Thursday, 21 December 2017

Daily on www.customsbulletin.com

Find us on

pAkIStAN’S FIRSt INDeptH NewSpApeR oN cUStomS

Daily

ABC Certified

Karachi, Thu December 21, 2017

ISLAMABAD

IRFAN BAHADUR

www.customsbulletin.com

T

he Collector Model Customs Collectorate Gul Rahman has taken notice of the demands made by several importers against violation of customs laws while checking the consignments already cleared by dry ports and Cus-

toms Appeasement sections on Tuesday.

Talking with Customs Today Gul Rehman informed that earlier a demand was made by the importers against FC for violation of orders from FBR to open the sealed containers on their way from Karachi Sea Port to Peshawar Dry Port and en-route to Afghanistan via Torkham Border.

The Collector Customs further informed

Vol 2, Issue No. 305

Price Rs. 14.00

that strict actions will be taken against any customs ofQicers found involved in such practice who demand checking of already cleared goods by any section of Pakistan Customs.

The Collector Customs said that evil heads might exist but no soft hand will be kept on them once a complaint reached against any ofQicial of Pakistan Customs violating customs laws.

MCC Islamabad shows reasonable earning by collecting Rs150m revenue

DG Valuation Surriya to revise VR No 881/2016 on January 22

FTO postpones hearing of appeal filed by M/s Al-Moiz Industries

Ahsan says 7,430 human trafficking cases filed in two years

Gwadar Customs seizes mobile phones, accessories worth Rs7.2m

MCC Islamabad earned extra revenue of Rs150m under all the heads against | See pAge 02 |

DG has decided to revise the Valuation Ruling No: 881/2016 on January 22 | See pAge 03 |

FTO has postponed the hearing of a case filed by M/s Al- Moiz Industries | See pAge 04 |

Total of 7,430 cases of human traďŹƒcking have been registered in the country | See pAge 11 |

The Customs Collectorate Gwadar has seized non duty paid mobile phones | See pAge 16 |

2

www.customsbulletin.com

Pakistan Army takes lead in FBR’s Taxpayers Outreach Program Thursday, December 21, 2017

ISLAMABAD: Taxpayers Outreach Program of the Federal Board of Revenue (FBR) has been launched to approach and facilitate taxpayers, being individual employees, through their employers for filing of their returns.

This program is a step towards broadening the tax base in the country. The Pakistan Army took the lead in this respect and subsequently the FBR has started a series of workshops to educate, motivate and facilitate the taxpayers to file their income tax returns.

Islamabad

mcc Islamabad shows reasonable earning by collecting Rs150m revenue

ISLAMABAD

ISLAMABAD

m FAIZAN

tARIQ DeRYA

www.customsbulletin.com

www.customsbulletin.com

he Directorate of Customs Intelligence and Investigation Rawalpindi foiled an attempt to smuggle a huge quantity of imported liquor and impounded 2,400 bottles of expensive fine quality of Johnny Walker, Red Label Scotch whisky, worth Rs23million. The whisky was imported in the name of Tajikistan embassy in Islamabad. The Customs Intelligence Rawalpindi has lodged an FIR and arrested two persons while further investigation is underway. According to details shared with Customs Today by the Directorate of the Customs Intelligence and Investigation that, on the special instructions of Director General Customs Intelligence, Shukat Ali, actions continue against the smuggling on national level. In this regard, a team of Rawalpindi Directorate of Customs stopped a truck No: TKX-339 near Rawalpindi Carriage Factory. During a thorough search of the container, about 900 bottles of said brand and 1,500 bottles of fine quality whisky were found. On demand, the driver of the truck named Saqib produced Goods Declaration (GD) No: 84854 of Model Customs Collectorate Appraisement West Karachi which was in the name of Tajikistan embassy.

T

T

he Model Customs Collectorate Islamabad earned extra revenue of Rs150million under all the heads against a proportional revenue target during the Qirst two weeks of Fiscal Year 201718. According to details given by Saeed Khan Jadoon, Collector Model Customs Collectorate (MCC) Islamabad, that, during above said period, the collectorate showed satisfactory performance.

The collectorate received Rs672.31million against an assigned proportional revenue target of Rs503.53million under all the heads. The MCC Islamabad generated Rs518.61million under the same heads during the Qirst two weeks of corresponding FY 16-17.

The collector told CT that, during the Qirst two weeks, the collectorate collected Rs305.73million of Customs Duty (CD) whereas it was assigned a proportional revenue target of Rs212.88million. The collectorate got Rs176.52million under the same heads during the Qirst two weeks of previous FY1617. Saeed Khan Jadoon told correspondent that the collectorate earned Rs263.58million as Sales Tax (ST) against an allocated proportional revenue target of Rs190.61million. He notiQied CT that the collectorate generated

About 2,400 bottles of Johnny walker valued at Rs23m seized

Rs238.2million of ST during the same period of corresponding December FY16-17. The collectorate received Rs97.92million of Income Tax (IT) against an earmarked proportional revenue target of Rs97.88million during the Qirst two

weeks of December FY17-18 while the collectorate got Rs101.50million as IT during the same period of previous FY16-17. The Collector MCC Islamabad said that the MCC Islamabad collected Rs5.09million of Federal Excise Duty (FED)

against an assigned proportional revenue target of Rs2.16million during the Qirst two weeks of December FY17-18 whereas the collectorate earned Rs2.27million as FED during the same period of corresponding FY16-17.

IHc relists hearing of case filed against customs tribunal

A

ISLAMABAD

cUStomS BULLetIN RepoRt www.customsbulletin.com

Division Bench of the Islamabad High Court on Wednesday relisted a customs matter for hearing Qiled by M/s Sun Diplomatic Bonded Warehouse Private Limited against the Customs Appellate Tribunal Islamabad.

The IHC bench, comprising of Justice Athar Minallah and Justice Mian Gul Hassan, relisted the matter

to be heard later.

M/s Sun Diplomatic Bonded Warehouse Private Limited had challenged an announcement of the tribunal in the IHC. Meanwhile, Justice Aamer Farooq issued fresh notices to parties regarding assisting the court on the matter of M/s Sun Diplomatic Bonded Warehouse Private Limited. The appellant had challenged the act of recovery of said amount by Commissioner Inland Revenue of Large Taxpayer’s Unit Islamabad.

ATIR was also made respondent in the case as the tribunal had up-

held the departmental decision regarding the issuance of show

cause notice and demand of recovery of outstanding tax amount under the head of federal excise duty. M/s Sun Diplomatic Bonded Warehouse Private Limited had prayed the court that the FBR office had issued a recovery notice to the company which did not hold lawful grounds. appellant had prayed the court to declare the act as illegal and without any lawful authority and an interim stay may be granted against the recovery proceedings.

3

www.customsbulletin.com

SHC adjourns hearing in petitions challenging regulatory duty KARACHI: The Sindh High Court has adjourned the hearing of dozens of petitions challenging the imposition of regulatory duty at a rate of 30 per cent on more than 400 items. Earlier, FBR Member Legal Dr Tariq defended imposition of the new tax in the court. The Member Legal submitted that the measure was aimed at increasing the revenue of the federal government which were depleted to a dangerous level. He said that in other countries too, the Minister In-charge has the power to impose such taxes.

The counsel from Franklin Law Associates representing the petitioners said that the issue has been decided in Mustafa Impex case, 2016-SC 804.

customs court sends suspect to jail on judicial remand

Thursday December 21, 2017

Karachi

Dg Valuation Surriya to revise VR No 881/2016 on January 22

KARACHI

m B RANA

www.customsbulletin.com

ustoms Taxation and Antismuggling Court Judge Syed Faiz Rasool Rashdi sent a suspect namely Muhammad Ibrahim to Central Jail Karachi on judicial remand who was fled from the court on Monday. He was booked for attempting to smuggle/non-duty paid contraband foreign cigarettes from Iran to Karachi. During the hearing, the investigation officer produced the suspect before the court and informed that the suspect was escaping to Afghanistan through Chaman border, however, the customs authorities caught him when he was going to the border through a passenger bus.

C

Section 4B of Income tax Act challenged in SHc KARACHI

cUStomS BULLetIN RepoRt www.customsbulletin.com

indh High Court has ordered issuance of notices to respondents in a fresh challenge to Section 4B of the Income Tax Ordinance under which ‘Super Tax’ on persons having income above Rs500 million was imposed. A counsel from Franklin Law Associates appearing for the petitioner Tariq Rafi, owner of Ocean Tower and five others prayed to the court to suspend recovery notices on ground that such a tax cannot be imposed at the strength of the Finance Act. The tax was to be used for welfare of the internally displaced people. The bench today after initial arguments issued notices to respondents for Dec 19 when another identical petition is fixed for hearing. An interim stay is operating in this petition.

S

KARACHI

wAQAR AHmeD ANSARI www.customsbulletin.com

D

irectorate General, Customs Valuation, Director General Surriya Ahmed Butt, has decided to revise the Valuation Ruling No: 881/2016 on January 22, 2018, it is learnt. According to the details, Director General Surriya Butt has said that the department was reviewing suggestions from importers to set new prices of woven/knitted furnishing (sofa & curtain fabric and coated fabric (Qlocking sued). She said that some valuations, which were issued in 2016, were being reviewed from the beginning. Moreover, the valuations will be set in view of rising prices in the international markets. Sources told that a petition was submitted by the importers to Customs Valuation in which change in prices of wooven/knitted furnishing (sofa & curtain fabric and coated fabric (Qlocking sued) was requested.

Sources said the Valuation Ruling No: 881/2016 was issued June 29, 2016. 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.

Meanwhile, The Directorate General of Customs Valuation has revised the customs value of honey

vide Valuation Ruling No 1231/2017 under Section 25A of the Customs Act, 1969. The Director General Customs Valuation vide Order-In-Revision No. 390/2017 dated 20.9.2017 directed to conduct the exercise afresh for re-determination of values of various brands of honey, particularly focusing on the points agitated by the petitioners, and notify the same under Section 25-A of the Customs Act 1969.

Hence, an exercise was initiated by

Director general Surriya Butt has said that the department was reviewing suggestions from importers to set new prices of woven/knitted furnishing (sofa & curtain fabric and coated fabric flocking sued

court grants bail of suspects involved in smuggling

C

KARACHI

cUStomS BULLetIN RepoRt www.customsbulletin.com

ustoms Court Judge Syed Faiz Rasool Rashdi has extended bail of suspects, Syed Hussain Rizvi and Muhammad Rubab Zehra, who were absconders in a case of attempting to smuggle/ non-duty paid mobile phones and caused a loss to the national exchequer to the tune of Rs 25 million.

On the last date of hearing, the

suspects appeared before the court along with their counsels and moved a petition for bail. The counsels argued that their clients were innocent and were falsely been implicated in this case, who were ready to face trail, however, they had apprehension of arrest, therefore, the court might grant them bail till Qinal judgment of the case.

After their arguments, the court had granted their interim bail and issued notices to the customs department and special prosecutor

for customs department to file their respective para wise comments on the next date of hearing.

The court also directed the suspects to appear before the court on the next date of hearing. According to the prosecution, accused are involved in smuggle/ non-duty paid 109 Samsung smart mobile phones, 643 Motorolla, 15 LG Smart Mobile and others goods which were being smuggled from Dubai to Karachi through Jinnah International Airport Karachi.

this Directorate General to determine the customs values of honey.

A meeting for re-determination of customs values of honey various brands was held on 17.10.2017.

The commercial importers participated in the scheduled meeting and presented their view point. The representative of M/s Asian Consumer Care stated that they are importing Dabur brand honey from India and its value in the existing Valuation Ruling.

Stocks drop 108pts in early trading he Pakistan Stock Exchanged (PSX) opened negative and shed 108 points to reach 38276 points level in early trading.

Yesterday, the stocks fell sharply lower on first trading day of the week amid thin activity on concerns for ongoing political noise. The KSE-100 index – as has been the case over the past few months.

T

4

www.customsbulletin.com

Importers concerned over devaluation of rupee Thursday December 21, 2017

Lahore

LAHORE: Pakistan FMCG Importers Association (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 inflation as well as import bill in the country.

Pakistan FMCG Importers Association President Anjum Nisar, and other officials, 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 petroleum products thus making electricity more expensive besides increasing the cost of different raw material for the local industry.

customs court asks investigation team to present witnesses LAHORE

m ImRAN meHAR

www.customsbulletin.com

T

he Special Federal Court of Customs Taxation and AntiSmuggling has adjourned a hearing of an alleged tax evasion case on Monday and asked the investigation team to present the witnesses in the next hearing.

Accused Muhammad Saqlain was involved in an under-invoicing in the import of goods. He was arrested while trying to Qlee from the country.

Last month, the customs court approved his bail against the surety bonds of Rs500000. Accused Muhammad Saqlain paid his bonds of Rs500000 and the court allowed him to go. On the other hand, the Special Court of Customs Taxation and AntiSmuggling on Thursday heard 16

10.68m cotton bales reach ginneries, arrivals up by 5% eed cotton (Phutti) equivalent to 10.68 million or 10,685,981 bales have reached ginneries across Pakistan till Dec , 2017, registering an increase by 5.3 per cent compared to corresponding period of last year. According to a fortnightly report of Pakistan Cotton Ginners Association (PCGA), out of total arrivals, 10.07 million or 10,074,255 bales have undergone the ginning process.

Arrivals in Punjab were recorded at 6.5 million or 6,549,612 bales recording a percentage increase of 1.63 per cent. Arrivals in Sindh were recorded at 4.13 million or 4,136,369 bales, some 11.70 per cent higher compared to corresponding period of last year.

Total sold out bales were recorded at 9.06 million (9,062,641) bales including 8.84 million (8,849,911) bales bought by textile mills and 213,630 by exporters. –CB Report

S

cases including pre-arrest bail pleas Qiled by suspects. Most of the cases were postponed without any proceedings as the parties and lawyers concerned did not appear in the court. Hearing of pre-arrest bail pleas Qiled by accused Abdul Aleem and Ali Arbaz were put off for new dates in the next week. A case against Shaukat Ali was also scheduled for hearing in which court recorded the statements of the parties. Final arguments and statements of the parties concerned in a case of smuggling against RaQique Ali were also scheduled for hearing which is rescheduled for next week.

Meanwhile, The Special Federal Court of Customs Taxation and Anti-Smuggling has asked the investigation team of customs to submit an investigation challan of a case of mobile-phone smuggling worth Rs6million. Earlier, the court has approved the post-arrest bail pleas of the accused and released them.

customs Appellate tribunal reserves verdicts of three cases

LAHORE

SAJID NAwAZ

www.customsbulletin.com

T

he Customs Appellate Tribunal, Single and Double Bench, heard 13 cases on

Wednesday and adjourned all for different dates without those cases whose verdicts were reserved.

The Single Bench-II heard seven cases and reserved verdicts of four cases and adjourned hearings of three cased till next date of hearing.

The cases postponed by next date include Habib Ullah versus Customs

T

Faisalabad, Directorate Post Clearance Audit (PCA) Lahore versus Elahi Corporation and Directorate Post Clearance Audit (PCA) Lahore versus Nagina Corporation. All these three cases have been adjourned by January 10, 2018.

The cases whose verdicts were reserved include Directorate Post Clearance Audit (PCA) Lahore versus Yahya Sports, Customs Lahore versus Muhammad Javaid, Directorate Post Clearance Audit (PCA) Lahore versus Unique Enterprises and Directorate Post Clearance Audit (PCA) Lahore versus Alma Impex. The verdicts will be announced very soon. The Division Bench-II, comprising Muhammad Shabbir Gujjar, Member Judicial and Imran Tariq, Member Technical, did not hear any case and adjourned all six cases by next date of hearing. The cases of Roshan Packages versus Collector Customs Lahore , Director Intelligence and Investigation Lahore.

court seeks investigation challan against customs tribunal hears 10 cases accused in money laundering case he Customs Appellate Tribu- vestigation Faisalabad.

T

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

Accused Faisal Hussain was held by the customs preventive authorities at the Allama Iqbal Interna-

tional Airport Lahore. The customs authorities, during a thorough search of his luggage, found a big quantity of currencies. 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 remand to investigate more on the issue that was granted by the court. –CB Report

nal heard 10 cases on Thursday and adjourned all the cases to different dates and reserved the verdict in few cases.

According to the details, division bench-II comprising Omer Arshed Hakeem, Member Judicial and Imran Tariq Member Technical heard seven cases, including Directorate of Intelligence and Investigation Faisalabad versus Gul Gan, Jameel Brothers versus Directorate of Intelligence and Investigation Multan, Muhammad Ramzan Afzal versus Directorate of Intelligence and In-

Furthermore, same bench heard cases of Al-Hamra Fabrics versus Directorate of Intelligence and Investigation Faisalabad, Noor Ali versus Customs Lahore, Muhammad Sadiq versus Customs Lahore, Master Link versus Directorate of Intelligence and Investigation Lahore.

The same bench heard cases Qiled by M/s Cotton Craft versus Customs Lahore, Raja Intesar Mehboob versus Directorate of Intelligence and Investigation Gujrat and Muhammad versus Customs Lahore. –CB Report

LHc seeks reply from chairman FBR on Regulatory Duty

T

LAHORE

cUStomS BULLetIN RepoRt www.customsbulletin.com

he Lahore High Court (LHC) has issued a stay order in a Regularity Duty case on imports.

The court also issued notice to the Chairman FBR and sought reply. Justice Shahid Karim heard the case in which counsel for appellant argued

that the Federal Board of Revenue has imposed the extra Regularity Duty on imports. The counsel for appellant prayed that court may declare null and void the extra Regularity Duty on Imports. After hearing the arguments from appellant, the LHC issued the stay order and sought reply from the Chairman FBR. It is pertain to mention here that the Lahore High Court (LHC) has tem-

porarily suspended the SRO No 1035 issued on 16th of October imposing Regulatory Duty on more than 400 imported items. Justice Shams Mehmood Mirza heard the case against the levy of Regularity Duty on more than 400 items imported by the Government of Pakistan.

Mohsin Virk advocate appeared before the court by the appellant side and argued that the federal govern-

ment has amended the Sub-Section 3 of Section 18 of the Customs Act 1969. He further prayed that permission from the federal cabinet is necessary for the amendment in law, but the federal government has amended the law on its own will, without taking approval from the cabinet, and also imposed the Regulatory Duty on Import of more than 400 imported items.

www.customsbulletin.com

ADVERTISEMENT

5

6

www.customsbulletin.com

www.customsbulletin.com

KARACHI mUBeeN HUSSAIN www.customsbulletin.com

F

ederal Board of Revenue (FBR) Chairman Tariq Mehmood Pasha has urged the Karachi Chamber of Commerce and Industry (KCCI) to come up with proposals for the country’s annual budget 2018-19. Addressing the KCCI members, the chairman said that the businessman community was playing vital role in the development and economic growth of the country. However, he said that tax net could not be enhanced without their help. He asked the members to prepare a list of the government policies which were hampering the business growth. Full support to be given at any stage for the well-being of the business community as they were the engine of the economic growth, he said, adding that the government and the FBR would provide them their full support.

The FBR Chairman also advised the

Thursday, December 21, 2017

KCCI leadership to form a committee of tax experts to engage with organization to review the policy on the most priority issues of the business community especially affecting KCCI members along with the proposed practical solutions. During the visit of the KCCI the Chairman Federal Board of Revenue (FBR) Tariq Mehmood Pasha urged the KCCI leadership to come up with the proposals for the country’s annual budget 2018-19, not only for promotion of trade and industry but for the prosperity and development of the country.

He emphasized on strengthening partnership between FBR and the business community for economic growth and development of the country through better interaction and confidence instead of complaining of

each other.

During the visit of the Karachi Chamber of Commerce and Industry (KCCI) the leadership as well as the member informed about the hurdles as well as informed about the hardship being faced by the business community.

e kccI sed th i f v d a ttee o also ommi c pasha a m o for ith rship t gage w n e o leade t licy on perts the po w tax ex e i v f the n to re sues o izatio s n i a y g t r i r o io ecially ost pr ity esp the m n u m g with ss com rs alon e b busine m ns cI me olutio ing kc tical s c a r affect p d opose the pr

7

8

www.customsbulletin.com

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

eDItoRIAL

Fallout of devaluation of rupee

I

n the aftermath of recent talks with the visiting officials of the International Monetary Fund, the government has allowed devaluation of the local currency, but opened the floodgates of inflation, mismanagement and financial crisis. Since the government showed its leniency toward devaluation, the rupee has been sliding for the fourth consecutive day in the inter-bank market as it reached at an all-time low to close at Rs 11.5 to a US dollar. The rupee has shed at least five percent of its value in the open market where it closed at Rs 112. The financial experts and senior bankers opine the State Bank will have to come to the rescue of the rupee without ifs and buts; otherwise it could go as low as Rs 120 a dollar in weeks. The nation is already bearing the brunt of low economic progress, financial constraints, rising tax rates and hidden inflation. The writ of the government is invisible in the markets of consumer items and edibles and everyone is trying to wash hands in the running rivers of corruption and profiteering. The strategy to lower the value of rupees always met with failures in the past and the current policy will also meet the same fate. The government had not been tired of declaring that it would not seek another bailout package from the IMF, but the current measures show that the nation is going to be mortgaged again to the foreign financial institutions. It is hard to understand why the governments in Pakistan always prefer shortcuts or are fond of makeshift arrangements to resolve serious issues. A small shop needs management, but the government either lacks vision and capacity to take solid steps for the resolution of the problems. In a country where the writ of the government is week and corruption is rampant, these kinds of ventures plunge the country into further chaos. It is absolutely unfair to deprive the value of the people’s earnings overnight without any warning. It is unfortunate the policymakers, who are drawing hefty salaries and perks at the cost of taxpayers’ money, have no capacity to manage economic or financial affairs. To cull the rupee value means to cull the economy as all the gains of macroeconomics are going to be lost in coming months with injudicious decision of devaluation.

pak-French economic cooperation T

LAHORE

DR AFtAB AFZAL

www.customstoday.com

he statements such as Pakistan has attractive investment opportunities for foreign entrepreneurs or it is an emerging economic power in South Asia have lost their worth and values when it comes to the litmus test of the time and real economic variables. The country is facing severe Qinancial crisis as rupee has been devaluated, exports are experiencing free fall and foreign exchange reserves are depleting day by day. In this situation, a delegation of businessmen from France expressed promising views about Pakistan’s economy during its visit to the Lahore

Chamber of Commerce and Industry. The French businessmen put emphasis on close relations with Pakistan and took keen interest in strengthening economic cooperation with the local business community. There is no doubt in the notion that Pakistan has vast untapped natural and human resources which can be utilized not only to develop the economy of the country, but also to help other countries in the Qields of shared concerns. The modern technologies like Internet, mobile phones and video conferences have ended distances between countries. The modern technological gadgets can bused to develop deep and close linkages between business communities and net-

works of various organizations can help get beneQits from each other’s experiences.

Pakistan has trade relations with major economic powers of the world, but the exports of the country are limited to the traditional items or raw material. Most of the foreign businessmen are interested in the supply of raw material from Pakistan to their industrial units. Nevertheless, the local entrepreneurs have also conQined themselves to the domestic markets and took little interests in taping the consumer markets in African and Asian countries. The products made of the Pakistani raw materials are imported back to the country as value added goods at expensive

prices. France is the seventh largest economy in the world with gross domestic product of more than $2.4 trillion. Pakistan has huge potentials to offer investment opportunities not only to France, but also other economies of the world. The current political uncertainty in the country has severally damaged economic environment of the country and interest of the French businessmen in Pakistan is a good omen. However, the total trade volume between the two countries is less than one billion dollars which can be enhanced to Qive billion dollars if business to business cooperation is enhanced. There is also need to lower dependence on the export of mere raw material.

9

www.customsbulletin.com

FST settles complaints filed by FBR employees ISLAMABAD: The Federal Service Tribunal on Wednesday disposed of cases regarding ‘increment and special allowance’ filed against the Federal Board of Revenue (FBR). The FST bench comprising of Members Ishtiaq Ahmed and Dr Nazir Saeed heard the case. The bench heard the arguments in cases of ‘implementation’ and ‘increment’ filed by employees Muhammad Boota, M Waheed, and others. The bench disposed of M Waheed’s matter. Same bench also disposed of special allowance filed by Rasheed and disposed of the case with directives to the department to hear the appellant’s appeal pending before board’sadministration. The bench also dated in office cases submitted by Waseem Iqbal, and Said Hussain Abbasi had filed complaints on ‘Implementation’ while Abdul Sattar had submitted a complaint about ‘Withholding of three increment’.

SHc seeks comments on petition seeking release of 850 bags of plastic dana

Thursday December 21, 2017

National

pcA detects tax evasion of Rs 14.65m by m/s Usman Aslam enterprises

KARACHI

cUStomS BULLetIN RepoRt www.customsbulletin.com

he Sindh High Court (SHC) on Wednesday directed parties to file comments on a constitutional petition filed by Muhammad Sajid, seeking release of his consignment of poly polypropylene ham polymer (plastic dana) seized by customs officials. A two-member bench, headed by Justice Munib Akhtar, was hearing the petition.

Earlier, counsel for the petitioner stated that the Customs Intelligence Sukkar seized foreign origin goods, poly polypropylene ham polymer, from a container/ trailer bearing registration number SDA-047 without lawful authority. According to the petitioner, being aggrieved he moved to appellate tribunal and filed appeal before it against action of the customs department. After the arguments, the appellate tribu-

T

KARACHI

T

m B RANA

www.customsbulletin.com

he Directorate of Customs Post Clearance Audit has detected duties and tax evasion of Rs 14.65 million by M/s Usman Aslam Enterprises Karachi, it is learnt here.

Sources told Customs Today that M/s Usman Aslam Enterprises imported a consignment of six paper printing machines, and their parts, including designing plates, folding plates from Germany and got it cleared from the PICT Karachi vide GDs on September 12, 2017 by paying customs duty at 6 percent after claiming the benefit of the SRO 562/2007. However, the subject items are correctly classifiable under the PCT 2307.2284 attracting customs duty at 10 percent and income tax at 12 percent, thus, by way of mis-declaration of classification, the company evaded/short-paid Rs 14.65 million. The goods were cleared by Head Examiner Ovaise Mengal and Appraiser Shamil Akhter. Sources said that the importer violated the provisions of Section 56 (5) & (7A)

of the Customs Act-1969, Section 14 read with Section 56 of the Sales Tax Act-1990 and Section 187 of Income Tax Ordinance 2001 punishable under clauses (237) and 162 of Section 623(7) of the Customs Act-1969, Section 79 of

the Sales Tax Act-1990 and Section 86 & 136 of Income Tax Ordinance 2001 and Section 7-A of the Sales Tax Act-1990 read with chapter X of the Sales Tax Special Procedure Rules 2007 (Special procedures for payment of sales tax by the im-

porters) and under relevant provisions of Income Tax Ordinance 2001. It is necessary to mention here that Post Clearance Audit has detected a number of cases during last two months of October and November.

‘tax-free import of Indian cotton to hurt local farmers’ nal directed the customs authorities to release the consignment, however, they refused to comply with the order and release 850 bags of plastic dana. Citing Secretary Ministry of Finance, Customs Appellate Tribunal Director, Directorate General of Investigation & IntelligenceFBR, Mukhtar Ali Shaikh, Deputy Director, Directorate General of Intelligence & Investigation-FBR as respondents, he pleaded the court to declare the act of the respondents as illegal, mala fide and arbitrary. Petitioner also pleaded the court to direct them to release of his consignment and restrain them from taking any coercive action against the petitioner.

MULTAN

P

cUStomS BULLetIN RepoRt www.customsbulletin.com

akistan Cotton Ginners Association (PCGA) Chairman Malik Muhammad Akram said tax-free import of cotton from India would hurt interests of ginners and cotton growers.

It would have negative impact on the sowing cotton crop next year, which would ultimately affect the national economy, he said while talking to media persons.

Malik Akram said unfavourable weather conditions, use of fake pesticides and unregistered seed varieties, and non-fixation of cotton support price were the reasons for low produce of the crop in the country. He urged the government not to consider any proposal for import of cotton from In-

dia at zero sale tax and import. He also asked the provincial governments to consult cotton ginners

while finalizing the cotton policy.

Former PCGA chairman Shahzad Ali Khan, vice chairman Mian

Javed Tariq and ginners group leader Talat Suhail were also present on the occasion.

10

www.customsbulletin.com

FBR grants extension in period for repayment of ST paid on steel products Thursday December 21, 2017

National customs officials directed to provide non disciplinary action certificate

ISLAMABAD: Federal Board of Revenue (FBR) has allowed additional period of two months for repayment of sales tax paid on steel products.

In this regard the FBR issued SRO 1244(I)/2017 and amended SRO 308(I)/2008 dated March 24, 2008 to implement the decision. The latest SRO allowed the extension in time limit for repayment till June 01, 2012 instead of March 31, 2012. Through SRO 333(I)/2012 dated March 31, 2012 is an amendment in SRO 308(I)/2008 to increase the rate of repayment of sales tax paid on steel products under chapter XI of Sales Tax Special Procedure Rules.

FBR nominates 30 customs officers of BS-19 for 23rd Smc

ISLAMABAD

cUStomS BULLetIN RepoRt www.customsbulletin.com

ISLAMABAD

F

cUStomS BULLetIN RepoRt www.customsbulletin.com

ederal Board of Revenue (FBR) has directed officers of Deputy Superintendent and Senior Intelligence Officers (BS-16) to submit certificates of no disciplinary action against them for promotion consideration. In a circular, the FBR said that a meeting of Departmental Promotion Committee (DPC) is likely to be held in near future to consider the promotion cases of deputy superintendent and senior intelligence officer of BS-16 against the vacant posts of superintendent. The FBR directed all the concerned field formations and the senior-most deputy superintendent / SIO who are in promotion zone to complete the deficient ACR’s and forward to second secretary, FBR at the earliest. The field formations are also directed to furnish certificate to the effect that no disciplinary or criminal proceedings (including criminal cases pending with customs department/FIA/NAB etc.) are pending in respect of each official.

F

Superintendent Siddiqullah to retire on march 11 iddiqullah, 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. Meanwhile, Humayun Khan, a Pakistan Customs Service officer of BS-16, is going to retire from the government service on attaining the age of superannuation.

The officer, presently posted as Inspector at Model Customs Collectorate, Peshawar, will stand retired from the government service on February 2, 2018. –CB Report

S

ederal Board of Revenue (FBR) has nominated 30 Pakistan Customs Services ofQicers of BS-19 for 23rd Senior Management Course (SMC) which will commence from February 26, 2018 to June 15, 2018 at National Management College, Lahore and National Institute of Management, Islamabad, Karachi and Peshawar.

Hassan Saqib Sheikh, on deputation to USAID as Customs and Trade Facilitation Advisor, Islamabad; Syed Fawad Ali Shah, Secretary, FBR (Hq), Islamabad; Muhammad Saeed Watto, Additional Collector, MCC )Appraisement West), Karachi; Ms Ayesha Niaz, Secretary, FBR (Hq), Islamabad; Ms Zeb Gul Shabbir, Additional Di-

rector, Directorate of IPR Enforcement (Central), Lahore; Ms Neelofar Shahzad, Additional Collector, MCC, Islamabad; Engr. Habib Ahmad, Secretary, FBR (Hq), Islamabad; Shoukat

Ali, Additional Collector, MCC (Appraisement East), Karachi; Jameel Ahmed Baloch, Additional Collector, MCC (Preventive), Karachi; Nadeem Ahsan, Additional Collector, MCC

(Preventive), Karachi; Ziaullah Shams, Additional Collector, MCC, Peshawar; Ms Zahra Haider, Additional Collector, Collectorate of Customs (Adjudication), Lahore; Asdaq Afzal Sensera, Additional Collector, MCC, Multan; Agha Saeed Yaqub Khan, Additional Collector, MCC (Appraisement West), Karachi; Salman Yaqub Khan, Additional Director, Directorate of Transit Trade, Peshawar; Ghulam Mustafa, Additional Director, MCC, Faisalabad; Junaid Ahmed Memon, Additional Director, Directorate of Transit Trade, Karachi; Ms Sameera Sheikh, Additional irector, Directorate of IOCO (North), Lahore; Naveed Illahi, on deputation to prime Minister’s Youth Programme, Prime Minister’s OfQice (Public), Islamabad; Ms Beelam Ramazan, Additional Collector, COllectorate of Customs (Adjudication) , Lahore.

peshawar customs foils bid to smuggle narcotics to punjab C

PESHAWAR

tARIQ DeRYA

www.customsbulletin.com

ustoms Intelligence and Investigation team during a crackdown at Rashkai interchange thwarted an attempt of opium smuggling and seized 86 kilogram chars and 36 kilogram narcotics being smuggled to Punjab. Sources told Customs Today that on a tip off received to Director Custom Intelligence Muhammad Saleem regarding smuggling of huge quantity of opium to Punjab, following the information a team under Deputy Director Wajid was constituted which Qlag down a suspected vehicle bearing registration number ET-5189 near Rashkai inter change and recovered 86 kilogram chars and 36 kilogram opium.

OfQicial said that the conQiscated narcotics were worth of million

rupees. The arrested persons were identiQied Ijaz and Zeshan resident of Sahiwal. In another crackdown

custom ofQicials recovered 43 tolas gold at Torkham border and arrested an accuse Rahmatullah

along with his accomplices. The gold was being smuggled to Afghanistan for trade purpose.

11

www.customsbulletin.com

Customs seizes Rs120 million smuggled goods MULTAN: Customs Intelligence and Investigations (I&I) Multan seized smuggled goods worth over Rs 120 million 2017.

According to an official report, smuggled goods including vehicles, garments, petroleum products, fabric, tyres and other items worth Rs 122 million were seized during Nov 2017 in 32 cases. The operations of Customs I&I Multan were still in progress against smuggling as per instructions of DG Customs I&I Shaukat Ali.

customs Adjudication decides 29 cases of Rs83.998m FAISALABAD

NAeem SHeIkH

www.customsbulletin.com

he Customs Adjudication Faisalabad Camp Office disposed 29 various seizure cases after adjudicating involving Rs83.998 million during the month of November 2017. Sources told Customs Today, that Customs Adjudication Deputy Collector Saima Ayyaz decided 13 seizure cases forwarded by Anti -Smuggling Organization (ASO) and Customs Intelligence and Investigation in their various anti-smuggling activities. These cases were related to evasion of customs duty to the tune of Rs5.658 million during the month of November. These seizure cases included foreign origin cloth, vehicles, tyres, auto parts and miscellaneous goods. Whereas, Additional Collector

T

Muhammad Saeed Asad settled 12 different seizure cases in favor of tax department and issued Order in Originals (ONOs) in favour of the federal government after adjudication process worth Rs19.459 Millions. Furthermore, Collector Asif Abbas decided only 4 seizure cases of Rs58.881 million available for hearing in the Collectorate. Sources told that due to recent reshuffling in the Customs Collectorate hearing of seizure cases facing unnecessary delays in the Customs Adjudication. Meanwhile, The Collectorate of Customs Adjudication Deputy Collector Saima Ayyaz ordered to confiscate smuggled Toyota Fielder car worth Rs881357 involving duty and taxes. The deputy collector issued Order in Original (ONO) no: 199/2017 while hearing a case against Muhammad Munir Ahmed and Muhammad Azam registered by the Customs Anti Smuggling Organization (AsO) Mianwali.

National

govt taking serious steps for betterment of pIA: Senate told

Quetta customs seizes 15,000-liters smuggled Iranian diesel QUETTA

cUStomS BULLetIN RepoRt www.customsbulletin.com

he Customs authorities have foiled a bid to smuggle Iranianorigin diesel at Lakpass check post in the provincial capital of Balochistan. The diesel was being transported for supply of PMG (premium motor gasoline) to Quetta under the garb of documents/vouchers issued by M/s Pakistan State Oil (PSO), Kemari Terminal Karachi. Acting on information passed through Collector Ashraf Ali, the anti-smuggling staff of the Collecotrate intercepted an Isuzu oil tanker at Lakpass check post, Quetta. The driver provided Transshipment Advice issued

by PSO, according to which 15,000 liters of PMG was loaded in the oil tanker. The seals fixed at exit points of the tanker were found intact and punched. However, seals of the upper chambers were found loosely affixed with ordinary wires without punching. Upon examination, 15,000 liters of Iranians diesel was found loaded in the said oil tanker instead of PMG. The Customs Staff has seized the smuggled diesel and oil tanker.

T

M

ISLAMABAD

cUStomS BULLetIN RepoRt www.customsbulletin.com

inister for Parliamentary Affairs, Sheikh Aftab Ahmed Tuesday told the Senate that government was taking serious steps for betterment of the Pakistan Air Lines (PIA). Responding to a calling attention notice, the minister said that corruption, mismanagement and over stafQing in PIA was main cause of its downfall.

He said the government had appointed new chief of PIA to improve the institution and newly chief had also briefed the cabinet about the comprehensive plan to revamp the PIA. He said Senate had constituted a special committee for probing a matter of sold PIA plane adding that committee was examining the matter and report will be presented before the House.

Meanwhile, The 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,

Thursday December 21, 2017

ofQicials 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 reQlects reduced banking sector interest in long-term government securities.

ASo Hyderabad impounds curtain cloths, balnkets

T

KARACHI

cUStomS BULLetIN RepoRt www.customsbulletin.com

he Anti-Smuggling Organization (ASO) Hyderabad, Customs Preventive Sukkur Division, took into possession 54 non-duty-paid smuggling rolls, 2,550 yards of curtain cloths and blankets valued at Rs2.3million including duties and taxes during an action by Customs checkpost Sukkur four days ago.

Collector Model Customs Collectorate (MCC) Hyderabad Akhlaq Ahmed Khattaq had directed his staff to stop the smuggling in the region. The customs authorities re-

ceived a tip-off regarding the smuggling of said items. The authorities formed a team, comprising of ASO Customs Preventive Sukkur InCharge, Customs Check-Post and In-

spectors, Sepoys and a Driver, which participated in the execution of the operation. The ASO team intercepted a transport vehicle near Customs checkpost-Sukkur and recov-

ered the abovementioned contraband items. Prior to the recovery of goods, the ofQicials asked the driver for producing documents regarding the legal import of the items but he could not prove anything lawful. So the team took the items into possession under the customs bylaws. A case was registered against the accused and sent to the customs adjudication for further legal action. The ASO deposited the conQiscated goods in Sukkur-Larkana division State Warehouse. OfQicials said that Hyderabad Customs Collector Akhlaq Ahmad Khattaq had directed that effective steps be taken for preventing the smuggling in the region.

12

www.customsbulletin.com

Thailand’s ‘war on sugar’ aims to slim people and fatten coffers,

World Customs

BANGKOK: Faced with rising obesity rates, as well as health care costs that are ballooning nearly as fast as people’s waistlines, the Thai government has introduced an excise tax aimed at nudging beverage makers into making less sugary drinks.

Pricier soda and sweet tea is causing grumbles, and it is not just soda fans who are complaining. According to a report by the U.S. department of agriculture, the excise tax affects around $9 million worth of U.S. exports, raising their tax burden by 2030% for some beverages. The report cites industry forecasts from U.S. companies such as Coca Cola and PepsiCo.

Thursday December 21, 2017

china’s silver cod craze drives smuggling upsurge

customs destroy N7.2m worth of poultry in Benin

U

BANGKOK

cUStomS BULLetIN RepoRt www.customsbulletin.com

SHANGHAI

cUStomS BULLetIN RepoRt www.customsbulletin.com

C

hina’s demand for high-end cod is causing a massive rise in smuggling as supply tightens, according to a respected industry research platform.

Legal imports of what’s termed “silver cod” will total 1,000 tons in 2017, up from 633 tons in 2016, but smuggled imports could be as high as 2,000 tons, according to Dongpin Zhan Lue (Frozen Foods Strategy), which also points to an increase in average prices from CNY 220 (USD 33.22, EUR 28.26) per kilogram to CNY 300 (USD 45.31, EUR 38.53) per kilogram for imported silver cod. In China, silver cod has become a catch-all term for everything from common cod to toothfish, with opportunistic vendors marketing “silver cod” as a health food and a delicacy.

Vegetable Farmers urged to adhere to standards researcher at the University of Ghana Soil and Irrigation Research Centre, Dr. Ken Okae Fenning warned Ghana could be banned again if farmers fail to adhere to standards. His call follows the lifting of a ban on vegetables from the country by the European Union (EU) Commission on five plant commodities (chilli pepper, bottle gourds, luffa gourds, bitter gourds and eggplants) from Ghana to the EU market. This was after an audit by the Directorate General for health and food safety of the European commission which Ghana was cleared and given the green light to export. Based on this, from 1st January 2018, Ghanaian farmers will be able to resume exports of all plant commodities to the European Union (EU) market. Speaking at the GhanaVeg business platform meeting on the theme. –CB Report

A

Chinese customs data shows Chile to be China’s top supplier of silver cod in the Qirst nine months of 2017. Chile shipped 199,783 tons worth USD 5.5 million (EUR 4.7 million), followed by New Zealand’s 131,298 tons worth USD 4.7 million (EUR 4 million). Argentina was third with 92,571 tons of exported silver cod worth USD 1.1 million (EUR

935,000) followed by France with 52,571 tons worth USD 1.08 million (EUR 918,400). Meanwhile leading e-retailer JingDong.com has reported a twelve-fold year-on-year increase in sales volumes of New Zealand silver cod and frozen Chilean salmon on “Singles’ Day,” an annual e-commerce marketing bonzanza that takes place annually.

South Africa,treasury publishes second carbon tax draft bill

N

ational Treasury has published the second draft of the carbon tax bill for it to be introduced in Parliament and for public comment. “Following that process, a revised bill will be formally tabled in Parliament, which is expected to be by mid-2018,” said Treasury on Thursday. The publication of the bill follows the announcement made in the 2017 Medium Term Budget Policy State-

ment (MTBPS) by Finance Minister Malusi Gigaba, which gives effect to the announcement made in the 2017 Budget in Februar. The Qirst draft carbon tax bill was published for public comment in November 2015. The bill will enable South Africa to meet its nationally determined contribution (NDC) commitments in terms of the 2015 Paris agreement on climate change, and to reduce the country’s. –CB Report

sman, who was represented by superintendent of customs patrick onyemem, said the seizure and destruction of the products was in compliance with the Federal Government’s policy on imported frozen poultry products.

He said that the poultry products totaling 480 cartons were being smuggled and conveyed into Benin in two vehicles – a Toyota Camry with Registration Number AAA692ES and Chassis Number JT153SV1000165458.

Meanwhile, Thailand’s customscleared annual exports rose for an eighth straight month in October, slightly more than expected, as global demand remained strong. Exports, a key driver of Thailand’s growth, climbed 13.1 percent in October from a year earlier after rising 12.2 percent in September, commerce ministry data showed on Wednesday. That beat the median

P

forecast of an 11.8 percent rise from economists polled by Reuters. Imports in October increased 13.5 percent from a yea earlier, more than the forecast of a 6.7 percent rise.

That resulted in a trade surplus of $0.21 billion in October, well below a forecast of $1.3 billion surplus. In January-October, exports grew 9.7 percent from a year earlier, while imports rose 14.6 percent in the same period, Pimchanok Vonkhorporn, an official at the Commerce Ministry, said at a briefing. A strong baht is yet to affect exports in the short term, she added. Shipments have recovered this year, despite the baht appreciating more than 9 percent against the dollar so far this year, the second-biggest gainer among Asian currencies.

The baht’s strength, however, has had only a little impact on exports, historical data showed. The central bank has said trade partners’ economies are more important for trade.

tax reform in philippines hilippine President Rodrigo Duterte talked a lot more about punishing drug users and suppliers when he was on the campaign trail, but he did mention tax reform. This week the Senate and the House of Representatives agreed on a package that will cut Philippine income taxes, but increase taxes on other areas including consumer goods from cars to tobacco and commodities from fuel to coal. Taxes are also going up on drinks using sugar and artificial sweeteners, and increasing twice as much on drinks with high fructose corn syrup.

Cosmetic surgery will have an extra tax, and taxes on mining will be doubled. There are some twists: automobile taxes will be higher on more expensive models, but electric cars are tax exempt.

And so are pickup trucks. Critics say the tax changes will hurt the poor, especially the increased taxes on fuel. But the Duterte administration has a comfortable majority in both houses of the Philippine congress, so legislative approval was not difficult.The president says he wants to increase infrastructure projects as his top spending priority. –CB Report

Russia aims to challenge Qatar LNg dominance

V

MOSCOW

cUStomS BULLetIN RepoRt www.customsbulletin.com

ladimir Putin ofQicially launched on Friday the Yamal LNG project in the Arctic Russia’s second LNG plant and its push to challenge the dominance of Qatar and Australia, and the U.S. in the future, on the global LNG market.

The Qirst tanker from the US$27billion project will be shipped to China’s CNPC, in what the majority holder of the project, Russia’s Novatek, said in October is “in recognition for their overall contribution to the project and the importance the Asian PaciQic market represents as a key-consuming region.”

Novatek is the majority shareholder of Yamal LNG with 50.1 per-

cent, France’s oil and gas supermajor Total has 20 percent, CNPC holds another 20 percent, and China’s Silk Road Fund owns the remaining 9.9 percent. All LNG production will be sold to customers in Europe and Asia under 15- to 20year contracts, Total says. Novatek, which has been on the U.S. list of sanctions since 2014, has turned to Chinese partners for Qinancing to

complete the multi-billion-dollar project. The Russian natural gas producer sold the 9.9-percent stake to the Silk Road Fund in early 2016, after having received a 15-year loan of around US$860 million (730 million euro) by the fund for the Qinancing of the project. Earlier this year, Putin said that Russia not only can but will become the world’s biggest LNG producer.

13

www.customsbulletin.com

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, 19th November-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.

Shipping activity at port Qasim wo ships, Zi Jing Song and Chemroad Quest carrying General Cargo and Chemicals were allotted berths at Multi Purpose Terminal and Engro Vopak Terminal respectively during last 24 hours, said a report issued by Port Qasim Authority. Meanwhile two more MSC Bilbao and Valle Bianca with Containers and Diesel Oil also arrived at outer anchorage of Port Qasim during last 24 hours. Berth occupancy was observed at the port is 47% on Sunday where total eight ships are currently occupying berths to load/offload Containers, Canoal Seeds, Crude Oil, LPG and Palm oil during last 24 hours. A cargo volume of 53,403 tonnes, comprising 8820 tonnes import cargo and 44583 tonnes export cargo inclusive of containerized cargo carried in 2547 containers (TEUs), (424 TEUs imports and 2123 TEUs exports) was handled at the port. Con-

T

Ports & Shipping

‘gwadar port to become formally operational next month’ KARACHI

cUStomS BULLetIN RepoRt www.customsbulletin.com

G

wadar Port will be formally operational and open to the world by end of next month and there will Qirst international expo at Gwadar on January 29-30 to project the potential of Gwadar mainly of Special Economic Zone.

Gwadar Port is a deep-sea international port with draught of more than 18 meters. Mother ships can easily anchor at the port.

Federal Minister for Ports and Shipping Mir Hasil Khan Bizenjo also revealed that his ministry in next couple of weeks would Qloat tender for the construction of much talked about and long-awaited mega project of Elevated Expressway— linking Keamari, West and East Wharf to Northern Bypass. This would be operative in next two years. He was speaking at a meeting of FPCCI Standing Committee on Ports and Shipping, here on Monday, which was attended by number

of senior businessmen and ofQicials of Ministry of Ports and Shipping, and of Karachi Port Trust, Pakistan National Shipping Corporation, Gwadar Port and Gwadar Development Authority. Chairman Chinese Overseas Ports Holding Company was prominent at this event organized by Federation of Pakistan Chambers of Commerce and Industry. Ports and Shipping minister invited private sector of the country to come ahead and operate ferry services within or outside the country including Chabahar Port, Dubai or

Qatar. The government would never operate any ferry service. It was the job for local private sector. The government would only support and facilitate the businessmen, he said. “ Now, we have a policy for running ferry service. We would do nothing more but give you permission for this service,” he asserted adding that for operating ferry locally around KPT or up to Port Qasim, the government would provide a plot for the operation without any charges for the good of general public and businessmen.

Thursday December 21, 2017

kpt shipping movements report ARACHI: Following were the Movements of Ships at Karachi Port Trust (KPT) during last 48 hours, ending at 0700 hours.

SHIPS SAILED: CMA CGM Figaro Densa Alligator Northern Dependant Yangtze Ambition Northern Dedication UACC IBN Al Haitham APL Austria Cali Songa Calabria Prosper Kapta Mathios Virgo SCF Pioneer SHIPS BERTHED: Talassa Container Ship Sunray. Tanker Songa Calabria Container Ship Prosper Container Ship Virgo Container Ship Maistros Tanker COSCO Durban Container Ship Golden Ray Tanker Wiking Container Ship X-Press Kailash Container Ship EXPECTED SAILING DATE Golden Ray 18/12/17 Maistros 18/12/17 Wiking 18/12/17 Talassa 18/12/17 FSL London 18/12/17 XPress Kailash 18/12/17 EXPECTED ARRIVAL DATE CARGO Tirua 18/12/17 Cont YM Wealth 18/12/17 Cont Union Trader 18/12/17 D/55000 Coal Bunga Lavender 19/12/17 D/2500 Chem Unique Developer 19/12/17 D/40000 Mogas Sima Genesis. –CB Report

K

port of Ravenna trade recovers during Q3o tainer Vessel Safmarine Nyassa sailed out to sea on Monday morning, while four more ships CMA CGM Figaro, Sakizaya Miracle, Chemroad Quest and Ginga Kite are expected to sail on same day in the afternoon. A total of five ships, MSC Bilbao, MSC Pina, Epta Lofas, SC Zuhai, and Al-Noman carrying Containers, Seeds, Chemicals and LNG are expected to take berths at QICT, FAP, EVTL and EETL respectively on Monday, while two more Container ships MSC Al-Ghero and Maersk Kensington are due to arrive at PQ on Tuesday. Meanwhile, Three ships CGM Maupassant, Ginga Kite and MT Quetta carrying Containers, Edible Oil and Furnace Oil took berths at Qasim International Container Termina. –CB Report

ROME

T

cUStomS BULLetIN RepoRt www.customsbulletin.com

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 signiQicant sector for the Adriatic. 2017 had begun with an overall decrease in trade (-2.5% in the Qirst 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 Qirst six months have been addressed, such as the blockage in the 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.

The port, in fact, had left the association in November 2012, during the presidency of Galliano Di Marco, head of the Port Authority at the time. Their return to the association has the growth of its container handling business as its goal. “The association of North Adriatic Ports is now playing by a very different script,” said Rossi, “both domestically, with the reform of the port sector and the creation of system authorities, and internationally, where new market phenomena are at play, of which the so-called “Silk Road” is one. It’s a scenario that requires greater determination in defending the role of our ports within Europe, in order to reafQirm and raise the proQile of the North Adriatic within the EU’s economic and transport system. This requires, on the part of NAPA, a rethinking of strategies, to which Ravenna wants to contribute.”

For its relaunch, the port aims at

leveraging also the fact that Ravenna is one of the EU’s core ports, and the hub for two transEuropean corridors, the Mediterranean one, between Algeciras and the Ukraine (which includes the Turin-Lyon segment), and the Adriatic-Baltic one. At the beginning of November the coordinator of the latter corridor, Kurt Bodewig, visited the port of Ravenna: “The Adriatic-Baltic corridor,” pointed out Rossi, “crosses 6 EU member states (Poland, the Czech Republic, Slovakia, Austria, Slovenia and Italy), along some 1,800 kilometers, connecting the Adriatic ports of Trieste, Venice, Ravenna and Koper with ports in the Baltic Sea. In total, the corridor encompasses 13 metropolitan areas, with corresponding airports, 25 ports, and 24 intermodal platforms.” As of September 2017, overall freight trafQic at Ravenna increased by 2.42%.

14

www.customsbulletin.com

IRSA releases 73,400 cusecs water Thursday December 21, 2017

Business

Karachi: the foreign exchange rates committee of financial markets association of pakistan issued the following base rate, here on tuesday. Foreign currency accounts scheme — rates Bay bid maximum rates for payment of interest by etherized dealers r a t e s u.s. Dollars value 19-12-17 for 3 months and over but less than 6 months 1.3633% pa 2.1133% pa for 6 months and over but less than 12 months 1.5244% pa 2.2744%.

‘ 7,430 human trafficking cases filed in two years’ ISLAMABAD

cUStomS BULLetIN RepoRt www.customsbulletin.com

T

otal of 7,430 cases of human trafQicking have been registered in the country during last two years, Interior Minister Ahsan Iqbal told the National Assembly. In his written reply, the Minister said that in 2016, total of 3349 cases of human trafQicking were registered in Punjab, 140 in KP, 77 in Sindh, 181 in Balochistan and 349 were registered in Islamabad. He said that in 2017, total of 2,784 cases were Qiled in Punjab, 85 in KP, 82 in Sindh, 59 in Balochistan and 324 cases were listed in the capital.

Replying to Dr Shazia Sobia’s

NAB probe sought ‘misuse’ of funds TIMERGARA

cUStomS BULLetIN RepoRt

question, the Minister said that the video of murder of 15 innocent Pakistani nationals in Turbat, Balochistan has been uploaded on social media on November 15, 2017. He said the deceased belonged to different districts of Gujranwala Division and

excise department seals 125 properties of tax defaulters

www.customsbulletin.com

he local chapter of Pakistan People’s Party has demanded of the National Accountability Bureau to probe embezzlement of funds in development projects in Lower Dir district. Speaking at a news conference and addressing a protest demonstration in front of the Timergara Press Club, PPP Lower Dir president and former provincial minister Mehmood Zeb Khan, district secretary information Alam Zeb, Advocate Sahibullah and councillor Mohammad Khalil alleged that about Rs3 billion had been embezzled in development projects by works.

T

were en-route to cross Pak-Iran border illegally with facilitation of local as well as cross border human smugglers and agents for their journey to Europe via land route passing through Iran, Turkey and Greece. After three days on 18-11-2017, another

media report was Qlashed according to which Qive more innocent persons were killed in District Kech, Turbat Balochistan by unknown murderers.

These Qive persons were also residents of Gujranwala Division and they were being smuggled to Europe vis Iran, Turkey and Greece. They were in Balochistan to cross Pak-Iran border illegally with the facilitation of local as well as cross border human smugglers.

Iqbal said that FIA immediately took action and initiated legal proceedings against the human smugglers. It was unearthed that these deceased intending emigrants were taken to Quetta on 31-10-2017 through bus from Gujrat by local agents. They were then to be taken to Iran after crossing the Pak-Iran border illegally with the help of local agents based in Quetta and also the agents in Iran.

E

RAWALPINDI

cUStomS BULLetIN RepoRt www.customsbulletin.com

xcise and Taxation Department sealed 125 commercial and residential properties here during last week for non-payment of property tax while a number of unregistered and token tax defaulters’ vehicles were also issued challan slips. According to Excise and Taxation department, the teams comprising inspectors under the supervision of Excise and Taxation Officer (ETO) Prop-

erty Tax, Zone-II, Riaz Qureshi and Zone-I, Sohail Sabir, are conducting raids and the properties of tax defaulters are being sealed.

The sources informed that the department also recovered property tax arrears amounting to Rs6.5 million during the campaign.

The properties whose owners had not submitted their property tax dues were sealed in different areas. The Excise and Taxation department during its special campaign launched on the directive of Director Excise and Taxation also checking vehicles in the division

and recovering outstanding dues of token tax. Seven teams were constituted for Rawalpindi, four for Attock, two teach for Jhelum and Chakwal districts. Action in accordance with the law is being taken against the defaulters as well as without registration vehicles. The sources informed that the department is expecting to recover over Rs10 million arrears from the owners of the properties sealed.

The owners of properties and vehicles have been directed to pay their taxes at the earliest else strict action would.

NAB’s powers challenged in Sindh once again KARACHI

cUStomS BULLetIN RepoRt www.customsbulletin.com

indh High Court (SHC) Chief Justice Ahmed Ali M Sheikh was requested to pass an order on the former provincial land secretary’s plea challenging powers of the National Accountability Bureau (NAB) to initiate inquiries or investigations into matters relating to the departments of the provincial government.

A three-judge larger bench, headed

by Justice Naimatullah Phulpoto, made this request while referring a petition against alleged interference of the national anti-graft watchdog in provincial government departments to the SHC CJ. The bench, also comprising justices Muhammad Karim Khan Agha and Omar Sial, adjourned hearing on the matter till January 10, 2018. The matter was taken to court by the former provincial land secretary, Ghulam Mustafa Phul, who is facing an inquiry by NAB into alleged illegal land allotment.

According to NAB investigators, four inquiries were pending against the petitioner and others for allegedly illegally allotting 265 acres of land and 276 plots in Malir district. Previously, the NAB prosecutor had informed the court that losses worth billions of rupees were caused to the national exchequer through such illegal allotments of state land.

S

ADB to provide $380 million for cARec corridor ISLAMABAD

T

cUStomS BULLetIN RepoRt www.customsbulletin.com

he Asian Development Bank (ADB) would provide loans of US$180 million for CAREC Corridor Development Investment Programme and US$200 for Punjab Intermediate Cities Improvement Investment Project with an aim to improve road and other infrastructures. Secretary of EAD, Arif Ahmed

Khan and Country Director of ADB, Xiaohong Yang signed the loan agreements in the presence of the representatives of National Highway Authority (NHA) and Local Government and Community Development.

It is pertinent to mention here that ADB has committed to provide US$800 million for Qinancing infrastructure projects under the Central Asia Regional Economic Cooperation (CAREC) Corridor Development Investment Programme.

Under this programme, ADB would provide US$180 million as Qirst tranche to NHA for improving road network along N-55.

The NHA would construct additional two-lane carriageway of 66 Kms along the existing two-lane of Petaro–Sehwan Road and 43 Kms along the existing two-lane of Ratodero–Shikarpur Road.

It would also help in rehabilitation of the existing 34 Kms four-lane carriageway of Dara Adamkhel–Pe-

shawar Road. This would also provide due diligence advisory services to NHA for preparing projects under subsequent tranches. The ADB would also provide US$ 200 million for Punjab Intermediate Cities Improvement Investment Project. Under this project, the government of Punjab would improve urban services in Sahiwal and Sialkot cities. It would help improve water supply, sanitation and waste management system, parks, footpaths, green belts

and bus terminals. As a result quality of the life of residents of these cities would improve by making them more livable and sustainable.

Speaking on the occasion, Arif Ahmed Khan appreciated the ADB’s support for improving infrastructure and urban services in Pakistan.

He reiterated that the government of Pakistan was committed to improve regional connectivity by improving physical infrastructure and economic cooperation.

15

www.customsbulletin.com

UAE Clarifies VAT rules for real estate CAPETWON: The South African revenue service (SARS) will collect the Sugary Beverages Levy (SBL) as from April 1 next year. The levy falls under the Rates and Monetary Amounts and Revenue Laws Amendment Bill, 2017, as passed in Parliament on December 5. Part 7A of Schedule No. 1 to the Customs and Excise Act, 1964, provides for a health promotion levy on sugary beverages which have been manufactured in or imported into South Africa. Imported products will be taxed when they are cleared for home consumption and locally manufactured products will be taxed at source. SBL returns and payments can be submitted electronically through SARS eFiling and will also be accepted at Customs and Excise branches. Licensing and registration of manufacturers of sugary beverages will take place from February 2018.

Share of coal to jump to 24pc in the energy mix: FpccI

Thursday December 21, 2017

Chambers

pakistan can become leader in the global Halal trade: LccI

ISLAMABAD

cUStomS BULLetIN RepoRt www.customsbulletin.com

he Businessmen Panel of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) said commercial production of electricity from Thar Coal will boost the share of coal in the energy mix from the current less than one percent to 24 percent within three years. “Thar coal remains cheapest option for power generation in the energy supply chain,” Central Leader of the panel Naseemur Rehman said. He said the increased share of the local coal in the energy mix would save billions of dollars in the oil import bill while the power production would jump to fifteen gigawatts within a decade bury-

T

ing energy crisis forever, he said. He said Chinese investment worth billions of dollars in the project had settled misgivings about the project and now foreign investors were taking interest in it while local industrial groups were also demanding cheap coal for their own power generation.

Naseemur Rehman said Thar contains around 175 billion tonnes of coal enough to revolutionise the country’s economy. These deposits were not used for decades but now the situation had changed which would lead to economic prosperity of the country.

The area holds more energy than the combined energy of Saudi Arabia and Iran which could change the fate of the country, he noted, adding that Thar was home to 25 million people; it is rich in resources but one of the most underdeveloped areas in the country where many suffer from malnutrition and other problems.

LAHORE

L

cUStomS BULLetIN RepoRt www.customsbulletin.com

ivestock is an integral part of agriculture sector of Pakistan and have the potential to get huge share in the international Halal trade of over $ 300 billion. Government should formulate favorable policies for livestock which have 55.9 percent and 11.8 percent share in agriculture and GDP respectively.

These views were exchanged between the LCCI President Malik Tahir Javaid, who was heading a delegation to the Punjab Agriculture and Meat Company’s (PAMCO) sateof-the art slaughterhouse, and PAMCO Chairman Mumtaz Khan Manais. The LCCI Senior Vice President Khawaja Khawar Rashid, Vice President Zeshan Khalil, former Presidents Mian Shafqat Ali, Muhammad Ali Mian, former Senior Vice President Mian Nauman Kabir, Mian Muhammad Nawaz, Aurangzeb Aslam, Khaliq Arshad, Bao Muhammad Bashir, Zafar Iqbal, Khamis Saeed Butt and Nadeem Qureshi also spoke on the occasion.

Chairman PAMCO gave detailed

brieQing to the LCCI delegation about PAMCO’s efforts and sought its help for promotion of Halal exports. He said that PAMCO has engaged itself to enhance quality production, processing, value addition, marketing & supply chain of meat, livestock, agriculture products & byproducts for local & export markets.

He said that company is providing trainings & technical backstopping at all stages of the integrated meat & agriculture value chains. He in-

formed the LCCI delegation that 6000 small and 600 big animals are being slaughtered daily at the PAMCO’s slaughterhouse while meat is being processed hygienically by latest technology and modern machinery. The LCCI President Malik Tahir Javaid lauded the performance and efforts of PAMCO for boosting the livestock sector of Pakistan and assured his full support the company saying that the LCCI is ready to hold seminars and work-

AJkccI inks industrial development plan MIRPUR

A

cUStomS BULLetIN RepoRt www.customsbulletin.com

n integrated industrial plan has been inked by the Azad Jammu and Kashmir Chamber of Commerce and industry (AJKCCI) with the coordination of Azad Jammu and Kashmir (AJK) government to encourage and promote local and foreign investment in trade and industrial sector especially by the UK-based Kashmiri expatriates.

AJKCCI Secretary Chaudhry ShaQique told APP here on Saturday that chamber had already moved recommendations to the government by devising a strategy for early revival of over 70 sick Industrial units located in Mirpur and Bhimbher districts. He said various proposals of AJK government had assured to encourage and boost the

foreign investment in the trade and industrial sector in AJK and colossal funds had already been placed in the ongoing Qinancial year 2017-18 budget. ShaQique said the government was taking all possible steps for the early revival of sick industrial units in Mirpur and Bhimbher.

The government had focused to promote the industrial activities in Mirpur and Bhimbher districts under

the spirit to provide more job opportunities to the unemployed skilled and unskilled persons, he added. He disclosed that the chamber had also moved to the AJK administration for formation of a high level committee comprising ofQicials of commerce and industry, electricity, Qinance, taxation to inquire about the problems of the local corporate sector especially the existing and intending industrialists.

Meanwhile a in high level meeting with minister for industries, reviewed and discussed in length, with the owners of the Mirpur and Bhimber districts – based sick industrial units, the ideas for quick revival of the units, the sources said and added that the owners of the sick units tabled various proposals in the meeting for the revival to the sick units and assured to resume their functioning soon after their revival in line with the determined policy of the government.

shop in collaboration with PAMCO. He said that despite various challenges, livestock sector is already actively contributing to the national economy. He said that livestock is the biggest economic activity in rural areas and major source of women empowerment. He said that livestock sector is producing its own energy by biogas. He said that government should join head with private sector to secure huge share in international Hala trade.

‘Furniture sector has vital importance’ ederation of Pakistan Chambers of Commerce and Industry (FPCCI) Regional Chairman and Vice President Manzoorul Haq Malik said the local furniture sector attached great importance to the national economy and could make a substantial contribution of billions of dollars export annually if the government patronises it.

He expressed these views during his visit to “9th Interiors Pakistan” exhibition held at the Expo Center here. He appreciated the PFC for holding successful series of interiors Pakistan exhibitions in Karachi, Islamabad and Lahore and urged the government to establish greater liaison with the sector to fully understand market conditions and requirements of the industry needs. –CB Report

F

16

www.customsbulletin.com

Faisalabad ASO impounds NDP Toyota during road checking FAISALABAD: The Customs Anti-Smuggling Organization (ASO) has impounded a foreign origin used Toyota Corona car worth Rs15,00,000 involving customs duty and taxes to the tune of Rs7,50,000.

Sources told Customs Today that Collector Muhammad Sadiq received information about some non-duty paid vehicles being used for smuggling attempts. During checking of vehicles the ASO team intercepted a Toyota Corona car bearing registration no: AF-003 Model 1992 in black colour near Jhang Road Bypass Faisalabad.

Thursday, December 21, 2017

CUSTOMS BULLETIN

gwadar customs seizes mobile phones, accessories worth Rs7.2 million GWADAR wAQAR AHmeD ANSARI www.customsbulletin.com

T

he Customs Collectorate Gwadar has seized non duty paid mobile phones and mobile accessories worth Rs 7.2 million. Sources told Customs Today that deputy collector Gwadar constituted a team of Customs AntiSmuggling Organization (ASO) under the supervision of Customs Preventive Inspector Aleem Shah and others. The team, during a search operation, intercepted a passenger bus bearing registration no GL: 5528 which was going out of the city. During the raids, the customs team impounded 120 non duty paid smart phones, 2000 batteries of smart phones, different mobile casing and chargers worth Rs 7.2 million.

The customs team arrested two smugglers who were involved in smuggling and registered an FIR against the accused persons and started investigations. Source told that it was the third raid in the month of December. It is necessary to mention here that Customs Collectorate has impounded different type of computer accessories worth more than Rs4.26 million, included 50 LED

Qlat screen monitors, 25 laptop Acer brand,500 ( 4GB Laptop Ram) and huge quantity of data cables hard

wire worth 4.26 during the Qirst week of December. Sources told that on the directives of the Deputy Col-

lector Gwadar Junaid Mehmood , operation against smuggled and nonduty paid luxury vehicles is going on

in full swing and several raids have been conducted during previous month of November.

Dg NAB-kp hand over Rs2.234m cheque to kp Finance: NAB-kp PESHAWAR

cUStomS BULLetIN RepoRt www.customsbulletin.com

D

irector General NAB Khyber Pakhtunkhwa Brig ® Farooq Naser Awan Tuesday handed over cheque amounting Rs 2.234 million to Deputy Secretary Finance Deptt Khyber Pakhtunkhwa Abdul Haseeb Khan. In the Qirst case, during the course of investigation it was

revealed that accused persons in league with others, illegally generated 45 fake personnel numbers of non-existing, fake and ghost employees of Education Department Battagram and drew salaries worth millions of rupees.

The accused persons with the connivance of other accused persons hatched a criminal conspiracy for the alleged embezzlement. The aforesaid mentioned amount has been recovered from some of the accused persons; they accepted their guilt and returned the looted money. It may

be mentioned the accused opting for plea bargain is deemed con-

victed and have lost public ofQice.

In second case, a reference

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).

was Qiled against the accused Ikram Shah, Ex-Executive Engineer C&W Deptt Khyber Pakhtunkhwa for accumulation of assets beyond known source of income. The accountability Court convicted the accused for 7 years rigorous imprisonment alongwith Qine and forfeiture of his movable/immovable properties.

At the end, Director General NAB -KP Brig ® Farooq Naser Awan requested general public to join hand with NAB (KP) for eradication of corruption from the Province of Khyber Pakhtunkhwa.