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Karachi, Fri December 22, 2017
LAHORE
M IMRAN MEHAR
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he Federal Board of Revenue (FBR) has approved, in principle, the design for constructing a state-of-the-art border complex at Wahga to reduce the time for cross-border movement of goods and services. The deadline for the completion of the project is December 2021. The objective of the proposed border complexwhich is part of the Integrated Transit Trade Management System—is to facilitate the legitimate trade without compromising on the security of the global supply chain. With the construction of this complex, the time spent on movement of goods at border points will reduce by more than Uive times. The complex would be constructed with a loan to be
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borrowed from the ADB while other amount would be provided by the government of Pakistan. High authorities also directed that the project should eliminate bottlenecks and improve the procedures without compromising on regulatory controls and security. The FBR is expected to complete the project within the stipulated timeframe. An ofUicial source told CT that the National Logistics Cell (NLC) will submit its bid for physical work on the border crossing point. The contract for construction of the border station will be awarded to the NLC. The ofUicial said the physical work on border station at Wagah will begin in September 2018. “International bids for the Wagah border station” will be invited. Pakistan has already ratiUied the international conventions to facilitate the cross border movement of containers and persons.
Islamabad Dry Port suffers a loss of Rs2.00 million of revenue
Customs Export recovers Rs 4.64m from M/s Khalid & Co, M/s Sarfaraz Traders
Appeal filed by M/s Haq Bahu Steel Mills adjourned for next date
Pakistan to initiate dialogue on FTA with Pacific
Gwadar Customs impounds Iranian brake oil, electronics items
Islamabad Dry Port has received Rs2.00million less revenue than | SEE pAgE 02 |
Customs Export has recovered evaded taxes and duties amounting to Rs 3.38m | SEE pAgE 03 |
FTO has postponed the hearing of a case filed by M/s Haq Bahu Steel Mills | SEE pAgE 04 |
Pakistan wants to initiate negotiation with Pacific and South East Asian nations | SEE pAgE 14 |
Customs has impounded Iranian brake oil cane and electronic accessorieswires | SEE pAgE 16 |
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ASO Islamabad impounds 31 vehicles valued at Rs45m Friday, December 22, 2017
Islamabad
ISLAMABAD: The Customs Anti-Smuggling Organization Islamabad took into possession 31 vehicles worth Rs45million during the month of November Financial Year 2017-18. According to details explained by Majid Hussain Gadd, Assistant Collector AntiSmuggling Organization (ASO), that, during above said period, the ASO showed adequate performance against the smugglers and tax evaders. During said period, the ASO impounded 28 offending vehicles valued at Rs331.9million.
Islamabad Dry port suffers a loss of Rs2.00 million of revenue
ISLAMABAD
ISLAMABAD
NAEEM uLLAH tARIQ
tARIQ DERYA
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division bench of the Customs Appellate Tribunal comprising of Members Tribunal, Syed Muhammad Anwar and Muhammad Nasir Khan, has directed M/s Klaguardia Logistics and M/s Trade Master to conclude arguments on the next date of hearing. The bench heard the matters submitted by M/s Klaguardia Logistics and M/s Trade Master against Collectroate of Customs, Islamabad. The tribunal also heard cases filed by M/S Kohinoor Trader. In another matter, counsels of M/s Five Star Trading appeared before the bench and sought time to prepare the case. Customs appellate tribunal’s Member Technical, Ziaddin Wazir had heard the cases filed by Raja Nabeel, Waqas Enterprises, Arshad Khan and Musawir Shah last week. Raja Nabeel had filed the cases against Directorate of Intelligence and Investigation, Islamabad. Other three appellants had filed their cases against Model Collectorate of Customs, Islamabad. The appellants had filed cases against Directorate General of Investigation and Intelligence, Islamabad and Model Collectorate of Customs, Islamabad.
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he Islamabad Dry Port has received Rs2.00million less revenue than an assigned proportional revenue collection target of Customs Duty during the Uirst two weeks of December Fiscal Year 2017-18. According to details explained by sources of the Islamabad Dry Port (IDP) that, during above said period, the IDP earned Rs115.27million as Customs Duty (CD) whereas it was allocated a proportional revenue collection target of Rs117.60million under the same head. The sources notiUied CT that the IDP generated Rs99.45million of CD during the same period of corresponding FY16-17. It was told to Customs Today that the IDP was earmarked Rs303.80million of target of CD for the month of December FY17-18 while it showed 37.94% achievement during the Uirst two weeks of December FY17-18 against an assigned revenue target. Sources added that the IDP obtained 98% growth against an allocated proportional target for the Uirst two weeks under the head of CD. The sources told CT that the IDP received Rs12.194million as CD on 14th of December FY17-18. He added that the IDP is earning approximately Rs10 to Rs12million of revenue daily. Sources optimistically said that its routine collection will
Appellate tribunal directs parties to conclude arguments
continue and the IDP will not only meet the earmarked revenue collection target of CD but also surpass the revenue target for the month of December FY17-18. Meanwhile, The 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) Finan-
cial 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 Uirst 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 FY17-18 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.
E-payment system for collection of taxes to start from 31st
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ISLAMABAD
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y December 31, 2017, the new e-payment system for collection of duties and taxes will replace the manual paper based payment system which is costly and time consuming for both traders and the government. Under the Facilitation Trade Agreement, Pakistan has committed itself to establish the e-payment sys-
tem for collection of duties and taxes by June 2018. This was stated by the ofUicials of the Federal Board of Revenue to the correspondent of Customs Today. A meeting was held at the Directorate of Reforms and Automation (Customs) Karachi on December 11, FY17-18 where it was discussed that e-payment system will provide round-the-clock facility to the taxpayers for the payment of duties, taxes and other dues accruing out of clearance of goods through customs
computerized system by using the online banking. It was also told to the customs ofUicials participated in the meeting that all the commercial banks will be authorized by The State Bank of Pakistan (SBP) to show collection of customs as biller in its online payment portal developed by M/s 1Link or any other payment service provider (PSP) approved by the SBP. The sources told CT that for avoiding e-payment, the Pakistan Customs Computerized System
shall issue a unique payment slip ID (PSID) to the taxpayer against which the legal liabilities shall be discharged through online payment portal of the authorized bank in the manners prescribed by the SBP duly approved by the border upon receipt of duties, taxes and other dues. Sources added that the SBP or the designated bank shall issue computerized receipt (CPR) to the taxpayer through Customs Computerized System mentioning the
details of payment made. Regarding the dispute resolution, the sources told correspondent that, in case any dispute arises on the topic of e-payment, the Payment Service Provider (PSP) shall resolve the issue within three weeks of its reporting. Sources added that an MoU was signed between the FBR and SBP and its PSP M/s 1-Link Guarantee Ltd for development of e-payment system for online customs duties and other dues on 3rd October 2017.
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Pak rupee witnesses mix trend, reaches 109.70 in interbank KARACHI: The Pakistani currency witnessed mix trend against the US dollar as it gained value in interbank and depreciated in open market. As per the local money market, the greenback gained 10 paisas in open market for buying at 110.20 and for selling at 110.50. In interbank, the dollar lost 30 paisas for buying at 109.70 and 90 paisas for selling at 109.90. On Monday, the dollar lost 20 paisas in open market for buying at 110.10 and for selling at 110.40, while it remained unchanged in interbank for buying at 110 and five paisas for selling at 110.80.
ktBA urges fBR to extend return filing date up to Dec 31
Friday December 22, 2017
Karachi
customs Export recovers Rs 4.64m from M/s khalid & co
KARACHI
M B RANA
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arachi Tax Bar Association (KTBA) has urged the Federal Board of Revenue (FBR) to further extend the last date for filing income tax returns up to December 31, 2017 which is expiring on December 15, 2017 for tax year 2017. KTBA sent a letter to FBR chairman on Thursday informed the chairman that unfortunately all our happiness faded away when our members found from the very next day, after November 30, 2017, that the IRIS slowed down initially and thereafter again stopped completely rendering our members workless and in a hapless position whereby wastage of huge amount of professional hours.
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court sends suspect to jail in currency smuggling case KARACHI
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ustoms Taxation and AntiSmuggling Court Judge Syed Faiz Rasool Rashdi has sent a suspect namely Abdul Haseeb to the Customs Department on physical remand for two days. He was booked for attempting to smuggle $20,000 from Karachi to Dubai by Flydubai Flight no FZ-334. During the hearing, the investigation officer produced the suspect before the court and informed that a team of the customs officials intercepted him at Jinnah International Airport Karachi and searched his luggage, and recovered $20,000. The investigation officer further submitted that the accused was trying to smuggle the above mentioned foreign currency from Karachi to Dubai by Flydubai flight no FZ-334 and after formalities, customs officials.
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KARACHI
wAQAR AHMED ANSARI www.customsbulletin.com
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he Customs Export has recovered evaded taxes and duties amounting to Rs 3.38 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 Khalid and Co availed undue beneUits and concessions by importing different consignments and misusing the SRO 567. The company was allegedly involved in tax evasion of Rs 2.12 million. After detecting the tax evasion, the Customs Export issued them with a Uinal notice on November 28, 2017 to deposit the evaded amount within 14 days. After receiving the notice, the management of M/s Khalid and Co deposited the evaded amount in the ofUicial account of the Customs Export on December 14. On the other hand, the management of the M/s Sarfaraz Traders Karachi also cleared Rs 1.26 million of taxes and duties. Sources said the M/s Sarfaraz Traders Karachi also availed undue benefits and concessions and avoided paying taxes according to the customs bylaws. The Customs Export authorities issued them with a final notice on November 28, 2017. After receiving the notice, the management of the Sarfaraz Traders Karachi deposited the evaded
amount of taxes on Thursday. Meanwhile, The 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 benefits and concessions by importing different consignments
the company was allegedly involved in tax evasion of Rs 2.12 million. After detecting the tax evasion, the customs Export issued them with a final notice , 2017 to deposit the evaded amount within 14 days
Section 4B of Income tax Act challenged in SHc
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KARACHI
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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 when another identical petition is fixed for hearing. An interim stay is operating in this petition. Meanwhile, The Sindh High Court has adjourned the hearing of dozens of petitions chal-
lenging 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 Incharge has the power to impose such taxes.
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 final 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 official account of the Customs Exports on December.
pSX sheds massive 381pts till midday he Pakistan Stock Exchanged (PSX) shed massive 381 points to drop to 38003 level till midday. The stocks 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.
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NAB arrests man in corruption case again Friday December 22, 2017
Lahore
LAHORE: National Accountability Bureau (NAB) Lahore has has re-arrested an accused, Zahid Imtiaz, over illegal sale of surrendered properties, and got his physical remand till December 26. The NAB authorities produced the accused before an accountability court judge and submitted that the accused was arrested in 2010 following corruption allegations levelled against him. However, the accused got bail from the Lahore High Court after approval of his voluntary return application on surrendering four properties worth Rs 10 million to the government bank, they added.
customs court grants 14-day judicial remand of currency smuggler 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 the accused arrested in currencies’ smuggling case. Accused Faisal Hussain was apprehended by the customs preventive authorities at the Allama Iqbal International Airport Lahore. The customs authorities, during a 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 currencies in his luggage. The customs investigation team had presented him before the customs court
pRA organizes ‘tax clinic’ for withholding agents he Punjab Revenue Authority (PRA) in collaboration with GIZ Germany has organized a ‘Tax Clinic’ workshop at a hotel for withholding agents of public sector. Addressing the workshop, PRA Chairman Dr Raheel Siddiqul said that the purpose of workshop was to provide necessary understanding of PRA and Punjab Sales Tax on services rules 2015 for withholding agents dealing with public sector, so that they were in a better position to withhold/deduct and deposit the sales tax as per law. He said that Tax Clinics were necessary for both tax collectors and depositors to be in a better position to understand that issues generated while deducting and depositing Punjab sales tax. He added that through such sessions, the PRA expected a substantial increase in collection of sales tax. –CB Report
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for getting his physical remand 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 arrested the accused for making an attempt to smuggle the currencies from Lahore into Europe. The customs investigation team had presented him before the court of special judge of the customs taxation and anti-smuggling, Shakeel Ahmad, and asked for his judicial remand for 14 days. The customs has registered a case against the accused and launched an investigation as well after conUiscating the cell phones that he was trying to smuggle. The customs authorities have registered a case against him under the Pakistan Customs act-1969.
Appeal filed by M/s Haq Bahu Steel Mills adjourned for next date
LAHORE
SAJID NAwAZ
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he Federal Tax Ombudsman (FTO) has postponed the hearing of a case Uiled by
court remands accused cloth smuggler for 14 days to prison
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he Special Federal Court of Customs Taxation and AntiSmuggling has sent an accused to jail on extension of judicial remand of 14 days. Accused Nasir Khan was held by the customs intelligence. After arresting the accused, the Pakistan customs intelligence started investigation against him and got his physical remand as well. The customs intelligence also recovered a big quantity of foreign made smuggling cloths and related goods from his possession. The customs intelligence has told the
court that the accused was involved in smuggling of cloths from Afghanistan into Lahore and Faisalabad via different routes. He caused the national kitty a big loss in the wake of taxes and duties. He has been involved in smuggling for long time. The value of the recovered cloths is Rs8.3million, customs investigation has told the court. The customs investigation team had presented him before the customs court and asked for a physical remand to dig out the network behind this smuggling maUia. –CB Report
M/s Haq Bahu Steel Mills, against the Regional Tax OfUice (RTO) Gujranwala until the next hearing. According to the details, FTO Advisor Mian Munawar Ghafoor heard the complainant in which the counsel for the appellant argued that the RTO Gujranwala has not released the refund to the appellant of from
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last two years. He said that the RTO Gujranwala collected excessive tax from the appellant during the last two years. The company approached the ofUicer concerned many times for issuance of refunds but the department did not pay the refunds after the passage of a reasonable time. Finally, the appellant decided to approach the Federal Tax Ombudsman (FTO), seeking interference in this case. The counsel appealed the FTO advisor to direct the commissioner of RTO Gujranwala to clear the refund claims. The counsel further said that the delay in issuance of refunds put burden on the taxpayers, adding that the RTO should make audit of the cases and release the extra amount collected by it from the taxpayer. On the other hand, counsel for the RTO argued that the appellant has not submitted all record in the ofUice on basis of which it is claiming for refunds.
Appellate tribunal hears 13 cases he Customs Appellate Tribunal heard 13 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-
vestigation Faisalabad. 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 filed 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
Indonesians business delegation lauds punjab govt
A LAHORE
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high-proUile Indonesian Business Delegation acknowledged Punjab government initiatives for ensuring investment-friendly environment. Speaking here at Pakistan-Indonesia Business Forum arranged by Punjab Board of Invest-
ment and Trade (PBIT), the Indonesian investors had shown keen interest to invest in Punjab. The delegation led by Mr. Alwi Shihab, Special Envoy of Indonesian President for Middle East and OIC, is on a three-day visit to Punjab with an objective to establish and boost trade relations between the two countries. Top ten representatives from major sectors including
construction, textiles, auto parts and food industry were part of this delegation. At the forum, a presentation regarding Special Economic Zones, overall investment opportunities in Punjab, businesses, agriculture and tourism, was also given to the delegates. Indonesian delegation showed their immense interest in expanding their business with Pakistan. On this occasion,
PBIT Vice Chairman Khawaja Ahmed Hassan said that Indonesian investors’ visit would help explore new avenues for trade, investment and joint ventures in accomplishing the mutual target of sustainable economic development. Punjab Secretary Industries Mujtaba Paracha, PBIT CEO Jahanzeb Burana and other prominent personalities also attended the forum.
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Friday, December 22, 2017
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usiness community of South Punjab has expressed grave concerns over misuse of authority from Customs Intelligence and Investigation staff and their blackmailing against genuine importers for the sake of bribe. The duty of Customs Intelligence is to curb smuggling in the country but they are busy in examination of cleared consignments of genuine importers who cleared their goods from Port Qasim Karachi after proper examination and valuation of goods. This was stated by Managing Director of M/s S.M Foods Multan Waqas Hafeez in talking with Customs Today. He told that genuine businessmen are pushed towards wall due to monopoly of few Customs Intelligence and Investigation Multan members. Businessmen tried to perform their work in peaceful environment by following every rule and regulation of country. We even don’t try with any government clerk and respect every one for the promotion of our business and businessman can’t afford conUlict with any one because it will spoil appro-
priate working circumstances. He stated that businessmen import their raw materials and required machinery for managing business calmly and honestly. Customs Intelligence and Investigation has no right to examine and appraisement of import shipments. Majority of cases intercepted by Directorate General of Customs Intelligence and Investigation have been cleared after Uinding no discrepancy but the exercise caused unnecessary delay to consignments and harassment to importers. It is necessary to mention here that Customs Intelligence and Investigation intercepted few legal shipments near Sukkar region, which were cleared after completion of their whole exercise by adopting necessary procedure before clearance in which appraiser and examiner properly done their job. Customs Intelligence and Investigation detained the shipments without any reason and demanded for additional money in shape of kickbacks otherwise whole consignment will be seized and form the contravention report on the differential duty tax amount. When Customs Intelligence and Investigation have no power of appraisement then how they will calculate duty and taxes on import items. Because
they are only seizing agency and they have not practical knowledge on valuation of import goods. Majority of consignments intercepted found no contravention by Customs Intelligence and Investigation but they create unnecessary delay for importers for clearance of shipments. Customs Intelligence and Investigation hectic exercise ended in vain as some of the cases were cleared on court intervention and others were cleared after check but it cost precious time of importers who are investing their investment on country for its development and paying huge amount of taxes. He told that sense of insecurity has been created by Customs Intelligence and Investigation in the country for governing businesses which is not good sign for business point of view. Customs Intelligence is creating huge unrest in the importers and associated persons in country due to their illegal and we have demanded from chairman Federal Board of Revenue to take strict action against corrupt OfUicers. Business community requested Chairman Federal Board of Revenue Tariq Pasha and Member Customs Zahid Khokar to take stern action against Customs Intelligence and Investigation for nourishing business in country
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Founder & Chairman Zulfiqar Ali Editor Rahil Yasin editor@customsbulletin.com.pk For advertising & subscription marketing@customsbulletin.com.pk www.customsbulletin.com Phones: 042-35781643-4, Fax: 042-35781645 Address: 627, Siddiq Trade Centre, Gulberg, Lahore
EDItoRIAL
Dragging rupee to its knees
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here is no doubt in the notion that international financial institutions are the neo-colonialists of the modern age with powers to make and break the economies of developing countries. The financial institutions, which were set up apparently to assist the developing economies, are following the policies not different than that of the East India Company or the organizations of the kind which occupied most of the countries in Asia and Africa. The portion of India, which is now Pakistan, also remained under British rule for a century and now its government is losing writ and ability as an independent country to the foreign financial institutions. The recent chaos in political scene has led to the International Monetary Fund to dictate its conditions to the fragile government in Islamabad in the same manner as was the modus operandi of the colonial powers in the past. The fund’s mission, during its visit to Islamabad, convinced the prime minister and the State Bank officials to lower the rupee value without keeping in view its aftermath and effects on the economy and the working classes. The IMF has successfully completed its mission and the central bank looked on the free fall of the country’s currency as a silent spectator for a couple of days until its worth came to the lowest ebb. What can be said other than irresponsibility of the finance managers of the country, who are occupying senior positions on the taxpayers’ money, but have failed to find a way out. The IMF officials dictated their terms and the managers accepted every advice like obedient servants. The IMF mission has now welcomed the State Bank’s move to allow the currency exchange rate to adjust the ‘market conditions’ with a hidden order to show more flexibility in the coming days. Reports suggest some of the beneficiaries of this move have earned billions of rupees overnight without investing anything. When there is weak government in the centre, the officials can cross any limit without any fear of accountability. The National Assembly and Senates are also working normally on the taxpayers’ money but most of the parliamentarians are least interested in the economic affairs and. The devaluation of the currency is disastrous for the economy, but it seems the move has nothing to do with anyone from the government or the opposition benches.
pak-french economic cooperation T
LAHORE
DR AftAB AfZAL
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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 Uinancial 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 Uields 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 beneUits 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 conUined 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 Uive billion dollars if business to business cooperation is enhanced. There is also need to lower dependence on the export of mere raw material.
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Customs Tribunal directs FBR field offices to submit replies soon ISLAMABAD: The Customs Appellate Tribunal heard a couple of customs matters involving field offices of the Federal Board of Revenue (FBR) and directed the respondents to submit their replies at the earliest. The Customs Appellate Tribunal’s bench, comprising of Members Tribunal Syed Muhammad Anwar and Muhammad Nasir Khan, heard the matters. M/s United Diplomatic Bonded Warehouse and M/s Danial Engineering had filed the references. Counsels from M/s United Diplomatic Bonded Warehouse and M/s Danial Engineering appeared before the bench and demanded time from the bench for finalizing the preparations for the case. The bench directed the counsels to finalize the arguments and related stuff and then appear before the bench next week.
IHc reserves verdict of customs reference filed by M/s Al catel Lusent
Friday December 22, 2017
National
Light centre moves SHc against levy of duty on consignment of LED lights
ISLAMABAD
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slamabad High Court on Friday reserved decision on a customs reference filed by M/s Al Catel Lusent Pakistan Limited. IHC bench comprising Justice Aziz and Justice Mohsin Akhtar heard the final arguments and reserved the decision. M/s Al Catel Lusent Pakistan Limited 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 Al Catel Lusent Pakistan Limited for outstanding tax recovery. Through both the references, M/s Al Catel Lusent Pakistan Limited had named chief commissioner Inland Revenue, LTU, assistant commissioner Inland Revenue Withholding, LTU, commis-
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M B RANA
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he Sindh High Court (SHC) has issued notices to the customs ofUicials and deputy attorney general on another constitutional petition Uiled by Light Center against imposition of duty and taxes on consignment of LED lights. While the hearing of the petition, a two-member bench, comprising Justice Munib Akhtar and Justice Omer Sial, also directed them to Uile their respective comments on the next date of hearing. Earlier, counsel for the petitioner stated that it is engaged in the lawful business of import of above mentioned goods according with law which is entitled under 5th schedule of the Customs Act, 1969 and imported consignment of above mentioned goods and Uiled goods declaration under availing exemption as entitled under 5th Schedule of the Customs Act, 1969. Counsel further informed the court that, however, ofUicials of the Customs Collectorate of Appraisement who has not accepted the assessment made by
the petitioners on the pretext that the petitioners’ goods are not entitled for relevant exemption as per assessment. Citing Chairman Federal Board of Revenue, Collector of Customs Model Cus-
toms Collectorte Appraisement West, the Engineering Development Board Alternate Energy Department Board as respondents, petitioner pleaded the court to declare the act of the re-
spondents as illegal, mala Uide and arbitrary. He also pleaded the court may declare that above mentioned goods are entitled under 5th Schedule of the customs laws.
govt issues Lt & Levies Drawback order to promote exports ISLAMABAD
sioner Inland Revenue (Appeals), LTU, and Federal of Pakistan through the chairman of Federal Board of Revenue (FBR) as respondent in the case. Show-cause notices had been issued for the tax year 2013 in head of income tax under sections of income tax ordinance, 2001. M/s Al Catel Lusent Pakistan Limited had prayed the court to direct LTU not to recover the said amount and abstain from any coercive action in this regard. The petitioner had prayed the court operation of the impugned notices issued by the tax authority may kindly be suspended till the decisions of appeal pending before the LTU.
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tARIQ DERYA
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he Ministry of Commerce has issued Local Taxes and Levies Drawback (Non-Textile), Order, 2017 to promote exports by providing incentives in the shape of rebates. The drawback order said that it will be available for the shipments made during July 01, 2017 to June 30, 2018, with the beneUits as under: Uifty percent of the rate of drawback shall be provided without condition of increment; remaining Uifty percent of the rate of drawback shall be provided, if the exporter achieves an increase of ten percent or more in exports during the Uinancial year 20172018, as compared to the Uinancial year 2016-2017; the actual rate of drawback against clause (b) shall be
determined on the basis of annual performance of the exporter, but in order to improve his cash Ulow, the disbursement against clause (b) shall be allowed on the performance during July – December, 2017, subject to submission of a bank guarantee that the exporter shall return excess amount, in case his annual
exports are less than the eligibility criteria stipulated in clause (b); and an additional two percent drawback shall be allowed for exports to nontraditional markets i.e. Africa, Latin America, non-EU European countries, Commonwealth of Independent States and Oceania at the time of submission of claims at clause (a).
According to eligibility criteria the drawback would be provided to units on exports of products under speciUic tariff codes of the Pakistan Customs Tariff. The order said that the export performance shall be analyzed separately for each category for eligible products. Exports shall be calculated on the basis of shipment date. Only those exports shall be eligible for the drawback claims, proceeds of which have been fully realized. However, the date of realization shall have no bearing in determining the year in which the transaction shall be accounted for. The unit availing the drawback shall be a registered sole proprietor, partnership r a company, having a valid NTN and shall be a member of respective association or chamber registered with the DGTO.
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Appraising officer Qamar provisionally reinstated Friday December 22, 2017
National four IR officers of BS 20-21 relieved from duties to join new posts
ISLAMABAD: Qamar Jamal, a Pakistan Customs Service officer of BS-16, has been provisionally reinstated into service with immediate effect until further orders. The officer, posted as Appraising officer at Model Customs Collectorate of Appraisement-West, Karachi was placed under suspension vide Board’s Notification No. 0381-C-III/2017 dated 08.02.2017.
two officers return to fBR after serving 5 years in pRA
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he Federal Board of Revenue has relieved four Inland Revenue Service officers of BS 20-21 from their duties with immediate effect to join their new place of postings. The officers, who were relieved in pursuance of Law and Justice Division’s Notification No F.1(2)/2015-A.IV, dated 30.11.2017, include Syed Ayaz Mahmood (IRS/BS-21), Dr Muhammad Akram Khan (IRS/BS-21), Nadir Mumtaz Warraich (IRS/BS-21)and Syed Tahir Raza Zaidi (IRS/BS-20). Meanwhile, Adeem Khan, a Pakistan Customs Service officer of BS-19, has assumed charge as Secretary. The officer, in pursuance of Board’s Notification No.2876-C-I/2017, dated 12.10.2017, relinquished the charge of the post of Additional Director at Directorate General of Internal Audit (Customs), Islamabad with effect from November 6, and took charge of the post of Secretary.
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Superintendent Dilawar to retire on April 1 ilawar Khan, an Inland Revenue Service officer of BS-16, is going to retire from the government service on attaining the age of superannuation. The officer, posted as Superintendent at Regional Tax Office, Peshawar, presently posted on attachment basis in the Model Customs Collectorate, Peshawar, will stand retired from the government service on April 1, 2018. Meanwhile, Shafiq Ahmad Khan, a Pakistan Customs Service officer of BS-16, is set to retire from the government service on attaining the age of superannuation. The officer, posted as Deputy Superintendent at Model Customs Collectorate, Peshawar, will stand retired from the govt service on February 2. –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 ofUices to join their parent department- the Federal Board of Revenue (FBR) Headquarters Islamabad. Both the ofUicers, who joined PRA of the Government of Punjab, in December 2012 on a Uive-year deputation, are likely to join further postings in the FBR in days to come. Two notiUications 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) ofUicer and Addi-
tional Commissioner by designation, is considered among the pioneers of
establishing the PRA in the light of the 18th Constitutional Amendment
and transfer of Sales Tax on Services (STS) to the provinces.
LHc suspends final recovery notices of Rs24 billion served on gepco by fBR T
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ZAfAR MALIk
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he Lahore High Court (LHC) has suspended the Uinal recovery notices of Rs24billion issued to the Gepco by the Federal Board of Revenue (FBR) to recover big arrears in the shape of different taxes and duties. The FBR had issued the Uinal recovery notices to the Gepco to ensure that early payment of Rs24billion is made before the end of December 2017. The Gepco ofUicials said the case of levying minimum duties to the Gepco by the FBR was already under trial in the Lahore High Court(LHC) and, till the Uinal verdict to be announced by the LHC, the Gepco is unable to pay Rs24billion to the FBR in this regard. On this, the LHC suspended the abovementioned recovery notices till further orders.
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Govt taking serious steps for betterment of PIA: Senate told ISLAMABAD: Minister for Parliamentary Affairs, Sheikh Aftab Ahmed 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 staffing 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.
Nawaz’s banking records provided during NAB reference hearing LAHORE
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hree witnesses recorded their statements in the three NAB references against the Sharif family. Former Prime Minister Nawaz Sharif arrived at the hearing of the NAB reference cases against him for the tenth time. His daughter Maryam Nawaz accompanied him while her husband Captain ® Safdar arrived separately. In the Flagship reference case, the witness Director Foreign Ministry Afaq Ahmad said that on May 28 the Qatari prince wrote a letter to Wajid Zia. The letter was received by Wajid Zia on May 30. In the Al-Azizia reference, the witness was the Operational Manager of a private
Bank in Lahore named Yasir Shabbir. Shabbir provided details of the amount transferred in Maryam Nawaz’s account and also gave the details of Nawaz Sharif ’s banking records from February 12, 2010 to June 2017. He told the court that based on four transactions, Rs 50.91 million were transferred into Maryam Nawaz’s account. The witness did state that there was no illegal process in the transaction. In the London flats reference, the witness Shakeel Nagra stated that NAB had been provided with copies of the JIT from the Supreme Court. The accountability court issued summons for two other witnesses, Zawar Manzoor and Tasleem Khan. Proceedings of the case were postponed till January 3 and witness Yasir Shabbir was ordered to present himself at the next hearing with additional documents.
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pakistan, Brazil ties strengthening in all fields: Secy commerce
ADB lauds pakistan’s improved credit rating MULTAN
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senior official of Asian Development Bank (ADB) on Tuesday said the credit rating of Pakistan had significantly improved during the recent years and the investors were showing keen interest to take benefit of the existing investment opportunities. Xiaohong Yang, Country Director ADB in a meeting with Prime Minister Shahid Khaqan Abbasi said Pakistan’s return to international financial market was a clear indication of investors’ confidence in country’s economy. Ms Xiaohong appreciated the progress that Pakistan had made towards overcoming energy-deficit by producing surplus generation. She also noted robust economic growth which was projected to reach 5.8 percent during the next financial year, enhanced revenue generation and structural reforms being undertaken by the present government. She said marked improvement in power sector had not only brought relief to domestic consumers but was also leading to growth in large scale manufacturing.
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akistan and Brazil are moving forward in further deepening their bilateral relations in all Uields, especially in commerce and trade, Secretary Commerce Muhammad Younus Dagha said.“A number of memorandums of understanding (MoUs) and agreements have already been signed between the two countries, while several more are being Uinalized by the two sides,” he said on culmination of his two-day ofUicial visit to Brazil. According to a message received here from Brazil, he expressed satisfaction over the outcome of his substantial and meaningful meetings with the high government ofUicials of Brazil. Dagha said the both sides had looked into ways and means to increase bilateral trade and investment for the mutual beneUit of peoples of the two countries. Bilateral trade between Pakistan and Brazil has increased over the last four years by 100 percent from $225M in 2013-14 to $449M in 2016-17. Presently, Pakistan has a negative trade balance with Brazil amounting to -$359M in FY17 with
Friday December 22, 2017
exports of $44.5M and imports of $404M. Pakistan’s main exports to Brazil are in articles of apparel, home textiles, surgical goods, cotton fabrics and yarn, articles of cutlery and sports goods whereas Pakistan’s main imports are in Soybeans, raw cotton, iron and steel, soybean oil and machinery. On December 14, in Brasilia, Secretary General Marcos Galvao warmly received the secretary commerce at the Brazilian Foreign OfUice. Terming the visit of secretary commerce “timely”, Galvao hoped for frequent high level interaction between the two countries. Both the sides reviewed bilateral
relations in all Uields especially in the trade and investment domains. Referring to the on-going cooperation between the two friendly countries, the need for early Uinalization of bilateral agreements such as Agreement on Technical Cooperation and establishment of Joint Commission was emphasized. Dagha also underlined the importance of early start of negotiation on Pakistan’s PTA with MERCOSUR. The Secretary General stated that MERCOSUR partners could appropriately engage Pakistan as the Forum was now looking forward to interact with countries outside South America to promote trade and investment relations.
pIpS organises consultation on business and human rights
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akistan Institute for Parliamentary Services (PIPS) in collaboration with Oxfam organized a two-day consultation on National Action Plan (NAP) on Business and Human Rights. The consultation aims to engage the legislators, Provincial Policy makers in the domain of human rights to generate debate concerning legal policy dimension of Business and Human rights. Federal Minister for Human Rights Mumtaz Ahmad Tarar was the Chief Guest of the inaugural cer-
emony of conference. Minister underscored that the country’s sixtymillion strong work force continued to face signiUicant problems, such as salaries below the legal minimum, obstacles to trade union formation, unsafe work conditions, approximately two to three million children in the workforce and women earning signiUicantly less for the same work as men. One aspect of human rights was related to tax responsibility of business enterprises which was the vital source of state to deliver human rights. The minister ensured his support demanded by the stakeholders in legislative matters con-
cerning the subject, he added. Key Note Speaker, Human Rights expert I.A. Rehman shared this thorough insight highlighting the need for enforcing and implementing the guiding principles for NAP on Business & Human Rights similarly establishing few new principles for effective monitoring of the state of play regarding it. Executive Director PIPS, Zafarullah Khan shared his welcome remarks and emphasized on the importance of this consultation in national context. Provincial representatives from all the four provinces shared their remarks and current situation in their respective provinces regard-
ing Business and Human Rights. Provincial representatives included Secretary Human Rights Punjab Asim Iqbal, Secretary Law Khyber Pakhtunkhwa Asghar Ali, Secretary Human Rights Balochistan Mohammad Asghar and Secretary Human Rights Sindh Tanveer Qureshi. Member National Assembly Shehryar Afridi & Sajid Nawaz also highlighted the role of Parliament in ensuring and protecting NAP on Business & Human Rights in Pakistan. Programme manager on National Action Plan on Business and human rights Asim Jaffry said, Tax was also an issue of good governance and responsible business practice.
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World Customs
Japan finalizes income tax reform plan
SEOL: South Korea’s national tax revenue continued to increase in the first 10 months of the year amid signs of an economic recovery, the finance ministry said. It collected 236.9 trillion won (US$216.9 billion) in taxes in the January-October period, up 21.2 trillion won from the same period last year, according to the Ministry of Strategy and Finance. The amount is equal to 94.4 percent of this year’s tax revenue target of 251.1 trillion won.
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Smuggling of timber logs into china continues
Russia’s central bank delivered surprise cut of MOSCOW
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lthough the smuggling of timber logs from Kachin State has declined, timbers from northern Shan State are now being illegally taken into China, according to sources close to the smugglers. Timber is smuggled from Kachin to China via vessels docked at jetties in Sagaing Region. The logs are carried by motorbike and sent to Innbarpar under control of the Kachin Independence Army (KIA) through Payargine timber ground in Mansi Township. “In recent days, the army [Tatmadaw] seized about 20 motorbikes at the Ma Dan Yan in Mansi-Gokehtek road section and then they sent those timber smugglers to Mansi Police Station,” said a source. “In previous years, about 600 tonnes of timber logs per day were
Saudi to levy 5% VAt fee on food products ood products will be subjected to the Value Added Tax (VAT) scheme, which will take effect on the 1st of January in Saudi Arabia. The Saudi Authority of Zakat and Tax (GAZT) announced that it would levy the 5% fee even on basic staples without any exception. The GCC agreement allows each member state to levy a tax on basic commodities or set a list of food products which are tax-free. A GAZT statement urged trade and economic enterprises with annual revenues exceeding SR375,000 to register with the VAT system before the 20th of December to avert any penalties and fines. VAT registration remains optional for enterprises whose revenues range from SR187.5000 and SR375,000, while those with revenues below SR187.5% have exempted. –CB Report
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sent to China. Now, the number has declined to 50 or 60 tonnes per day. Mostly teak logs were smuggled from Katha Township.” Currently, some organisations describing themselves as militias are carrying timber from forests in Mandalay and Sagaing regions to China through Pyin Oo Lwin and Naungcho Townships.
Meanwhile, Customs in south China’s Guangxi Zhuang autonomous region have conUiscated 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.
gas exports to Netherlands from Britain via BBL possible from autumn 2019
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he transportation of gas to the Netherlands from Britain through the BBL pipeline will be made possible for the Uirst time from the autumn of 2019, operator BBL Company said on Thursday. Currently, gas can only physically be transported through the BBL from the Netherlands to Britain. However, through modiUications to the pipeline network at the compressor station at Anna Paulowna
and the gas terminal at Bacton, it will be possible to transport gas from Britain to the Netherlands from the autumn of 2019. “This will further strengthen trade between the two most liquid market areas in Europe, the Netherlands-based Title Transfer Facility (TTF) and the British National Balancing Point (NBP),” BBL Company said. It added there was demand for British gas exports in Europe. –CB Report
he final details of the US tax overhaul were revealed Republican tax plan cuts the corporate tax rate to 21% on a permanent basis, while offering temporary cuts to individuals. The tax plan is expected to be voted through Senate by Tuesday and signed by President Donald Trump by the end of the week, before entering into force by February. According to the Joint Committee on Taxation (JCT), the reform will raise economic growth of about 0.8% over the next ten years. However, according to the JCT’s estimate (link), this will only cover about a third of the cost , which means that the reform will add at least USD1trn to the USD20trn national debt over next decade. The plan could also boost
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US corporate earnings by some 10% on average, with oil refiners, airlines and banks among the main beneficiaries, according to Financial Times. Expected passage of tax plan lifts equity markets. On Thursday, concerns about the tax plan passing this year weighed on stocks as not all Republican senators had committed to supporting it . However, on Friday there seemed to be full backing for the deal with all 52 Senate Republicans in support. This lifted US stocks, with S&P rising 0.9% and the gains have carried over to Asian trading this morning. Fitch upgrades Ireland and Portugal on Friday. Ireland was upgraded by one notch to ‘A+’, while Portugal’s sovereign rating was raised two not ches to ‘BBB’. Please see the Fixed Income section for details. Russia’s central bank (CBR) delivered surprise cut of 50bps to 7.75% on Friday. Together with the market and Bloomberg consensus, we unanimously expected a 25bp cut.
Eu, uk to progress to trade talks
he European Council will decide on December whether talks on the UK’s exit from the European Union can proceed to a second stage, to trade and tax issues. The European Commission on December 8 recommended to the European Council to conclude that sufUicient progress has been made in the Uirst phase of the Article 50 negotiations with the United Kingdom, following an agreement recently reached on three priority areas: citizens’ rights; the dialogue on Ireland and Northern Ireland and the border; and the Uinancial settlement. The Commission said EU citizens
living in the United Kingdom will be protected under the deal, stating that the rights of EU citizens living in the United Kingdom and United Kingdom citizens in the EU27 will remain the same after the United Kingdom has left the EU. The Commission has also made sure that any administrative procedures will be cheap and simple for EU citizens in the United Kingdom, it said. As regards the financial settlement, the United Kingdom has agreed that commitments taken by the EU28 will be honored by the EU28, including the United Kingdom. –CB Report
Japan planning targeted corporate tax relief
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apan’s ruling Liberal Democrat Party has approved a tax reform package that will cut corporate rates for companies who increase employee wages and productivity. Companies that increase employee wages by three percent
would be able to reduce their corporate tax rate down to 25 percent. A further cut to 20 percent would be possible for companies investing into improving their productivity or engaging in digitalization. This tax relief would be introduced for three years only, beginning next Uiscal year, which begins in April. The government also approved plans to increase duties on tobacco
products from October 2018, as well as implement a new departure tax of JPY1,000 (USD8.84) per person from January 2019. Income taxes will rise from January 2020 for workers earning more than JPY8.5m (USD75,118) per year, and tax deductions for company employees will be reduced. “Production will be between 23.5 million to 25.5 million mt with
about 18 million mt of exports. The difference between production and exports will be given over for domestic feed,” a source said. Ukrainian corn has even missed out in Egypt where freight has made it more competitive than Argentine and Brazilian. “Buyers still prefer Argentine origin despite Ukrainian being a little cheaper” a source said.
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Japan exports imports surge on strong demand in China US TOKYO: Japan has reported its exports rose 16 percent in November from a year earlier while imports jumped 17 percent. Customs data released Monday showed the trade surplus slipping to 113.4 billion yen ($1 billion) on exports of 6.92 trillion yen ($61.4 billion). Imports totaled 6.81 trillion yen ($60.4 billion). Exports to China surged 25 percent, helping drive a 20 percent increase in exports to all of Asia. Shipments to the U.S. were up 13 percent, while exports to Western Europe climbed 17 percent, led by a 27 percent jump in exports to Germany. A revival in export manufacturing is helping sustain Japan’s recovery, with strongest growth in shipments of vehicles and machinery.
Sri Lanka hands over Hambantota port to china ri Lanka formally handed over the control of the southern deep sea port of Hambantota to the Chinese-led companies that will run its operations, and received its first payment on the 99-year lease, the Colombo Gazette reported. The China Merchants Port Holdings company owns 85% stake in the Hambantota International Port Group Ltd, which will now restructure the port for an estimated cost of $794 million. The total deal is worth $1.1 billion and will help Colombo repay the money it owes Beijing. The Sri Lanka Port Authority controls the rest of the stake in the company. The other Chinese company involved in the port development projects is the Hambantota International Port Services. Earlier, on Friday, the Sri Lankan Parliament overwhelmingly passed
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Ports & Shipping
Shipping activity at port Qasim
kpt shipping movements report
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Cargo handling remained upward trend at the Port on Tuesday where a cargo volume of 177,107 tonnes, comprising 160,520 tonnes import cargo and 16,587 tonnes export cargo inclusive of containerized cargo carried in 4,426 Containers (TEUs), (3,553 TEUs imports and 873 TEUs exports) was handled during last 24 hours. Edible oil carrier Sloman Hestia
ollowing were the Movements of Ships at Karachi Port Trust (KPT) during last 24 hours, ending at 0700 hours. SHIPS SAILED: Glory Trader Golden Ray Maistros Wiking Talassa FSL London X-Press Sunray. SHIPS BERTHED: Pure Vision General Cargo Tirua Container Ship YM Wealth Container Ship Union Trader Coal FS Diligence Tanker Chipolbrok Atlantic General Cargo EXPECTED SAILING DATE Tirua 19/12/17 DL Violet 19/12/17 COSCO Durban 19/12/17 FS Diligence 20/12/17 EXPECTED ARRIVAL DATE CARGO Hyundai Force 19/12/17 Cont COSCO New York 19/12/17 Cont SBI Lyra 19/12/17 D/59912.Coal Athos 19/12/17 D/14945 G.C M.T.Karachi 20/12/17 D/70000 Crude Oil Al Mahboobah 20/12/17 D/16290 Chem Sima Genesis 20/17/17 Cont Sima Giselle 20/12/17 Cont MOL Explorer 20/12/17 Cont. Meanwhile, The Karachi Port Trust (KPT) issued the following shipping report for the last 24 hours, ending 0700 hours. ALONG SIDE (Bulk Oil Pier) OP-I Shalamar D.
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even ships, MSC Al-Ghero, Maersk Kensington, Bao Success, Eptalofs, Sea Fortune, Al-Noman and Maistros carrying Containers, 158,694 tonnes steel coil, 43,551 tonnes Canola seeds, 5,400 tonnes Chemicals, 141,011 cubic meters LNG, 10,017 tonnes Diesel oil and 21,132 tonnes Mogas were allotted berths Qasim International Containers Terminal, MultiPurpose Terminal, Grain & Fertilizer Terminal, Engro Vopak Terminal, Engro Elengy Terminal and FOTCO oil Terminal respectively.Meanwhile another edible oil carrier Genuine Galaxy also arrived at outer anchorage of Port Qasim on Wednesday morning. Berth occupancy was reported at the port 53% on Tuesday where total nine ships are currently occupying berths to load/ofUload Containers, project cargo, Canola Seeds Chemicals, LNG Palm oil and Diesel oil during last 24 hours.
Friday December 22, 2017
and Chemical carrier Sea Fortune sailed out to sea on Wednesday morning. Three ships, Genuine Galaxy, Ever Rich-6 and Maria-III carrying Palm oil and LPG are expected to take berths at LCT, EVTL and SSGC respectively on Wednesday, while two more ships Suez Canal and CCNI Arauca with container are due at Port Qasim on Thursday.
S Arabia plans $19b boost for private sector two gazette notifications that will grant tax concessions to the Chinese companies, the Sri Lankan newspaper Daily Mirror reported. With this, Chinese news agency Xinhua reported, the Ranil Wickremesinghe government has joined China’s Belt and Road Initiative. “The Hambantota Port will add to Sri Lanka’s concept of transforming into a hub in the Indian Ocean,” it quoted the Sri Lankan prime minister as saying. The objective of the Belt and Road Initiative is to build trade and infrastructure networks that connect Asia with Europe and Africa along the ancient Silk Road routes. The project has faced protests from not only the opposition parties but also from members of the government.
RIYADH
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audi Arabia is to inject SR72 billion ($19.2 billion) into the private sector of the economy in a bid to stimulate activity in the nonoil sector, which has been hit by the slowdown in government spending as a result of oil revenue weakness. Housing and small business are major beneUiciaries of the stimulus package. Among the measures announced in a decree by King Salman are a SR21.2 billion initiative on subsidized loans to provide housing, a SR13.8 billion injection into new building technologies, and a proposal valued at SR10 billion to support the funding of big infrastructure initiatives. Other big items include a SR1.5 billion initiative to support companies in Uinancial distress, and a SR7
billion plan to refund government fees to small and medium enterprises (SMEs). A statement from the Center for International Communication (CIC) in Riyadh said the decree was based on recommendations from Crown Prince Mohammed bin Salman, who is also deputy prime minister and president of the powerful Council for Economic and Development Affairs. The growth of the non-oil economy is a crucial part of the Vision 2030 strategy which seeks to reduce the Kingdom’s dependency on oil revenue and government spending. The private sector of the Saudi economy is still largely dependent on spending by government agencies for its economic activity. The government is planning some $200 billion worth of state sell-offs in one of the biggest privatization plans in history, in addition to the planned $100 billion initial public offering (IPO) of shares
in Saudi Aramco. “The private-sector stimulation packages aim to strengthen competitive capabilities of a number of segments of the national economy, develop its outcomes as well as improve the business and investment environment and facilitate their implementation,” the CIC added. Other smaller items in the stimulus package include an export promotion program worth SR5 billion, and a broadband and optical Uiber investment worth SR2.56 billion, and measures to invest in high-efUiciency air-conditioning units. Commerce and Investment Minister Majid Al-Qasabi explained in an interview with Bloomberg that the package was part of a SR200 billion, four-year program announced last year to spur the private sector to faster growth and higher rates of job creation. “Next year is the year for stimulus. That’s
how we will strengthen our bonds with local and international investors,” Al-Qasabi said. Economists have been looking for an upturn in the non-oil sector for some time. Fahad Al-Turki, chief economist with investment bank Jadwa, said: “The government’s efforts to raise non-oil revenue through structured economic reform seems to be bearing fruit … We expect to see a signiUicant ramp-up in government capital spending in the Uinal quarter of 2017.” The full 2018 budget will be announced in Riyadh next week, with economists expecting further guidance on the progress of the non-oil sector. There was however some skepticism among experts over whether the stimulus package would be enough to significantly affect growth rates, which have fallen to near zero for the overall economy this year.
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IHC seeks reply from FIA in Hijazi case Friday December 22, 2017
Business
ISLAMABAD: The Islamabad High Court (IHC) sought a reply from the Federal Investigation Agency (FIA) in a petition of former SECP chairman Zafar Hijazi seeking quashment of record tempering case against him. Justice Mohsin Akhtar Kiyani heard the case. During the course of proceedings, the counsel for Zafar Hijazi argued that his client was accused of pressurizing his subordinates to temper Chaudhry Sugar Mills record, but no such note signed by his client was found.
pakistan to initiate dialogue on ftA with pacific ISLAMABAD
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akistan wants to initiate negotiation with PaciUic and South East Asian nations on proposed Free Trade Agreement (FTA) for enhancing the multilateral trade and competitiveness in country’s trade. Countries including Japan, Indonesia, Vietnam, Philippines in PaciUic region also in list for starting dialogue on Preferential Trade Agreement (PTA) leading towards FTA for promoting trade liberalization, a senior ofUicial of Ministry of Commerce told. He said Pakistan and Indonesia had agreed on concession for 20 dif-
E-commerce to boost economy KARACHI
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ferent items during bilateral negotiation under Preferential Trade Agreement (PTA). Both sides discussed 20 tariff lines and Indonesia agreed to give concession on major exports from
Business community for evolving joint strategy of economic uplift
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inistry of Information Technology and Telecommunication was encouraging future of e-commerce in the country through accelerating growth of the underserved and un-served artisans, sellers, and suppliers to boost country’s economy. The Universal Service Fund (USF) wants to reach the 20 million artisans in Pakistan who are not digitally enabled by providing them the right tools and giving them the right resources.
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Pakistan including rice, textile, ethanol, Citrus (Kinnow) and mangoes during renegotiation on PTA, he said. Concession on 20 tariff lines was major success of Pakistan and now Pakistani citrus export to In-
donesia will increase from 18 to 35 million tones and mangoes exports will increase to 10 million tons in a year, he said. The ofUicial said before PTA, Indonesia granted only two months for export of Pakistan’s Citrus and mangoes but now after renegotiation, Pakistan can export these fruits to Indonesia for the whole year and any time-limit was removed. Replying to a question, he said that Pakistan and Indonesia had current annual trade volume of $ 170 million which was expected to increases after renegotiation on PTA between the two countries. Both the countries agreed to expand PTA and go for a Free Trade Agreement between them, the ofUicial said. He said the Indonesia-Pakistan Preferential Trade Agreement (PTA) was signed in February 2012.
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usiness community has urged the mainstream political parties for sitting together to evolve a joint strategy for the economic development of the country. They said that political stability was vital to face internal and external threats including new US Trump administration and Indian aggressive policies towards Pakistan. In a statement Vice President SAARC Chamber of Commerce
Iftikhar Ali Malik urged the political parties for adopting a unanimous approach to scale down US pressure on Pakistan and give a message to foreign powers that entire Pakistan stands united and on one page to face internal and external security challenges. Iftikhar Ali Malik, who is also founder Chairman of Pak-US Business Council slammed the US President Donald Trump policy about alleged terrorists’ safe haven in Pakistan, said his illogical stance was singularly unhelpful in achieving the objective of strategic stability and durable peace in the South Asian region. He said the US ad-
ministration should offer fruitful help to Pakistan for revival of its economy so that it can Uight more efUiciently against terrorism. He suggested for expanding cooperation on 2013 Joint Action Plan on Trade and Investment as the United States remains Pakistan’s largest bilateral export market and a signiUicant source of foreign direct investment. He said the United States was Pakistan’s largest bilateral trading partner. He said it would be in the interest of both the countries to enhance their trade volume which had been hovering around $5 billion for the last Uive years.
SBp clarifies financing gap figures KARACHI
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he Central Bank has clarified that the estimate of financing gap for FY18, attributed to Governor SBP, appearing in today’s newspapers is misconstrued. In a statement, the State Bank of Pakistan (SBP) stated that it appears that the numbers have been confused with the gross external financing requirements of the country.Financing gap is the difference between country’s estimated gross financing need and available financing. SBP’s current estimates suggest that during FY18 the financing gap is likely to be around $2.5 billion, and NOT $ 12 billion as reported in the press. Furthermore, it may be highlighted that the Government and SBP have recently taken several measures to contain the financing gap. These include: (i) imposition of regulatory duties on non-essential imports (ii) provision of un-interrupted energy to the exportoriented industries (iii) the export package worth Rs180 billion and, (iv) introduction of Asaan Remittance Account to support the inflow of worker remittances through official channels. These measures, together with the recent market-driven adjustment in the exchange rate would help in narrowing the current account deficit, thereby reducing the gross financing need, the statement added.
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NAB arrests two officials in cooperative Housing scam MULTAN
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ational Accountability Bureau (NAB) Multan has arrested Muhammad Walayat Khan Deputy Registrar Bahawalpur Division (Ex-District OfUicer Cooperatives Multan) and Iqbal Ahmed ExInspector Cooperatives Multan on their alleged involvement in illegally reactivating Government OfUicials
Cooperative House Building Society Multan. NAB spokesman said in a statement that both accused illegally reactivated Government OfUicials Cooperative House Building Society Multan in year 2010 which was defunct since 1959. Initially the cooperatives refused to reactivate the society, however, upon promise of 5% quota for employees of cooperatives, the management committee illegally reactivated the society thereby allotting 1946 plots in
violation of bye-laws in both phases. After illegal reactivation, the accused management committee of society launched two phases at Mouza Babranwala near Chowk Kumharan here and Mouza Kot Rabnawaz at Southern bypass near Vehari Chowk here without the prior permission of registrar cooperatives Punjab. The management of society conducted balloting without getting layout plan approval from Multan Development Authority (MDA).
The accused management committee illegally used the logo of MDA thereby giving false impression to general public luring them and collected Rs 1.2 billion. Till date marginal development worth Rs 50 million has been carried but not a single plot has been handed over to allottees. Earlier in 2016, the only permission allowed by MDA for phase II was withdrawn by declaring the entire scheme as illegal. Both accused were produced before Judge Ac-
countability Court Multan. The NAB court allowed physical remand of the two accused for 13 days. Another accused Malik Naseer Ahmed Bhatti, already in custody, revealed that he obtained an amount of Rs 481 million in lieu of development works and procurement of lands. However, in return he transferred land valued Rs 280 million approximately in the name of society. This way he was overpaid to the tune of Rs 150 million by the society.
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UAE looks to increase US LNG imports DUBAI: Energy heads from the UAE and United States discussed further collaboration, including the possibility of liquefied natural gas imports from the North American country. The UAE energy minister and 2018 Opec president, Suhail Al Mazrouei, met with Rick Perry, the US energy secretary, on Tuesday to “move forward joint cooperative efforts”. “The two ministers noted that the growing US LNG exports could provide an option for an additional source of gas supply to the region,” the UAE energy ministry said in a statement. This comes after Mr Perry’s visit to Saudi Arabia where the countries signed a memorandum of understanding for clean fossil fuels and carbon management. The UAE is a pipeline natural gas net importer while being an LNG exporter.
Diplomats’ role crucial to increase exports: fccI
Friday December 22, 2017
Chambers
traders call for shifting of District courts from f-8 Markaz
FAISALABAD
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he business community of Pakistan must develop good relationship with foreign diplomats to give a quantum jump to exports, and Faisalabad Chamber of Commerce & ndustry Standing Committee on Diplomatic Affairs and International Trade Delegations should work seriously in this regard, said FCCI President Shabbir Hussain Chawla. Chairing the standing committee meeting, he said that Lahore and Islamabad chambers were very active on this front and regularly organising international events. The events were attended by ambassadors, diplomats and high government officials including president and prime minister of Pakistan. He said that participation of the
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chamber members in the events was very productive and the standing committees must encourage relevant members of FCCI to ensure their presence in these meetings. FCCI Standing Committee Chairman Engineer Suhail Bin Rasheed told the audience that various foreign ambassadors have already been invited to attend the FCCI. Similarly, the procedure to send foreign trade delegations to different potential markets had also been finalised, which would be implemented with the consultation of FCCI president and Executive Committee. The meeting was also attended by Senior Vice President Sheikh Farooq Yusuf, Vice President Usman Rauf, Muhammad Shafique, Sheikh Muhammad Idrees, Rana Ikram Ullah, Sheikh Abrar Ahmed, haudhary Talat Mehmood, Rana Sikandar Azam, Tauqeer Ahmed, Muhammad Ameen, Haider Miraj, Zahid Mehmood, Shakeel Ahmed Ansari, Muhammad Nadeem Malik and Muhammad Rafique.
ISLAMABAD
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delegation of Islamabad Chamber of Commerce and Industry led by Sheikh Amir Waheed visited F-8 Markaz and congratulated Sardar Tahir Mehmood on his unopposed election as President, Traders Welfare Association (TWA) F-8 Markaz, Islamabad. They also congratulated Raja Abdul Qadir on being elected as Senior Vice President and Rana Javied Khursheed and Muhammad Imtiaz as Vice Presidents of the Union. Muhammad Naveed Senior Vice President, Nisar Mirza Vice President ICCI, Baser Daud, Khalid Chaudhry and others were in the delegation. Speaking at the occasion, Sheikh Amir Wahheed, President, Islamabad Chamber of Commerce and Industry assured that ICCI would cooperate with TWA, F-8 Markaz, Islamabad in resolving key issues of their market. He said that the presence of district courts in F-8 Markaz was a major problem for the business community of the area and called upon the relevant au-
thorities to shift these courts from F-8 Markaz as soon as possible to save traders from further losses. He hoped that the newly elected ofUice bearers of TWA, F-8 Markaz would play more effective role in promoting the business interests of traders of the area. Muhammad Naveed Senior Vice President and Nisar Mirza Vice President ICCI said that the existence of district courts in F8 Markaz was not only a security
threat for the lives of honorable judges and lawyers, it was also creating difUiculties for the traders and residents of the area. They stressed for early completion of the Islamabad High Court building to pave way for the shifting of district courts from F-8 Markaz. Speaking at the occasion, Sardar Tahir Mehmood, newly elected President, Traders Welfare Association (TWA) F-8 Markaz, Islamabad
IMf interference in economy mother of ills LAHORE
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conomy is inching towards point of no return due to disturbing interference of International Monetary Fund (IMF) in the Pakistani economy therefore people sitting on the helm of affairs must revisit economic policies. “I had identiUied 25 sectors to overcome trade deUicit. I am working day in and day out to help jackup exports and curtail imports”, the LCCI President Malik Tahir Javaid said. He said that industry is the main victim of deepening economic crisis. Rupee devaluation is adding to the economic miseries of the country and all these ills produced just because of awful interference of IMF in the Pakistan’s economic matters and dictations to the policy
makers for taking harsh measures. The LCCI president said that Pakistan is the “most frequent customer” of IMF and Pakistani governments often depended on borrowing from IMF and accepted stringent conditions despite the fact that this institution is merciless money lender which always forced Pakistan to adopt bad policies like rupee devaluation, massive increases in the electricity and gas prices. “How a country can take independent decisions and grow its economy when it is carrying the burden of over $85 billion debts and utilizing huge part of the federal budget for debt servicing”, the LCCI President questioned. He said that Pakistan would be loser in many heads if immediate measures are not taken to get rid of the massive loans which are the mother of most of the economic ills.
He said that though it is a tough but not impossible task as if Turkey can do it than why we cannot. The LCCI office-bearers Malik Tahir Javaid, Senior Vice President Khawaja Khawar Rashid and Vice President Zeshan Khalil retrieved their demand for permanent Finance Minister. They said that at present, the portfolio of Finance Minister is under the Prime Minister’s control as per cabinet rules. They said that the country is witnessing an unstable economic situation. They said that business community understands well that there is no overnight solution of the economic problems but there is a dire need to set directions and to introduce economic reforms in the favor of trade and industry. They said that country should have a permanent Finance Minister in the vogue of economy.
thanked ICCI for assuring cooperation in resolving issues of their market. He said shifting of the ofUices of Chief Commissioner and Deputy Commissioner ICT from F-8 to G11/4 was a laudable step and stressed that the district courts and other ofUices of administration should also shifted from this important business center of Islamabad to provide a conducive environment for business activities.
‘Many parts of city inundated due to poor drainage system’ he Vice President of Hyderabad Chamber of Commerce and Industry (HCCI) Ziauddin Qureshi has complained that poor drainage system has left knee-deep water in many parts of Hyderabad city. “The Hyderabad Railway Station gives a sight of a lake being surrounded by the sewage water all around its entrance,” he lamented in a press statement issued here on Sunday.He pointed out dozens of localities and markets where sewage water had inundated roads, making it difficult for the motorists, pedestrians and vendor carts to move.”Not only drainage but shortage of water has also hit several areas in Latifabad and City taluka,” he claimed. –CB Report
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Customs Intelligence seizes smuggled stimulant pills FAISALABAD: The Customs Intelligence and Investigation has seized foreign origin smuggled male sexual stimulant pills of different brands worth Rs 5,000,000 involving duty and taxes to the tune of Rs49,38,000 during a successful raid. Customs Intelligence Director Chaudhary Muhammad Akram received information regarding smuggling of sexual medicine on which he formed a team comprising Superintendent Muhammad Tahir, Intelligence Officers Mansoor Nasir, Sepoys Muhammad Iqbal, Israr Ahmed, Mukhtar Ahmed, Muhammad Rafique and Muhammad Tariq to curb the smuggling.
Friday, December 22 2017
CUSTOMS BULLETIN
gwadar customs impounds Iranian brake oil, electronics items GAWADAR wAQAR AHMED ANSARI www.customsbulletin.com
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he Customs Collectorate has impounded Iranian brake oil cane and electronic accessories include (Hard electric wires, fancy switches, and buttons worth more than Rs 4.50 million. Sources told Customs Today, that on the directives of the Deputy Collector Gwadar Junaid Mehmood , operation against smuggled items and non-duty paid luxury vehicles is going on in full swing and several raids have been conducted during previous month of November and operation of smuggled items is still going on during current month of December. Sources told that on Thursday morning deputy collector Gwadar constituted a team of Customs Anti-Smuggling Organization (ASO) under the supervision of Customs Preventive Inspector Shamim Ahmed Khan and others. The team, during a search operation on Gwadar Highway, intercepted a truck bearing registration KS9902 which was going out of the city. During the raids, the customs team impounded 300 small cans of Iranian brake oil, 50 rolls of hard electric wires, 600 fancy electric
board and buttons, and switches, and different kinds of circuit breakers worth Rs 4.50 million. The customs team arrested two smugglers who were involved in smuggling and
registered an FIR against the accused persons and started investigations. It is necessary to mention here that Customs Collectorate has impounded different kinds of Iran-
ian Juices and Iranian non duty paid carpet worth more than Rs6.50 million on 11th December and different type of computer accessories worth more than Rs4.26 million, included
50 LED Ulat screen monitors, 25 laptop Acer brand,500 ( 4GB Laptop Ram) and huge quantity of data cables hard wire worth 4.26 during the Uirst week of December.
ANf police station block at gwadar arranged ISLAMABAD
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nti-Narcotics Force (ANF) organized a pictorial presentation in connection with inauguration of pre-fabricated block of ANF Police Station, Gwadar. The block has been constructed with Uinancial assistance of United Nations OfUice on Drug and Crime (UNODC) and Canadian High Com-
mission in Pakistan. At a ceremony held here, Director General ANF, Major General Musarrat Nawaz Malik reafUirmed his commitment to continue war against illicit drugs with same resilience to protect our own society as well as shield rest of the world from its devastating effects. The event was attended by Secretary Narcotics Control, Iqbal Mehmood, High Commissioner of Canada, Perry Calderwood, UNODC Country Head, Cesar Guedes, Drug Liaison OfUicers of various countries, foreign dignitaries, senior ANF ofUicials and mediaper-
sons. He thanked government of Canada and UNODC for enhancing capacity building of ANF and apprised that recent contributions of government of Canada through UNODC Country Programmes for Pakistan, in supplementing Pakistan’s counter narcotics pursuits are highly appreciable. These would facilitate in infrastructure and technical uplift of Pakistan’s anti drug set-ups. The DG said Pakistan gave exceptional importance to cooperation with international community and sincerely acknowledged support provided by international partners, especially
the UNODC. He said Canadian support to augment ANF capacity at strategically important places like Gwadar would go a long way in making the world a safer place from drugs and related transnational organized crimes. The DG highlighted that trafUicking of illicit drugs and precursor chemicals was a transnational organized crime and a growing challenge to rule of law, good governance and development in many countries. Speaking on the occasion, Cesar Guedes and High Commissioner of Canada appreciated ANF’s achievements and its role as
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a specialized force in combating trafUicking of illicit drugs at national, regional and global level. They assured their all-out support to ANF to tackle menace more vigorously and reafUirmed their support in capacity building of ANF and their key role for improving international cooperation across the globe. In his address, Iqbal Mehmood reafUirmed Pakistan’s resolve to stem out menace of drugs from the country, region as well as the world. He said Pakistan would continue to pursue same resolve to strive for a world free of illicit drugs to save future generations.