug was 240kg worth millions of rupees.

railways revenue expected to jump rs50b by 2016

Tuesday December 19, 2017

Karachi

Dg Valuation Surriya to revise Vr no 762/2015 on January 5, 2018

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he revenue of Pakistan Railways was expected to increase to Rs. 50 billion by June 30, 2018, said Minister for Railways, Khawaja Saad Rafiq.

He said that the revenue of Pakistan Railways had jumped to Rs. 40 billion till June 30, 2017 from Rs. 18 billion in 2012-13. The minister said every effort being made to bring about the needed improvements in Pakistan Railways and overcome the shortcomings of the past decades. He stated that the government had enhanced the revenue of Pakistan Railways besides updating the organization. Khawaja Saad Rafiq said for the first time since 1985, as many as 12 freight trains are being run by the Pakistan Railways.

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SHc defers hearing of rD petitions till next week KARACHI

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Sindh High Court has deferred hearing of a Civil Petition for Leave to Appeal (CPLA) pertaining to regulatory duty till next week asking the appellant side to come prepared. The SHC bench was comprised of Justice Omar Ata Bindyal and Justice Afzal Ahmed, while Choudhry Zafar Iqbal represented the federal government as well as FBR. The respondents including Tiles Association represented by Franklin Law Associates questioned the imposition of Regulatory Duty and sought continuation of concessionary rate of taxes and duty under SRO 497 of 2009. The lawyer from Franklin Law Associates submitted that whatever the custom duty, taxes, regulatory duty are estimated 50 per cent or 100 per cent, the payable would be at a rate of 37.5 per cent as per SRO cited above.

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KARACHI

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irectorate General, Customs Valuation, Director General Surriya Ahmed Butt, has decided to revise the Valuation Ruling No: 762/2015 on January 5, 2018, it is learnt.

According to the details, Director General Surriya Butt has said that the department was reviewing suggestions from various importers to set new prices of second hand clothes, shoes and used leather bags, jackets, belts, used toys and kitchenwares. She said that some valuations, which were issued in 2015, were being reviewed from the beginning. Moreover, the valuations will be set in view of rising prices in the international market. Sources told that a petition was submitted by the importers to Customs Valuation in which change in prices of second hand clothing, shoes and used leather bags, jackets, belts, used toys and kitchen wares, was requested. Sources told that Valuation Ruling No: 762/2015 was issued on September 18, 2015. A meeting was held with the stakeholders on 7th December, 2017.

Importers were told to furnish the import invoices of the last three months showing factual values as well as websites, names and e-mail addresses of known foreign manufacturers of the item in question through which the actual current

value could be ascertained.

Source said now a day’s Director General Surriya Ahmed Butt are continue meetings from importers, because a number of application have submitted from Importers to change the prices of import items.

Meanwhile, The Directorate General of Customs Valuation has revised the customs value of Natural and Alkalized Cocoa Powder (H.S. Code 1805.0000) vide Valuation Ruling No 1228/2017 under Section

Moreover, the valuations will be set in view of rising prices in the international market. Sources told that a petition was submitted by the importers to customs Valuation in which change in prices of second hand clothing, shoes and used leather bags, jackets, belts, used toys and kitchen wares, was requested

fBr to introduce single-page tax return form

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KARACHI

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n order to encourage taxpayers, the Federal Board of Revenue (FBR) is likely to introduce single-page return form soon. According to Tax Reforms Commission (TRC) Member Masood Naqvi, the commission is working to address taxpayers’ grievances to broaden tax net.

FBR received tax returns of

215,000 by September-end against an estimated potential of seven million. But, the number

was significantly more than around 60,000 returns filed till the same period last fiscal year.

Number of return filers surpassed 1.2 million for the tax year 2016 given the fact less than one percent of the population pays income tax and files tax returns – one of the lowest ratios in the world. TRC has long been demanding one-page income tax return form to facilitate taxpayers and avoid harassment of the taxpayers.

25A of the Customs Act, 1969.

Earlier, the customs values of Natural and Alkalized Cocoa Powder were determined vide Valuation Ruling No. 619/2013 dated.

There were several representations from commercial importers as well as from Pakistan Biscuit and Confectionary Manufacturers Association wherein they claimed that value of the subject item needs to be realigned with international values.

weekly inflation increases by 0.34pc he Sensitive Price Indicator (SPI) based weekly inflation for the week ended on December 14 for the combined income groups increased by 0.34 percent as compared to the previous week. The SPI for the week under review in the above mentioned group was recorded at 225.65 points against 224.89 points last week.

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Accountability Court convicts former DO Roads with 4 years imprisonment Tuesday December 19, 2017

Lahore

The Accountability Court in Hyderabad convicted a former District Officer Roads, Works and Services Department with 4-year imprisonment.

The court found the official Rehim Bux Soomro guilty, who was posted in Tando Muhammad Khan district, of keeping assets beyond the known sources of his income. The spokesman of National Accountability Burea (NAB) Rizwan Soomro informed that a reference was filed against Soomro in 2016.

According to the spokesman, the NAB’s investigation team estimated the worth of his properties at Rs80 million. The convict was arrested from the court’s premises and sent to the Central Jail.

customs court grants 14-day judicial remand of two mobile smugglers LAHORE

M iMrAn MeHAr

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he Special Federal Court of Customs Taxation and AntiSmuggling has approved a 14-day judicial remand of two accused held in the smuggling of mobile phones and some other items as well from Lahore.

Accused Muhammad Naveed and Muhammad Faisal were arrested by the customs intelligence authorities from Lahore. The customs intelligence has found 9700 mobile phones of different models in a warehouse of the accused. Sources of Customs Today have said that the worth of the smuggled mobile phones is more than Rs6million in the local market and the accused have caused the national kitty a

fTo puts off tax refund appeal hearing by next date he Federal Tax Ombudsman (FTO) has postponed a hearing of a case filed by Azhar Munir, a resident of Hafizabad, against the Regional Tax Office (RTO) Gujranwala until the next hearing.

FTO Advisor Mian Munawar Ghafoor heard the case in which counsel for the appellant argued that the RTO Gujranwala has not released the refund to the appellant since two years. He said the RTO Gujranwala has been collecting excessive taxes from the appellant for the last two years. The company approached the officer concerned many times for the release of the refunds but the department did not entertain his requests, even after the passage of a reasonable time. Finally, the appellant decided to approach the Federal Tax Ombudsman (FTO) seeking intervention in the case. The counsel appealed the FTO advisor to direct the commissioner of the RTO Gujranwala to clear the refund claims. –CB Report

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huge loss in the wake of taxes.

Sources said they were intercepted by the customs authorities at Hall Road. The customs intelligence executed an operation on the intelligence based information on Hall Road Lahore. The customs intelligence recovered smuggled and noncustom-paid mobile phones and accessories. The customs recovered 340,000 mobile-phone chargers, hand-frees and data cables from the warehouse belonged to the accused.

The customs investigation team had presented them before the customs court for getting their physical remand to investigate more on the issue that was granted by the court.

Customs Judge Tahir Sabir approved their remand for three days. After the completion of the remand, the customs team had presented them again before the court for further action and court sent them to prison on judicial remand.

fTo postpones hearing of case filed by M/s Ashraf & Brothers

LAHORE

SAJiD nAwAZ

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he Federal Tax Ombudsman (FTO) has heard a case filed by proprietors

M/s Ashraf & Brothers against the Regional Tax Office (RTO-II) Lahore and adjourned it until the next date of hearing. FTO Advisor Mian Munawar Ghafoor heard the case. The counsel for the appellant argued that the RTO had failed to release the sales tax refund to the appellant since two

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years. He said the RTO-II has been collecting excessive tax from the company for the last two years.

Although the petitioner approached the officials concerned several times for release of refunds yet the RTO officials failed to clear the refunds after the passage of a reasonable time. Finally, the appellant decided to approach the FTO seeking intervention in this case. The counsel appealed the FTO advisor to direct the RTOII to clear the refund claims. The counsel further said that delay in release of refunds put burden on the taxpayer therefore RTO-II should make an audit of the cases and release the extra amount collected from the taxpayer. On the other hand, counsel for RTO-II argued that the appellant has not submitted all the record in the office for claiming refunds. If he provides accurate record, the RTO-II will release refunds after a proper assessment, he assured.

fiA foils money laundering suspects’ importers concerned over devaluation of rupee attempt to flee court akistan FMCG Importers Asso- troleum products thus making elec-

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n attempt made by three suspects to Olee Lahore High Court after a rejection of their bail in a money laundering case on was foiled by the FIA. The suspects – Rafiq Sapra, Nasir Mahmood and Niaz Ahmad – are accused of laundering Rs75 million worth of money, which the law enforcement agencies have recovered from them. Accordingly, FIA investigation officer told the court to reject the bail plea of the three suspects.

However, arguing his case before Justice Malik Shahzad Ahmad, the suspects’ counsel claimed that FIA had made baseless accusations against his clients, adding that his clients were all too ready to appear before the court and deserved an interim bail. After hearing both sides’ arguments, the court rejected the suspects’ plea in its Oinal verdict, following which the suspects attempted to Olee from the court and were arrested by FIA personnel from Lahore High Court’s courtyard. –CB Report

ciation (PFIA) has expressed its concern over the declining value of the Pakistani rupee against dollar has urged the government and the State Bank of Pakistan to stop this trend as it may trigger a new wave of inOlation as well as import bill in the country.

Pakistan FMCG Importers Association President Anjum Nisar, and other ofOicials, including Nafees ur Rehman Barry, Muhammad Ejaz Tanveer and Zeeshan Bukhsi, said that increase in value of the US dollar would enhance the prices of pe-

prA organises balloting for Amanat Scheme

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LAHORE

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he Punjab Revenue Authority (PRA) organised fresh balloting of Amanat Scheme (of the Restaurant Invoice Monitoring System) and handed over prizes to the winning candidates of the previously conducted balloting. Seeveral prizes including cars,

motorcycles, Umrah tickets, cell phones, tablets, LED television sets, and others were distributed among the winners at a ceremony held at 90 Shahrah-e-Quaid-e-Azam. The 16th, 17th and 18th balloting was performed while winners of 13th, 14th and 15th balloting were awarded prizes. Punjab Minister for Human Rights and Minorities Khalil Tahir Sandhu said the Punjab government is determined and

working hard to build a society based on the principles of social and economic justice. The minister congratulated the PRA in introducing this innovative and exciting way for generating taxes and spreading tax awareness amongst the masses. PRA Chairman Dr Raheal Siddiqui said the success of RIMS can be gauged from the fact that more than 600 restaurants are now connected with the software in a very

tricity more expensive besides increasing the cost of different raw material for the local industry. They said that the import of FMCG items including some quality food articles would also go high leading to apprehensions of increase in their smuggling. ‘This sector was already making hue and cry after imposition of the regulatory duty and the devaluation will add fuel to the Oire,’ they claimed. They said that if the government was trying to support the declining exports by this mean it would not work. –CB Report

short time period. He further said the credit of this tremendous success goes to Chief Minister Punjab Shahbaz Sharif and Minister Finance Dr Aisha Ghous Pasha. The minister was of the view that the to collect tax is the most difOicult thing, saying the gifting scheme linking to sales invoice is good step to motivate people to pay tax and contribute towards the development of the province.

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ederal Board of Revenue (FBR) Member Customs Zahid Khokhar has urged all Model Customs Colletorates to fully implement the import policy with regard to the import of betel nuts.

Khokhar told Customs Today that in the new policy, issued by Ministry of Commerce; it is mandatory for importers and their clearing agents to submit health certiOicates of all the food items, especially of the betel nuts, issued by the authorities of the exporting countries, along with goods declaration. It may be mentioned that clearance of various containers has been stopped by authorities at Appraisement East and Appraisement West until the production of the health certiOicates and reports from the chemistry department of the University of Karachi.

He further said for the importers of betel nuts, it is also important to avail health and quality certiOicates from national institutes to assure the Customs Department that the imported stuff is healthy and not hazardous to public health.

According to the sources, consignments worth Rs 180 million are waiting for clearance at the two Collectorates. It is pertinent to mention here that the Customs Departments and the Ministry of Commerce received reports that hazardous and low quality betel nuts had been imported from India, Nepal and other countries with the help of appraisement and examination staff of the Ap-

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Tuesday, December 19, 2017

praisement East and Appraisement West in violation of the import policy.

However, Khokhar said that they have implemented zero tolerance policy towards corruption in the department. Meanwhile, sources from Appraisement East and West Collectorates told Customs Today that appraising ofOicers Sultan from West and Chaudhary Asghar from Appraisement East have formed a group with Raheem and Rizwan and have cleared hundreds of containers Oilled with hazardous and low quality betel nuts after allegedly taking Rs 4.5 million per month bribe.

“This low quality betel nuts have been imported by over four dozen importers with the help of Sultan, Asghar, Talat, Rizwan and Raheem who included some examiners and appraising staff in their group,” source claimed.

Approximately 7 to 9 containers have been cleared through Appraisement East and Appraisement West on daily basis for the last few years and they have been collecting Rs 45,000 for the clearance of one container.

The group of the corrupt ofOicials has been violating the import policy for betel nuts issued by the Commerce Ministry for 20152016. In this policy, it is very clear in Appendix B that whoever is importing betel nuts should produce a health certiOicate from exporting country and the consignment will be cleared after the samples would be sent to the chemistry department of the Karachi University

and report would be submitted for clearance process. But this network of corrupt ofOicials kept clearing the hazardous and low quality betel nuts without these certiOicates just for the huge bribe.

It is pertinent to mention here that this low quality betel nuts have been used to prepare hazardous “Paan Masala”, “Main Puri” and “Gutka” causing cancer in the users.

nce of cleara t a h t opped tioned een st e men b b s y a a h st s it m ent ea tainer n m o e c s i s a r variou he at App until t rities t o s h e t w u t by a cates emen certifi pprais h t A l a d e n h a istry f the ction o e chem h t m o produ fr y of ports versit i e r n u d n e a of th tment hi depar karac

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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

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pak-china business cooperation

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Chinese government official has urged Pakistani businessmen to benefit from the Shanghai Pilot Free Trade Zone which, according to him, will usher in a new era of business growth and development in the country. China has already opened its industry to the US and European entrepreneurs who have invested billions of dollars in that country. Pakistanis are one of the major buyers of the Chinese goods which have not only boosted business to business cooperation, but also strengthened the eternal bonds of friendship between the two countries. Pakistanis import goods worth billions dollars from China annually and have invested in many industrial and business concerns in that country. The current Chinese industrial policy has been passing through a transitional period as the country is shifting from small industry to heavy industry. China has decided to transfer its small industry to Bangladesh and has also offered over $22 billion investment. It is the same offer which Japan had given to Malaysia in 80s and the later emerged as the Asian economic giant in a few years. Malaysia which was a poor country in 1991 was the developed country in 1996 just in five years.

On the other hand, there are voices of concern in Pakistan over the proposed industrial zones in the country. According to some entrepreneurs, the move will undermine the local industry which would not be able to compete with their Chinese counterparts in price and quality of the products. However, living in this modern ear, a close policy will lead to closure of the indigenous industry. It is, therefore, necessary to find a way out and establish joint ventures at the industrial zones. If China is shifting its industry to Bangladesh, Pakistan is the better place for the purpose as it is directly connected with China and there are close business and trade relations between the two nations. The Chinese official’s offer is a good omen as it will provide the Pakistani entrepreneurs a level playing field to introduce their products and expand their ventures outside of their borders. The economic zone, where the Pakistani entrepreneurs are offered investment opportunities, was established in 2013 and is spread over an area of more than 120 km where 23,243 local and foreign companies have already been registered.

pM’s desire to purge fBr P

LAHORE

Dr AfTAB AfZAL

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rime Minister Shahid Khaqan Abbasi’s directives to purge the Federal Board of Revenue and the Pakistan Customs of the corruption officials have apparently gone unheard.

The media reports suggest key positions in the board and the Customs have still been occupied by the officials having embarrassingly corrupt past. Earlier, Abbasi directed the FBR chairman to focus on the officers heading field formations and strategic units of the FBR and submit a detailed report about the recent appointments. According to reports, the board has

been facing the challenges of corruption and questionable behavior in its hierarchy and the prime minister’s move is to purge the department of the corrupt elements. Earlier, the previous government of prime minister Nawaz Sharif had initiated a large-scale operation against corrupt officers in the FBR. The task to purge the FBR and the customs had been entrusted on the Federal Investigation Agency.

A joint report of the Federal Investigation Agency and two other agencies had identified at least 300 senior officers of various designations and recommended their suspension or termination from the services.

However, the latest report met

with the same fate as was the fate of the reports in the past. In the list of corrupt officers, there were blue eye boys having strong political backgrounds and their names were struck off the list at the end, making the whole operation a futile exercise.

There is no denying the fact that when politically strong officials dominate the departments, the honest officials find refuge in corners. A game of hide and seek is going on in all the government departments since independence. Unless the departments are depoliticized, corruption will stay with all its might. The nation has the narrow tax base and all the efforts made at various levels to en-

hance tax net have ended in fiasco. The prime minister and the FBR chief are actively holding meetings to streamline the tax affairs and rid the department of the corrupt elements. But keeping in view the ground realities, they both have limited options to move forward.

The operation started with zeal and zest had to be suspended because of political reasons. It will not be a surprise for the prime minister when he is told that no action is being taken against a number of corrupt officers. There is a limited mandate of the present government and the nation will have to wait until the next government how it would deal with corruption.

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SHC orders Customs to release consignment of kitchen appliances KARACHI: The Sindh High Court has ordered Pakistan Customs to release a consignment of kitchen appliances. The bench, comprising Justice Munib Akhtar and Justice Omar Sial, overruling a circular issued by the Chief Collector, ordered to release the consignment. The bench was hearing a petition filed by Fotile Kitchen & Home Appliances through counsel Ms Dil Khurram Saheen advocate who challenged the impugned circular issued under 107-a, Chapter 9 of Custom Rules 2001. The circular in dispute said that “mere filing of a request for revision of an existing Valuation Ruling or an application of review under section 25-D of the Customs Act 1969 shall not entitle applicant/importer for provisional assessment under section 81 of the Act”.

ASo impounds 114 vehicles, other items valued at rs300m

Tuesday December 19, 2017

National

Suspect fled from customs court booked in smuggling of cigarettes

ISLAMABAD

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he Anti-Smuggling Organization has taken into possession 114 vehicles and other smuggling goods worth above Rs300million during five months of existing Financial Year 2017-18. This was stated by Majid Hussain Gadd, Assistan Collector, Preventive Division Islamabad.

During July to November, the ASO Islamabad impounded 95 offending vehicles (vehicles used for carrying smuggling goods) valued at Rs102.77million whereas the Car Cell of the ASO did 19 Non-Duty-Paid (NDP) vehicles priced at Rs88.49million. Assistant Collector told CT that, during above said period, the ASO seized 38,880 yards of fabric worth Rs21.57million while it did 99,366 kilogram of food grains valued at Rs12.79million and the ASO did 7,220 kilogram of tea priced at Rs2.2million.

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KARACHI

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suspect namely Muhammad Ibrahim Oled out from the Customs Taxation & Anti-Smuggling on Monday when he was produced before the court in a case of attempting to smuggled/ non-duty paid contraband foreign cigarettes from Iran to Karachi.

According to the details, ofOicials of the Anti-smuggling Organisation has produced suspects bus driver namely Bashir and cleaner Muhammad Ibrahim before the court for seeking physical remand, however, when investigation ofOicer of this case was in court than suspect namely Muhammad Ibrahim Oled out from the corridor of the court, sources said hand-cuff was free in his hands, therefore, he easily escaped from the court.

According to the sources, during his escaped no one customs ofOicials tried to arrest him instead of dozens of ofOicers and staff members of customs department were there.

It needs to the mentioned here that both suspects were produced be-

fore the court on Saturday and court had sent them to customs department on physical remand till Monday, during the hearing, investigation ofOicer had informed the court that

on credible information, ofOicials of the customs department intercepted a bus which was coming from Quetta and during the search, recovered huge quantity of foreign brand ciga-

rettes from their possession. After his arguments, court had sent them on physical remand and directed him to produce them on next date of hearing along with progress report.

iHc reserves verdict of case involving field office of fBr ISLAMABAD

The ASO further confiscated 691 smuggling tyres and tubes valued at Rs2.3million and 16,964 pieces of auto-parts worth Rs7.2million. The ASO impounded 1,808 alloy rims priced at Rs0.51million and it also did 1,315 liters of Mobil oil worth Rs0.233 million. Assistant Collector ASO further told CT that, during first five months of FY17-18, the ASO confiscated 4,590 cartons of fake cigarettes priced at Rs3.7million while it did 9,114 numbers of electronic goods valued at Rs19.86million, 324 blankets worth Rs0.102million, 4,392 numbers of toys priced at Rs0.421million and various other smuggling goods worth Rs42.6million.

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slamabad High Court benches reserved decision on a customs case and dated in ofOice hearing of other cases during Oirst week of December involving Oield ofOices of Federal Board of Revenue (FBR).

In this regard, IHC bench comprising Justice Shaukat Aziz and Justice Mohsin Akhtar reserved decision on M/s Pakhtoon’s customs case. The appellant had filed the case against Model Collectorate of Customs, Islamabad.

The bench also directed FBR field office, MCC and the appellant to submit record on the case in order to assist the court. Justice Aziz’s single bench also heard another customs case filed against MCC by Ehsan ur Rehman. Justice

Athar Minallah and Justice Miangul Hassan relisted a customs reference for hearing. IHC bench issued directives in this regard while hearing a case against Customs Appellate Tribunal. M Zubair, the appellant had challenged tri-

bunal’s decision before the bench.

Meanwhile, the bench dated in office hearing on M/s Dancom Pakistan’s case. M/s Dancom Pakistan had filed the case challenging an announcement made by the Appellate Tribunal Inland Revenue

(ATIR)-through which it had sustained decision announced by the department’s adjudication pertaining to the show cause notice to M/s Dancom Pakistan for outstanding tax recovery. Through both the references, M/s Dancom Pakistan had named chief commissioner Inland Revenue, LTU, assistant commissioner Inland Revenue Withholding, LTU, Commissioner Inland Revenue (Appeals), LTU, and Federation of Pakistan through the chairman of Federal Board of Revenue (FBR) as respondent in the case. Showcause notices had been issued for the tax year 2016 in head of income tax under sections of income tax ordinance, 2001. M/s Dancom Pakistan had prayed the court to direct LTU not to recover the said amount and abstain from any coercive action in this regard.

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Superintendent Siddiqullah to retire on March 11 Tuesday December 19, 2017

National nAB registers case against ex-pML-n MnA over rs137m land scam

ISLAMABAD: Siddiqullah, a Pakistan Customs Service officer of BS-17, is going to stand retired from the government service on attaining the age of superannuation.

The officer, presently posted as Superintendent at Model Customs Collectorate, Peshawar, will stand retired from the government service on March 11, 2018.

Two officers return to fBr after serving 5 years in prA

PESHAWAR

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LAHORE

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akistan Muslim LeagueNawaz (PML-N) former member of the National Assembly Sardar Mushtaq has been booked along with 14 others in a reference filed by Khyber Pakhtunkhwa Ehtesab Commission on charges of corruption and illegal practices involving more than Rs137 million in the acquisition of land for construction of the Workers Welfare Boards (WWB) Labour Complex in Haripur. According to details, Director General, Khyber Pakhtunkhwa Ehtesab Commission came to know about the huge embezzlement by the public office holders of the Revenue Department and WWB in active connivance of the private land owners whereby an inferior kind of land was incorrectly shown as converted into superior kind of land and caused a colossal loss to the public exchequer.

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pakistan hosts 28th meeting of rpc of eco countries akistan hosted the 28th Regional Planning Council (RPC) meeting of the Economic Cooperation Organization (ECO) Member States here from December. The RPC of ECO is comprises of the heads of planning organizations of member states and meets at-least once a year prior to the annual meeting of the Council of Ministers. The meeting was discuss of basic strategies, policies and plans in accordance with the objectives and principles of regional cooperation laid down in the Treaty of Izmir, as well as policy guidelines of the Council of Ministers, said a press release received from FO. –CB Report

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ommissioner (Appeal) Punjab Revenue Authority (PRA) Shehzad Mehmood Gondal and Deputy Commissioner Gujranwala PRA Zaka Ullah have relinquished the charge of their ofOices to join their parent department- the Federal Board of Revenue (FBR) Headquarters Islamabad.

Both the ofOicers, who joined PRA of the Government of Punjab, in December 2012 on a Oive-year deputation, are likely to join further postings in the FBR in days to come. Two notiOications in this regard were issued by the PRA, Finance Department Punjab on Wednesday last. Mr Gondal, who is a BS-19 Inland Revenue Service (IRS) ofOicer and Addi-

tional Commissioner by designation, is considered among the pioneers

of establishing the PRA in the light of the 18th Constitutional Amend-

ment and transfer of Sales Tax on Services (STS) to the provinces.

ASo peshawar takes into possession nDp & offending vehicles, contraband items D

PESHAWAR

TAriQ DerYA

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uring the Oirst week of December Financial Year 2017-18, the Anti-Smuggling Organization Peshawar impounded a big quantity of smuggling foreign origin goods, offending and Non-Duty-Paid vehicles worth Rs20.00million.

According to details given by sources of the Anti-Smuggling Organization (ASO) Peshawar that, during Oirst week of December Financial Year (FY) 2017-18, the ASO Peshawar took into possession a big quantity of foreign origin smuggling goods valued at Rs9.7million whereas it did three Non-Duty-Paid (NDP) vehicles priced at Rs6.6million. The ASO Peshawar impounded six offending vehicles (vehicles carrying smuggling goods) worth Rs5.2million from different

locations of Khayber Pakhtoon Khaua (KPK). The ASO Peshawar is working day and night to dis-

courage the smuggling trend in the region through seizures of nonduty-paid and contraband items.

Sources added that the basic purpose of the anti-smuggling drive is to promote the legal business.

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PRA issues notices to LCB, WCB for tax recovery LAHORE: The Punjab Revenue Authority has issued show-cause notices to Lahore Cantonment Board and Walton Cantonment Board on non-compliance of Punjab Sales Tax rules. Both the cant boards were already issued several notices of non-payment of withholding taxes and were fined Rs 25,000 each. It is also worth mentioning that both the boards were given several opportunities through legal notices for submission of contractual details but the same was not provided and no reply has ever been submitted.

From available record it was revealed both LCB and WCB received taxable services from various contractors from 1st July 2016 onward, but both failed to withhold and deposit Punjab sales tax as per Punjab Sales Tax on Services Act 2012.

foreign Direct investment rises by 57pc KARACHI

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oreign Direct Investment (FDI) has increased by 57 percent during the first five months of current fiscal year due to heavy inflows from China.

The FDI increased to $1,146 billion during July – November 2017 as compared with $729.4 million in the corresponding months of the last year, according to data released by State Bank of Pakistan (SBP) on Friday. The FDI from China registered phenomenal growth of 285 percent growth to $837.4 million in first five months of current fiscal year as compared with $217.3 million in the same period of the last fiscal year. The ongoing projects under China – Pakistan Economic Corridor (CPEC) enhanced the FDI in sectors including power and construction. The inflows of

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FDI in power sector registered growth of 151 percent to $539 million during July – November 2017 as against $214.5 million in the same period of the last year. Similarly the FDI flows in construction sector rose by around six times to $271.3 million during the first five months of the current fiscal year as compared with $38.9 million in the corresponding period of the last fiscal year.

Meanwhile, The Sensitive Price Indicator (SPI) based weekly inflation for the week ended on December 14 for the combined income groups increased by 0.34 percent as compared to the previous week. The SPI for the week under review in the above mentioned group was recorded at 225.65 points against 224.89 points last week, according to the latest data released by Pakistan Bureau of Statistics As compared to the corresponding week of last year, the SPI for the combined group in the week under review witnessed increase of 2.83 per cent.

National

nAB to investigate Multan Metro Bus project, piA plane sale

TDAp supporting business sector to improve product: Dg ISLAMABAD

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rade Development Authority of Pakistan (TDAP) is endeavoring to support and assist the business sector to help improve the quality and value of the products.

This was stated by Shazia Akram, Director General, Trade Development Authority of Pakistan (TDAP), Sub Regional Offices while talking to a 21-member delegation of officers from 22nd Senior Management Course (SMC) who visited TDAP Lahore.The DG said that TDAP was carrying out all efforts to help the business community enhance their business potential through their effective participation in the international exhibitions and delegations.

“Awareness seminars and workshops are also being arranged by the TDAP to educate the entrepreneurs about the latest trends regarding the global trade markets and to make them sensitize about the trade potential which exists in the distant markets of the world”, she added.

Earlier, Deputy Director TDAP, Asmma Kamal, gave a detailed presentation on the working of the TDAP.

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ISLAMABAD

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t his Oirst executive board meeting after assuming charge of the ofOice of National Accountability Bureau (NAB) chairman, retired Justice Javed Iqbal ordered inquiries into alleged corruption in the Multan Metro Bus Project (MMBP), the New Islamabad Airport, the sale of PIA aircraft and money laundering activities at the Habib Bank’s New York branch, besides taking several other important decisions. The meeting gave approval to eight inquiries and two investigations into various corruption cases.

Recently, a Senate panel decided to expand the scope of its investigation into alleged corruption of $17.5 million in the Multan Metro Bus Project (MMBP) and the transfer of money abroad, as fresh details revealed a link between a top ofOicial of China-based Yabaite Technology Company Limited and the Yabaite Pakistan Construction Group Private Limited. The Yabaite-Pakistan is among three companies working on the Rs17.6bn ($167m) MMBP. The China-based Yabaite Technology is also facing a probe by the China Se-

Tuesday December 19, 2017

curities Regulatory Commission (CSRC) over alleged violation of Chinese securities laws.

The NAB has already approached the Federal Investigation Agency (FIA) to ask for complete records of the MMBP after initiating a probe.

On a complaint of the Securities and Exchange Commission of Pakistan (SECP), the FIA had in September started probing allegations of money laundering and corruption within the project, and in October the NAB chief ordered the Bureau to initiate a probe.

The FIA sent the State Bank of Pakistan (SBP) and the SECP several letters requesting records of the project’s executing Oirm Yabaite and details of 16 international companies involved in money exchange over the past few years.

The FIA investigators have recorded the statements of Sheikh Ijaz Asghar and Salman Iqbal of Yabaite Pakistan. The police had arrested the suspects after registering a first information report against them for fraud in connection with the MMBP.

court seeks investigation challan of smuggling accused

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LAHORE

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he Special Federal Court of Customs Taxation and AntiSmuggling has asked the investigation team of customs investigation and prosecution to complete an investigation challan of the accused in the next hearing of the case of money laundering. The court has approved a 14-day judicial remand of the accused arrested in the currency smuggling case.

An accused Faisal Hussain was held by the customs preventive authorities at the Allama Iqbal International Airport Lahore. The cus-

toms authorities, during a search of his luggage, found a huge quantity of currency. Accused Faisal Hussain was trying to smuggle currencies of Rs2million. The customs authorities

found dollars, Euros, Pounds and Pakistani currency in his luggage.

The customs investigation team had presented him before the customs court for getting his physical re-

mand to investigate more on the issue that was granted by the court.

After the completion of the remand, the customs team had presented him again before the court and told it that all the investigation has been done so the court can send him to jail. The customs preventive apprehended the accused who was making an attempt to smuggle said currencies from Lahore into Europe. The customs investigation team had presented him before the court of special judge of customs taxation and anti-smuggling Shakeel Ahmad and asked for his judicial remand for14 days.

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World Customs

Tuesday December 19, 2017

Japan finalizes income tax reform plan, TOKYO: A fiscal 2018 tax plan endorsed by Japan’s ruling parties settles details of a shift in income tax burdens while recognizing that further adjustments will have to come down the road as the labor market charges.

The tax panels of the ruling Liberal Democratic Party and junior partner Komeito adopted the outline’s general framework in a conference Tuesday.

“We won acceptance on all points,” Yoichi Miyazawa, chair of the LDP’s tax commission, told reporters after the meeting. The ruling coalition is set to formally approve the plan Thursday.

chinese customs seize over 360 kg of smuggled ivory

SA plans to maintain oil supplies in Jan at 6.9m bpd RIYADH

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SHANGHAI

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ustoms in south China’s Guangxi Zhuang Autonomous Region have conOiscated more than 360 kilograms of ivory smuggled from Africa and detained three suspects.

The 165 elephant tusks, worth more than 29 million yuan (4.4 million U.S. dollars), were illegally shipped to the city of Pingxiang on the China-Vietnam border on the night. They were seized by customs ofOicers in the raid of a rural house early on Nov. 14, a spokesperson for the customs bureau in Nanning, the regional capital, said.

Among the ivory pieces, the heaviest weighs 8.8 kilograms and the longest is almost one meter long.

Chinese customs has been cracking down on the smuggling of ivory, which is listed by the Convention on

russia to overhaul taxation of oil and gas regime ussia’s Energy Ministry has announced that changes to the tax treatment of the oil industry will take place, but potentially not until 2019. Currently, the industry is taxed on exports and through a mineral extraction tax, imposed on the amounts of oil and gas extracted, which is adjusted according to global oil prices and levels of oil reserves. Legislation presented on November would impose a tax based on the profits of oil and gas firms, although the rate has not yet been specified. Reports have suggested that the new tax, if approved, will initially be introduced in several key areas, including oilfields that currently face lower export duties, depleted fields in Western Siberia, and new deposits in Eastern Siberia. –CB Report

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International Trade in Endangered Species of Wild Fauna and Flora.

In 2016, the amount of smuggled ivory seized in China fell 80 percent from previous peak years, according to the State Forestry Administration. Chinese law stipulates that the smuggling of precious animal products worth more than 1 million

yuan may lead to punishment of over 10 years imprisonment or a life sentence. China will stop commercial processing and sales of ivory by the end of this year. Last year, it imposed a three-year ban on ivory imports in an escalated campaign against illegal trading of wild animals and plants.

philippines posts biggest ever trade gap as imports surge,

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he Philippines posted its widest monthly trade deOicit on record as imports rose at their fastest pace in Oive months, but exports rose rapidly as well a positive sign for one of the world’s fastest-growing economies. The Southeast Asian nation had a trade gap of $2.84 billion in October, wider than the previous record of $2.74 billion posted in May this year, Philippine Statistics Authority (PSA) data showed. Imports

rose 13.1 percent, driven by hefty purchases of iron and steel, chemicals, electronics, fuels and lubricants, telecommunication equipment and electrical machinery, pointing to strong domestic activity. Exports grew 6.6 percent in October from a year ago, driven by double digit gains in six of the top 10 commodities, notably gold, electronic equipment and parts, metal components, mineral products and bananas. –CB Report

audi Arabia, the world’s top oil exporter, plans to maintain its crude oil shipments in January at 6.9 million barrels per day, an industry source familiar with the kingdom’s exports plans told Reuters. Oil demand is “robust and healthy” particularly in Asia, the source said. The Organization of the Petroleum Exporting Countries and non-OPEC producers led by Russia agreed last month to extend oil output cuts until the end of 2018 as they try to clear a global oil glut while signaling a possible early exit from the deal if the market overheats.

Meanwhile, The balanced performance of Saudi stock exchange is expected to propel monetary liquidity for the aim of investment in listed Oirms during the coming period. The Saudi index closed Thursday’s trading at 7,085 points amid

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trading of monetary liquidity of SAR5.1 billion (USD1.36 billion), an enhanced liquidity compared to averages shown during the past three months. In a related matter, up to 30 Saudi establishments are subject to quarterly evaluation by Saudi Export Development Authority. This assessment evaluates the exportingreadiness of the establishment and analyzes the current condition and potential enhancement opportunities that grant the Oirm a competitive advantage in accessing the Oield of exporting and global markets.

According to a statement issued Thursday, a number of Oield visits were carried out to the Oirms, which were provided with a detailed analysis of the Oirm, its points of weakness, progress opportunities and a number of recommendations to increase readiness. Firms participating in the assessment come from diverse sectors, covering the basic target sectors in the national export strategy, such as petrochemicals, food, medical industries and construction items.

iran steel exports climb 27% ajor Iranian steelmakers exported 4.56 million tons of semi-Oinished and Oinished steel products during the Oirst eight months of the current Oiscal year, registering a 27% growth compared with last year’s corresponding period, the Iranian Mines and Mining Industries Development and Renovation Organization reported.

The export volume for Aban, the eighth month of the Iranian year, stood at 584,847 tons, up 57% yearon-year. Iranian steelmakers’ shipments were continuously on the rise month-on-month save for Mehr and Ordibehesht, the seventh and the

second month of the Iranian year respectively.

The IMIDRO data, released this week, are included in a preliminary report on large-scale exports. A more comprehensive and detailed version, including smaller private mills’ performance, often follows in about two weeks’ time by the Iranian Steel Producers Association.

Khouzestan Steel Company zoomed past all rivals in the period under review, as it exported 1.73 million tons of slab, bloom and billet, up 57% YOY. KSC has sustained a double-digit growth each month so far this year. –CB Report

iran, Turkey to discuss ‘terrorism’ and smuggling

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TEHRAN

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Turkish delegation is visiting Iran to focus on border security issues like smuggling, terrorism, and border security. Turkish Interior Minister Suleyman Soylu and Iranian counterpart Abdolreza Rahmani

Fazli will meet on Saturday in Tehran, Turkey’s Hurriyet News reported. They will discuss cooperation on border security as well as the “fight against terrorism” and smuggling. Turkey’s Gendarmerie Forces Commander Gen. Aric Cetin and General Director of Security Salami Latino will also be present. The meeting comes on the heels of a rash of violence in

the two countries’ border region.

Kurdish news agencies reported smugglers, known locally as kolbars, were recently fired upon in Iran’s Urmia Province. Also, Iran’s foreign ministry confirmed that an Iranian border guard was killed and four others wounded in Maku, near the border with Turkey. Turkish sources blamed the attack on a Kurdistan Work-

ers’ Party (PKK) affiliate, PJAK, the Kurdistan Free Life Party which operates in Iran. Several armed Kurdish groups are active in the mountainous border region between Turkey, Iran, and the Kurdistan Region. Ankara and Tehran have recently promised increased security cooperation in the border region, and Turkey has said it plans to build a border wall.

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Four ships take berth at Port Qasim KARACHI: Shipping activity remained active at the Port where four ships. Majestic Sky. APL Howalia and Caspian Gas carrying Containers, Soya bean, LNG LPG were arranged berthing at Qasim international Container Terminal, Grain & Ferilizer Terminal, Engro Elengy Terminal and SSGC Terminal respectively on Sunday, 2017. While six more ships, E.R Felistowe, MSC Vittoria, APL Antwers, Sakizaya Miracle, New Century and Loggonda scheduled to load/offload Containers Cement, Coanola seeds and Diesel oil also arrived at outer anchorage of Port Qasim during last 24 hours. Berth occupancy was maintained at the Port at fifty nine percent on Sunday where a total of tenn ships namely, G.H Chinook, APL Norway.

port of ravenna trade recovers during Q3o he port of Ravenna’s main business is bulk cargo. Of its eighteen terminals, dry or liquid bulk cargo handling represents the predominant activity for seventeen of these. But the port also houses a container and car terminal, which is run by the Contship group, and has been looking to expand its ro-ro business, a very significant sector for the Adriatic. 2017 had begun with an overall decrease in trade (-2.5% in the first half, compared to the same period of 2016). By the end of the third quarter this downward trend had recovered to one of just 0.3%, with 19,276,710 tonnes moved over the nine months, in line with what its port president, Mr. Rossi, had predicted towards the middle of the year. “The causes for the slowdown experienced in the first six months have been addressed, such as the blockage in the

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outer port which had restricted navigation, and the general economic situation in the markets seems to be heading towards a gradual recovery.”

An ongoing debate centres on a new event for the Adriatic shipping sector in 2017, namely the inclusion of this region as Europe’s gateway terminal in China’s New Silk Road, the grandiose infrastructure development project promoted by that country’s government. Currently, Ravenna is looking like it may be up to the task of joining the process, but, to do so, needs to build networks with other ports in the region. It’s perhaps no coincidence that, recently, Ravenna’s new Port System Authority, led by Daniele Rossi, decided to re-join NAPA, the North Adriatic Ports Association. –CB Report

Ports & Shipping

Sri Lanka hands over Hambantota to china merchants port holdings COLOMBO

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he close relationship between Sri Lanka and China was underlined recently by the formal handover ceremony to mark the transfer of control over Hambantota port to China Merchants Port Holdings. This follows a deal signed earlier this year which granted a 99-year lease to the southern port to the Chinese company.

Hambantota had originally been opened in 2010, and expanded in 2012, but has struggled to secure significant levels of cargo traffic and the government of Sri Lanka was incurring heavy losses as a result. It is hoped that the agreement will breathe new life into the deepwater port, which is strategically located close to the main shipping trade lanes between Asia and Europe. CMPH has agreed to invest up to US$ 1,120 million into Hambantota port, including US$ 973 million for an 85 per cent stake in

Hambantota International Port Group (HIPG), a subsidiary of the Sri Lankan Port Authority. This money is to be paid in three tranches within 6 months from start of the concession. HIPG will own all port assets and manage day to day operations. It will also be responsible for developing Phase 3, and any further expansion

of Hambantota port. Following the first two phases of development, Hambantota has 10 berths with a quay length of around 3500 m, which can handle containers, dry bulk, ro-ro and general cargo. The water depth alongside the quays and in the navigation channel is 17m, allowing the port to handle large, new generation vessels.

Tuesday December 19, 2017

kpT chairman calls on Sindh governor hairman of Karachi Port Trust (KPT) Rear Admiral Jamil Akhtar called on Sindh Governor Mohammed Zubair at Governor House.The Governor said, on the occasion, that the federal government is working on priority basis on the development of the KPT. He said that the development of the Karachi Port in accordance with the modern lines is need of the hour, said a statement on Tuesday. The Governor said that due to the natural port, the city is the centre of the economic activities and Karachi has importance owing to the import and export of various products. Exchanging views on the China-Pakistan Economic Corridor (CPEC), the governor said that after the completion of the CPEC projects besides other parts of the country Karachi also will witness an improvement in the economic activities. Governor Zubair said that for the development of the port many projects have been planned including a port elevated expressway through which traffic burden within the port will decrease. –CB Report

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port of Toledo posts impressive numbers TOLEDO

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he Port of Toledo is one of the largest on the Great Lakes, and business is booming this year.

Grain, aluminum, iron ore and petroleum coke are just some of the products moving in and out of Toledo. A study shows that about 7,000 jobs are tied to the Port of Toledo, and it has a nearly one billion dollar economic impact on the region. More iron ore moves through the port than any other commodity, and this year’s iron ore numbers are up considerably from last year.

Joe Cappel is the Vice President of Business Development at The Toledo-Lucas County Port Authority, “When you see a lot of ore boats in Toledo, that’s a good sign for the domestic production of steel.”

There have been a lot of ore boats

in Toledo this year. Last year freighters hauled about 1 million tons of iron ore to Toledo. This year that number has already hit about 3 million tons, and the season isn’t over yet. Paul Toth is the President and CEO of the port, and he says it’s not just iron ore shipments that are up,”We’ve seen an increase in virtually everything this year.” Cappel says the numbers are encouraging for the entire region,”In normal years when something is way up, other things are down. This year everything seems to be pretty far up. We have worked hard to strike a balance at the port through the years Our imports are balanced with our exports. Our domestic shipments are balanced with our shipments to and from Canada. It is great to be able to handle so many commodities and ship them to so many places all over the globe.”

While the port’s entire portfolio

of commodities is doing well, the iron ore numbers are about to get even bigger. Cleveland Cliffs is building a new facility along the banks of the Maumee River. Crews were doing prep work on the site today, and construction is expected to start next spring. Toth says it’s a $700 million investment that means about 1,200 construction jobs and 120 permanent workers, “That will bring an additional 100 vessels every year to the Ironville dock. Just four years ago that dock lay vacant, it was an old reOinery site.”

Cappel says those vessels will be carrying in a signiOicant amount of iron ore,”In 2020 when Cleveland Cliffs is fully operational, there will be an additional two million tons of iron ore added to what we are handling today. When you count all of the cargo coming into the port, that totals between 8-12 million tons in a season.The additional two million

tons of iron ore will certainly be a sizable addition to that overall number. ” In addition to the Cleveland Cliffs construction, Toth says there will also be other work done at the port next year, “Our port was built in 1956 and 1957, so it’s time to build some new facilities and renovate some of the existing sites. We are committed to investing in our future.”

The goal is of course to continue expanding the port of Toledo. Although there are no speciOic details about any new projects at this point, Cappel says there is plenty of room for new growth, “A lot of ports are restrained by other waterfront development.

We have a large industrial area and a lot of room to grow.” That’s good news for the entire region. As we mentioned, an economic impact study about six years ago revealed that thousands of jobs are tied to the port with an annual economic impact of about one billion.

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SBP injects Rs1802.450b into money market Tuesday December 19, 2017

Business

KARACHI: State Bank of Pakistan (SBP) on Friday injected Rs 1802.450 billion into money market for seven days as reverse repo through its open market operation.

According to an SBP press release, the rate of return accepted is 5.77 percent per annum.

Zubair visits uk for promotion of investment KARACHI

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overnor Sindh Mohammad Zubair has left for a weeklong visit to the United Kingdom to motivate British investors for investment in various sectors in the province.

A statement here said his visit was part of road shows being organised to promote Pakistan and specially Karachi as an ideal investment place.

These road shows were being conducted to highlight businessfriendly policies of the federal government for foreign investment.

The governor Sindh had already

LDA DD remanded in nAB custody LAHORE

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visited Doha, Dubai, New York, Houston and Washington DC for

Banking sector investments increase by 1.8 percent in Q3cY17

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n accountability court has handed over a deputy director of Lahore Development Authority (LDA) to the National Accountability Bureau (NAB) on a nine-day physical remand in Mustafa Town scam. Earlier, the NAB officials produced Deputy Director Ahmad Khan before the accountability court judge and submitted that the accused, in connivance with others, illegally transferred bogusfiles of Mustafa Town. The officials requested the court to grant physical remand of the accused for interrogation.

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holding such road shows. He would also meet British investors

in London and Manchester as well as the Pakistani community there.

Zubair would hold meetings with British Trade Minister Greg Hands, State Minister at Foreign and Commonwealth Office for Asia and pacific and Trade Envoy, Rehman Chisti. A salient feature of his visit is his meetings with the heads of various universities.

He would go to Lincoln’s Inn University of Law and St. Marry University during which close cooperation for promotion of higher education would be discussed. The governor Sindh, during his stay there, would hold meeting with London Mayor Sadiq Khan. He would also visit British parliament and attend a presentation on investment at Queen Elizabeth Legacy Park.

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ISLAMABAD

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he overall net investments of the banking sector surged by 1.8 percent during the third quarter (Q3) of calendar year 2017 against decline of 2.5 percent in the same period of last year.

Investment in government securities have remained the prime driver behind investments growth, ofOicials data revealed.

Following the recent trend, banks have continued to invest in short-

term Market Treasury Bills (MTBs) and have divested from Pakistan Investment Bonds (PIBs) and Sukuks (PKR 11.7 billion) during Q3CY17, according to Quarterly Performance Review of the Banking Sector issued by the State Bank of Pakistan.

Consequently, the share of MTBs (in total net investments) has increased to 52.6 percent in Q3CY17 compared to 42.0 percent in Q3CY16 while the share of PIBs in total investments has declined to 35.3 percent, the data revealed.

The offer-to-target ratio (for PIBs auctions) has declined to 0.36

in Q3CY17 from 3.32 in Q3CY16, which reOlects reduced banking sector interest in long-term government securities. There is a change in government’s maturity preferences for budgetary borrowings.

The target amount for PIBs auction of PKR 300 billion in Q3CY17 was signiOicantly lower than the PIBs maturity of PKR 772.6 billion, representing abated interest of government in long-term borrowings.

According to the report, Higher investments in MTBs could also be seen as a market risk management strategy by banks.

cM lauds expats’ role in strengthening of economy LAHORE

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unjab Chief Minister Muhammad Shehbaz Sharif said the expatriate Pakistanis were the ambassadors of the country and they play an important role in strengthening of the country’s economy. According to a handout has issued, the chief minister was talking to a delegation of overseas Pakistanis in London. Overseas Pakistanis Commission Punjab had been set up by the government to solve the problems of expatriate Pakistanis and this institution was discharging its duties to protect the hardearned money of overseas Pakistanis. Shehbaz Sharif said Pakistan was facing numerous problems and the PML-N government was making efforts to steer the country out of these problems and put it on the path to progress.

He said he was confident that Pakistan would become a great country soon despite all challenges and problems. He said the efforts of the PML-N government to eliminate terrorism and overcome energy crisis had produced positive results, adding great achievments had been made in the war against terrorism with the coordination of civil and military leadership.

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finance Division provided rs6339m to execute its projects ISLAMABAD

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he government has so far released Rs 6339.689 million for various ongoing and new projects of Finance Division under the Public Sector Development Programme (PSDP) for the current Oiscal year (2017-18).

The government in its Federal PSDP had earmarked Rs 23076.927

million for the Finance Division projects, with foreign exchange component of Rs 715.402 million, ofOicials sources said.

According to details, the government released Rs 3822 million for Greater Karachi Water Supply Scheme which was being developed by provincial and the federal government on cost sharing basis. The government had earmarked Rs 9555 million for the project under the PSDP of the current Oiscal year,

the data revealed.

An amount of Rs 600 million have been released for Greater Karachi Sewerage Plant (S-III) Karachi which is being developed on cost sharing basis. The government had earmarked Rs1500 million for the project in PSDP2017-18.

The government also released Rs 200 million each for Gwadar Development Authority and for a project to provide necessary facilities of fresh water treatment, Water Supply and

distribution at Gwadar under CPEC. An amount of Rs 300.188 million has been released for two Power Plants from Syngas (IGCC 2009) in Tharparker, with each plant having capacity of producing 50 megawatt electricity. The total cost of this project had been estimated at Rs8898.7 million, out of which Rs 300.188 were earmarked in the Oiscal year 2017-18, which has already been released. Ana mount of Rs300 million have been released for development works in

Phoolnagar and adjacent areas while an amout of Rs250 million have been provided for Olyover on Hala road bypass Patoki overhead bridge connecting rural areas with Pattoki city. The government also released Rs137.335 million for bridge over Balloki Sulemanki Link at viallage Balloki to connect that entire areas with motorway and district Nankana while and amount of Rs150 have been released for construction of dual carriageway in Phoolnagar district Kasur.

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Disney set to seal $60b 21st Century Fox takeover LONDON: Walt Disney is close to confirming a deal to buy 21st Century Fox’s entertainment assets for about $60bn, reports say.

The sale would include the 20th Century Fox film studio and the Sky and Star satellite broadcasters in the UK, Europe and Asia. Disney was left as the front runner after Comcast, the NBC owner, dropped out of the race on Monday. The Financial Times said talks about the price were continuing.

CNBC reported that Fox and Disney were on a “glide path” for an announcement on Thursday, according to people familiar with the negotiations. The Murdoch family was said to favour a deal with Disney because it would rather be paid in the entertainment giant’s shares than Comcast stock. A deal with Disney could also face fewer US regulatory hurdles, although it is extremely unlikely to be waved through.

world Bank experts visits Sialkot Tannery Zone

Tuesday December 19, 2017

Chambers

icci for empowerment of women to achieve economic growth

RAWALPINDI

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delegation of the World Bank (WB) experts visited the city here on Wednesdayand discussed matters of establishment of Sialkot Tannery Zone Project with the Sialkot district administration during a meeting held here. While giving the briefing about the Sialkot Tannery Zone Project to the delelgation, DC, Dr Farrukh Naveed, said that the construction of Sialkot Tannry Zone was underway on 396 acres of land near KhambraanwalaSialkot, where all the 250 small and big sized tanneries scattered in and around the city would soon be shifted to the zone. He said that the

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Punjab government was spending Rs 3.47 billion on the project for saving people from the environmental pollution. DC said that a chunk of Rs.1.3 billion was direly needed to install an international standard water treatment plant in this tannery zone, asking the WB delegation to provide these funds at earliest. On the occasion, the experts of the World Bank (WB) showed keen interest in the Project and assured of their early technical and financial assistance. Earlier, the delegation also visited the site of the under completion project near Khambraanwala. MPA Ch. Muhammad Ikram, ADCG Sialkot Meesam Abbas, President Sialkot Chamber of Commerce and Industry (SCCI) Zahid Latif Malik and the senior officials of the Environment Protection Agency (EPA) and Sialkot Tannery Zone were also present on the occasion.

ISLAMABAD

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heikh Amir Waheed, President, Islamabad Chamber of Commerce and Industry said that women were over half of Pakistan’s total population and government should make policies to focus on women economic empowerment in order to achieve sustainable economic growth of the country. He was addressing a 25-member delegation of women that visited ICCI led by Ms. Sadaf Raza, Director, Ideas for Life Trust (IFLT). The women were representing various Oields including entrepreneurs, lawyers, teachers and counselors and were being trained as leaders and entrepreneurs at IFLT. Sheikh Amir Waheed said that advanced countries have achieved rapid economic growth by focusing on women empowerment and stressed that government should make policies to bring women in the mainstream of economy so that they could play more effective role in the national development of our country. He apprised the delegation about

the initiatives of ICCI focused on the promotion of women entrepreneurs.

He said ICCI has established a Women Growth Center to provide guidance and facilitation to aspiring women entrepreneurs in business startups. Muhammad Naveed Senior Vice President and Nisar Mirza Vice President, ICCI said that women have a promising career in entrepreneurship as by starting their own businesses, they could not only achieve

economic independence, they could also create jobs for others. Speaking at the occasion, Sadaf Raza, Director, Ideas for Life Trust said that IFLT was a not-for-proOit organization that offered its resources and expertise to multi-sectoral organizations in the Oields of training, capacity building, resource mobilizing, management, monitoring and evaluation, communication, advocacy and public policy research. She said IFLT was working

South korea hikes top corporate taxes SEOL

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outh Korea has raised the income tax rate for the nation’s highest- Oight inequality and create jobs. The tax vote came just hours before the nation’s Parliament passed a 428.8 trillion won (S$528 billion) Budget for 2018 after midnight in Seoul yesterday.

The Budget is expected to raise revenue by nearly 8 per cent to help fund spending on public sector jobs and social welfare programmes.

Lawmakers agreed to raise the income tax rate on Oirms whose taxable income exceeds 300 billion won to 25 per cent from 22 per cent, the current top rate. The rate on individuals earning more than 500 million won will rise to 42 per cent from 40 per cent.

in the core areas of education rights, women empowerment, youth emancipation, and communication for development. She said that for women empowerment, IFLT was providing training to women so that they could play role of leaders and entrepreneurs in society and contribute effectively towards the nation building. She said the purpose of taking them to different organizations was to expose them.

Asian markets jump as uS tax cuts move step closer sian markets rallied on tracking fresh records on Wall Street, while the dollar held gains as Donald Trump’s much-hyped tax cuts moved a step closer to being passed. The controversial reforms look destined to become the US president’s first major congressional victory as two key Republican holdouts in the Senate decided to back the bill after their demands were met.

The news sent US stocks soaring on hopes the cuts will help fire the already healthy economy and boost company profits. “The odds of the tax cut legislation getting passed within this year have grown,” Shoji Hirakawa, chief global strategist at Tokai Tokyo Research Institute, told Bloomberg News. –CB Report

A While those tax increases count as a modest victory for Mr Moon in his Budget battle with opposition parties, he had hoped to apply the new corporate rate at a lower income threshold of 200 billion won.

Raising corporate taxes runs counter to the global trend. Other countries, including Japan and the United States, are moving to cut them, with American lawmakers set to slash the rate to 20 per cent from

35 per cent. Korea Chamber of Commerce and Industry’s head of corporate policy Kang Seog Gu said it is hard to predict the economic impact of the higher corporate tax rate in the short term. “Theoretically, it is a burden on companies, but it can have a positive impact on corporate activities over the longer term, depending on how the government manages its spending to support consumption.”

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RTO Multan gets Rs 10b tax recovery target for Dec 2017 MULTAN: Regional Tax Office (RTO) Multan has been given the target of Rs 10 billion tax collection for the ongoing month, Dec 2017.

RTO Multan officials said that they were given the target of Rs 6.6 billion for the month of November 2017 and a sum of Rs6.5 billion was recovered. Rs 10 billion target for a month was comparatively bigger but officials have sped up efforts and hope to achieve it within the ongoing month, officials added.

Tuesday, December 19, 2017

CUSTOMS BULLETIN

customs exports recovers rs 6.13 billion from M/s rozeena Traders KARACHI wAQAr AHMeD AnSAri www.customsbulletin.com

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he Customs Exports has recovered evaded taxes and duties amounting to Rs 6.13 million from defaulter companies which were issued with notices to pay the outstanding dues.

Sources told Customs Today that during scrutiny of the import data, it was revealed that M/s Rozeena Traders Hyderabad availed undue beneOits and concessions by importing different consignments and misusing the SRO 467.

The company founded involved in a tax evasion of Rs 3.68 million. After detecting tax evasion, the Customs Exports issued them with Oinal notice on November 27, 2017 to deposit the evaded amount within 14 days.

After receiving the notice, the management of M/s Rozena Traders deposited the evaded amount in the ofOicial account of the Customs Exports on December. On the other hand, the management of the M/s Delawar Aluminum and manufacturing Limited Karachi also cleared Rs 2.45 million of taxes and duties. Sources said the M/s Delawar Aluminum and manufacturing Ltd Karachi also availed undue beneOits and concessions and avoided

paying taxes according to the customs bylaws. The Customs Exports

authorities issued them with a Oinal notice on November 29, 2017. After

receiving the notice, the management of the Delawar Aluminum and manu-

facturing Ltd Karachi deposited the evaded amount of taxes.

wB approves $300 million to lift farm income in punjab: wB ISLAMABAD

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he World Bank approved $300 million to modernize agriculture in Punjab province, Pakistan to raise farmers’ incomes, give consumers better quality and safer food at lower prices, create jobs on farms and agribusinesses, and improve the use of irrigation water.

The resources provided by the

World Bank would be part of a larger programme by the Government of Punjab that aims to better harness the enormous potential for farming in the province, with its fertile soils and extensive irrigation system, said a WB press statement issue here.

The programme would address the paradox that while Punjab’s farmers earn too little, people pay high prices for low quality food, it added. This situation is largely the result of farm policies that have hardly changed in the last 50 years. These include extensive subsidies that are inefOicient and

ineffective, and government spending that does not provide widespread beneOits and results in wasteful water use.

“Agriculture in Punjab has great potential but requires a paradigm shift to unlock growth opportunities,” said Illango Patchamuthu, World Bank Country Director for Pakistan. “The Government of Punjab is determined to help farmers grow high-value crops and signiOicantly increase their incomes.

The programme is estimated to create 350,000 jobs and lift 1.7 million people from poverty. The Bank stands ready to support the Govern-

ment of Punjab in this exciting endeavor,” Patchamuthu added. The World Bank-supported Strengthening Markets for Agriculture and Rural Transformation (SMART) project would support much-needed reforms for agriculture and livestock productivity, improve agriculture’s resilience to climate change, and foster agribusiness in Punjab over the next Oive years. It would also reduce inequality and expand opportunities for women and youth, the statement added. The project will shift PKR 55 billion (about $520 million) a year that is currently spent on inefOicient and ineffective subsidies to-

Published by M S Raza Off# 42, 3rd Flr Gull Plaza M.A Road Karachi, Printed by (Ibne Hassan Offset Printing Press, Shop No. 33 to 36 , Hockey Stadium, Karachi).

wards ‘SMART’ input subsidies for small farmers, agricultural research and farmers’ training, and support for high-value and climate-smart agriculture. Additionally, SMART will help improve the sustainability of agricultural production by strengthening the management of irrigation water, and help tackle ground water depletion. “Key reforms supported by the project include the transition towards high value agriculture, which will substantially raise farm incomes and employment in Punjab,” said Hans Jansen, Senior Agriculture Economist at the World Bank.