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Karachi, Sat January 20, 2018

PESHAWAR

IRFAN BAHADUR

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he Customs House Peshawar has collected Rs1196.14million revenue gain in 17 days of January Financial Year 2017-18 against Rs885.8million generated in 17 days of January during previous FY2016-17.

The Customs House Peshawar, in this way, has earned Rs310.34million more

revenue this year in 17 days of January against the amount done during 17 days of January in previous FY 2016-17.

This was stated by sources at the Customs House Peshawar on Wednesday while talking with Customs Today.

The Model Customs Collectorate Peshawar has surpassed the revenue collected during 17 days of January which has become possible due to the strict rules applied by Collector Customs Gull Rahman. The MCC Peshawar has got Rs520.76million Cus-

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toms Duty in 17 days of January during current FY2017-18 which is Rs140.18million more than the amount of Rs380.58million generated in 17 days of January during previous FY2016-17. The Peshawar Customs has collected Rs459.11million revenue under the head of Sale Tax during 17 days of January in current FY2017-18 which is Rs58.53million more than Rs400.58million received under the head of Sale Tax during 17 days of January in previous FY 2016-17.

Wajid upbeat about going beyond allocated revenue target for Third Quarter

DG Valuation Surriya Butt to revise VR No 746/2015 on February 19

Customs Preventive foils attempt to smuggle heroin from Lahore airport

Customs Export recovers Rs 7.95m from M/s Nadeem Fabrics & Exports

GB Customs receives Rs180.82m surplus revenue against assigned target

The IT is one of the major sources of revenue for the Customs AFU | See pAge 02 |

DG Valuation has decided to revise the Valuation Ruling No: 746/2015 on Feb 19 | See pAge 03 |

Customs Preventive team deputed at Allama Iqbal International Airport | See pAge 04 |

Customs Export has recovered evaded amount of taxes and duties of Rs 7.95 m | See pAge 11 |

MCC GB received Rs180.82m more revenue in the present FY than | See pAge 16 |

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Four NDP & offending vehicles impounded by ASO Islamabad Saturday, January 20, 2018

Islamabad

ISLAMABAD: The Customs ASO Islamabad took into possession four NDP and offending vehicles worth Rs6.470million during first week of January of Fiscal Year 2017-18.

According to details explained by Majid Hussain Gadd, Assistant Collector, AntiSmuggling Organization (ASO) Islamabad, that the ASO Islamabad, under the guidelines of Saeed Khan Jadoon, showed satisfactory performance during first week of January FY17-18.

wajid upbeat about going beyond allocated revenue target for 3Q

RAWALPINDI

ISLAMABAD

cUStomS BULLetIN RepoRt

tARIQ DeRYA

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irectorate of Customs Intelligence and Investigation has foiled an attempt to smuggle 9,000 kilogram Iranian apples worth more than Rs 2 million and seized all the 924 crates along with truck. It is pertinent to mention here that half US dollar per kilogram customs duty is imposed on import of foreign origin apples. The seized Apples will be sold out within two days through auction because it is a perishable item. According to the details, the anti-smuggling staff of Rawalpindi Customs Intelligence received information that huge quantity of foreign origin smuggled apples will try to smuggle to internal Punjab. On tip off, anti- smuggling staff intercepted a Hino truck bearing registration no: EA 2301 (Peshawar) near Tarnol Islamabad, which coming from Bannu.

At the time of occurrence one Fazak Niaz Khan son of Umar Ayaz Khan resident of tehsil and district Bannu was the driving the Hino truck. Apparently the said truck was loaded with Iranian origin apples. Thorough search of the truck was conducted in presence of witnesses and driver which led to the recovery of the 924 crate of foreign origin apples.

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he Information Industry (IT) is one of the major sources of revenue for the Customs AFU along with the E&P and Pharma Industry. This was stated

by Wajid Zaman, Deputy Collector, Imports, Air Freight Unit (AFU) Islamabad, while giving an exclusive interview to CustomsToday.

He is optimistic that the Customs AFU Islamabad will not only surpass the revenue collection target for the month of January FY17-18 but also exceed the revenue collection target for 3rd Quarter (January to March)FY 17-18.

He said the Air Freight Unit (AFU) performed wonderfully during the month of December and second quarter (October to December) of Financial Year (FY) 2017-18.

The Deputy Collector said “I as Deputy Collector AFU Islamabad am responsible for ensuring that a levelled playTield is provided to all the importers. He added that the AFU is responsible for treating all the importers equally. Accentuating staff’s level of motivation, he said we work even beyond the working hours to facilitate importers if and when such need arises. To a query, he said if, during the checking of goods declaration, it is found that any statement in such declaration or document or any information so furnished is not

Rawalpindi customs seizes Iranian-origin smuggled apples worth Rs 2m

correct in terms of any matter relating to the assessment, the goods, without prejudice to any other action, can be impounded for the purpose of revenue collection.

The Deputy Collector opined that the government’s decision to impose Regulatory Duty (RD) on the import of luxury goods is a healthy decision because it will discourage the trend of importing vanity merchandise including expensive automobiles, yachts, luxury watches, designer apparel, jewelry, bottled

water, and branded food items including coffee and tea.

Describing the details of revenue performance during 2nd quarter (October to December) FY17-18, Wajid said the AFU Islamabad earned an extra revenue of above Rs200million under the head of Customs Duty (CD) against an assigned revenue collection of 2nd Quarter of Fiscal Year 2017-18. He added that, during 2nd Quarter FY17-18, the AFU received a revenue amounting to Rs915.888million against an

allocated revenue collection target of Rs714.87million while it earned Rs505.00million under the same head during corresponding 2nd Quarter of FY16-17.

He told CT that, during 2nd Q FY 17-18, the AFU generated 382.64% average of achievement against an earmarked revenue collection target of CD whereas, during 2nd Quarter FY17-18, the AFU showed 383% average growth against a revenue collection of previous 2nd Quarter FY16-17.

IHc seeks reply of customs matter filed by IR, LtU

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ISLAMABAD

NAeem ULLAH tARIQ www.customsbulletin.com

slamabad High Court issued notices to parties regarding assisting court on the customs matter of M/s Hasas Engineering and Construction Company 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 sustained departmental decision regarding issuance of show cause notice and demand of recovery of outstanding tax amount in head of federal excise duty (FED). M/s Hasas Engineering and Construction Company Private Limited had prayed the court that FBR office had issued a recovery notice to the company which did not hold lawful

grounds. The appellant had prayed the court to declare the act as illegal and without any lawful authority and an interim stay may be granted against recovery proceedings. M/s Hasas Engineering and Construction Company Private Limited had also mentioned that departmental obligations were not met amid processing the notice of recovery demand while later the adjudication did not address grievances of the appellant.

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Court issues non-bailable warrants against suspect in diesel smuggling case KARACHI: Customs Court Judge Syed Faiz Rasool Rashdi has issued non-bailable warrants against a suspect namely Abdul Sattar. He was booked in a case of attempting to smuggle non-duty paid 30,000 liter foreign origin high speed diesel.

During the hearing, the investigation officer submitted challan against the already arrested suspects namely Abdul Rasheed, Muhammad Raheem and absconding suspect namely Abdul Sattar. He informed the court that a team of Anti-Smuggling Organization intercepted a Hino truck and recovered 30,000 liter Iranian diesel.

court approves remand of suspect in mobile phones smuggling case

Saturday January 20, 2018

Karachi

Dg Valuation Surriya Butt to revise VR No 746/2015 on February 19

KARACHI

m B RANA

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ustoms Court Judge Syed Faiz Rasool Rashdi on sent a suspect, Shakeel Ahmed Khan, to the Customs Department on physical remand. The suspect was booked for attempting to smuggle more than 14,000 mobile phones in the garb of diplomatic privilege. It needs to be mentioned here that suspects, Faisal Bin Muhammad, Sheraz Khan and Khan Bahadur, were already in custody of the Customs Department on physical remand. During the hearing, the investigation officer produced suspect before the court and informed that the prosecution arrested the fourth suspect in this case and needs his physical remand for further investigation and to arrest the remaining suspects.

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SRB restores registrations of five taxpayers KARACHI

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indh Revenue Board (SRB) has restored sales tax registration of five taxpayers, whose registrations were suspended for non-compliance of filing return and payment of duty and taxes. In an official note, the SRB advised Pakistan Revenue Automation Pvt Limited (PRAL) to restore the registration as the suspended taxpayers had paid the amount of penalty. The SRB suspended registration of 4,338 taxpayers on July 25, 2017 for violation of Sindh Sales Tax on Services Act, 2011. However, recently the provincial revenue authority restored registration of a number of taxpayers. In the latest notification the SRB restored registration of following taxpayers: Nasir Khan and Sons; Rapid Safety (Pvt) Limited Syed Akhlaq Ali Shah Government Contractor Gul Muhammad Said & Co.

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KARACHI

wAQAR AHmeD ANSARI www.customsbulletin.com

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irectorate General, Customs Valuation, Director General Surriya Ahmed Butt, has decided to revise the Valuation Ruling No: 746/2015 on February 19, 2018, it is learnt.

Talking with Customs Today Surriya Butt has said that the department was reviewing suggestions from various importers to set new prices of press fasteners snap fasteners, press studs and parts. She said that some valuations, which were issued in 2015, were being reviewed from the beginning.

Moreover, the valuations will be set in view of rising prices in the international market. Sources told that a petition was submitted before the Customs Valuation in which change in prices of prices Press fasteners Snap Fasteners, Press studs and parts was requested.

Sources said that Valuation Ruling No: 746/2015 was issued on June 12, 2015. A meeting was held with the stakeholders on 5 January 2018. Importers were told to furnish the import invoices of the last three months showing factual values as well as websites, names and e-mail addresses of known foreign manufacturers of the item in question through which the actual current value could be ascertained.

Source said in this current month more than 6 meetings will

be held from Importers and possible that some data base also be revised in this month. Meanwhile, Directorate General, Customs Valuation, Director General Surriya Ahmed Butt, has decided to revise the Valuation Ruling No: 752/2015 on February 16, 2018, it is learnt.

According to the details, Surriya Butt has said that the department was reviewing suggestions from various importers to set new prices of Copper Clad laminated sheets.

Sources told that a petition was submitted before the customs Valuation in which change in prices of prices press fasteners Snap Fasteners, press studs and parts was requested

SHc seeks comments on plea filed by Super china

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KARACHI

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he Sindh High Court (SHC) has directed parties to Tile their comments on a constitutional petition Tiled by M/s Super China Autos, seeking 20 percent redemption of Tine on its consignment of used auto parts scrap under SRO 499 (1)/2009 dated 13/06/2009. A two-member bench was hearing the petition. Earlier, during the hearing, counsel for the petitioner

informed the court that it is engaged in lawful import of autos parts scrap and fulTills all the liabilities according to the law. He said that the petitioner imported a consignment of used auto parts scrap 18.130 MT front cabin/ haft cut HTV/ LTV/ cars without chassis number from Japan and Tiled Goods Declaration (GDs) according to the law.

According to the counsel, the said items also fall under SRO 499(1)/2009 dated 13/06/2009 subject to 20 redemption Tine on customs value as per para 2 © of the said SRO which has

been amended subsequently after arrival of consignment on Pakistan vide SRO 563(1)/2017 dated 01/07/2017.

He further argued that importer Tiled redemption according with law, however, it was refused by Customs OfTicials without considering facts. Citing Chairman Federal Board of Revenue, Collector of Customs Collectorate Appraisement East, M/s South Aisa Pakistan Terminals Ltd as respondents, petitioner pleaded the court to declare the act of the respondents as illegal, malaTide and arbitrary.

She said that some valuations, which were issued in 2015, were being reviewed from the beginning.

Moreover, the valuations will be set in view of rising prices in the international market. Sources told that a petition was submitted before the Customs Valuation in which change in prices of Copper Clad laminated sheets was requested. Sources said that Valuation Ruling No: 752/2015 was issued on June 23, 2015.

FtSe 100 faces 4th loss as pound rises K stocks slipped Thursday, with pressure on London’s blue-chips benchmark coming from continued strength in the pound and a decline in shares of Primark chain operator Associated British Foods following a trading update. How markets are moving: The FTSE 100 index was down 0.1% at 7,717.69, led by losses for telecom and utility shares.

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LHC seeks reply from FBR on notice issued to M/s Moiz Textile Saturday January 20, 2018

Lahore

LAHORE: Lahore High Court (LHC) has suspended the audit notice issued to M/s Moiz Textile Mills by the Federal Board of Revenue (FBR).

On Tuesday, Justice Shahid Karim of Lahore high Court (LHC) heard the appeal filed by M/s Moiz Textile Mills against the Federal Board of Revenue (FBR).

The counsel for appellant argued that Assistant Commissioner Inland Revenue (ACIR) has sent notices to the appellant M/s Moiz Textile Mills but under the law only commissioner Inland Revenue (CIR) is authorized to send audit notices.

customs tribunal upheld customs preventive foils attempt to oNo in gold coin & smuggle heroin from Lahore airport diamonds smuggling case LAHORE

LAHORE

SAJID NAwAZ

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ustoms Appellate Tribunal has dismissed the appeal Tiled by the Rai Muhammad Umer against the Collector of Customs (Preventive), Lahore, Collector of Customs Collectorate of Adjudication and Superintendent of Customs (I&P). Omer Arshed Hakeem, member Judicial bench-II examine record and hears arguments from complainant and respondent side and decide case with arguments that the tribunal does not Tine any reason to interfere in the case, the charge of smuggling stands established against the appellant, the impugned order is upheld and appeals is being devoid of merit.

As per brief history of case, on

NAB asked about frozen Hajveri turst bank accounts he Accountability Court Islamabad directed the National Accountability Bureau to submit a reply on former finance minister Ishaq Dar’s application, seeking to reopen the seized bank accounts of Hajveri Trust. Accountability Court Judge Muhammad Bashir issued the orders while hearing a corruption reference against Dar and also summoned four more witnesses in the case at the next date of hearing. During the hearing of the reference, “entitled assets and funds beyond known sources of income”, NAB Prosecutor Imran Shafiq told the trial court that the Islamabad High Court has rejected Dar’s petition challenging the issuance of his arrest warrants and declaring him a proclaimed offender by the accountability court on December 20, 2017. The IHC has also directed the accountability court to continue proceedings in the corruption reference against Dar. –CB Report

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the core controversy the staff of Customs Department was present in the Customs International Departure Hall Allama Iqbal International Airport Lahore and examining outgoing passengers along with his hand bag and laptop shoulder bag and found jewellary kept in his hand bag.

On demand, said passengers failed to produce documents regading lawful export of said gold. Customs staff conceived that the recovered gold, gold coin and diamonds were attempted to smuggled to Sharjah and same were seized under section 168 (1) of Customs Act 1969.

After show cause notice, adjudication proceeding were culminated and order in original passed that show cause notice is established and Rs 2, 50, 000 charged in penalty. Being aggrieved from the order, the complainant Tiled appeal before the Customs Appellate Tribunal that show cause notice.

m HAYAt

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ollectorate of Customs Preventive team deputed at Allama Iqbal International Airport foiled an attempt to smuggle two and half kilogram of heroin.

Sources told Customs Today that Collector Customs Preventive Faiz Ahmad received credible information that some passengers were trying to smuggle heroin. He immediately conveyed the same information to customs team which enhanced vigilance on international Departure and Arrival Lounge of Allama Iqbal International Airport.

The customs team intercepted a family who were going to board on Emirates Airlines Tlight no: EK-630 who were set to depart for Jeddah.

The passengers were later on identiTied as Majeed Ahmad, Shamim

Akhtar, and a child Mohammad Azan. During checking of their luggage customs team recovered two and half kilogram of heroin powder which was tactfully hidden in a Tlask.

The customs team seized all the heroin powder and arrested the passengers. Sources told that after registering a case of smuggling

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against the suspects Customs Preventive team started further investigations. It is also necessary to mention here that Collector Customs Preventive Faiz Ahmad directed all anti smuggling squads to use zero tolerance policy anyone who found involved in smuggling should be dealt with iron hands.

credit for taking strict actions against customs tribunal reserves verdict in two cases smugglers at AIIA goes to Dc Itrat Hussain he Customs Appellate Tribu- ance Audit (PCA) Lahore, SMD Sons

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he Pakistan Customs Preventive, Allama Iqbal International Airport Lahore, is working at its best kevel after the appointment of Itrat Hussain as DC Customs Lahore Airport. An action against a lady smuggler Treza is a big example of the work. Pakistan Customs, despite having much pressure for her release, arrested the lady and refused to hand over her to the Anti-Narcotics Force because she crossed two check-points of the ANF. She was about to board on the plane when

customs ofTicials, on the directions of Itrat Hussain, checked her bag. The DC Customs appreciated the Tield staff for its performance. He also directed the staff to not succumb to any kind of pressure even by any politician or prominent persons. It is pertinent to mention that Itrat Hussain on Tuesday has taken charge of his duty as DC Customs TrafTic after his transfer. Zahid Hussain Bhagvi has taken charge as DC Customs Cargo at the Allama Iqbal International Airport Lahore. –CB Report

nal, single and double benches, heard 11 cases and verdicts were reserved in two cases.

The division bench-II, comprising Omer Arshad Hakeem, Member Judicial and Imran Tariq, Member Technical, heard nine cases, including Customs Multan versus Muhammad Ameen, Roshan Packages versus Customs Lahore, Adana Communications versus Customs Lahore, Yasir Bashir versus Directorate of Intelligence and Investigation Faisalabad, Customs Lahore versus Ahmed Traders, Pak Electronics versus Directorate Post Clear-

versus Director Intelligence and Investigation Multan, Customs Lahore versus JP Constructions, M/s Comco versus Customs Lahore and Customs Lahore versus Ali H Constructions.

Customs Appellate Tribunal division bench-II not any case because the member Technical Imran Tariq was on leave and all causes are put off into next dates. Division bench- I comprising Muhammad Shabbir Gujjar, Member Judicial and Imran Tariq also not heard any case and the single benchI member judicial Muhammad Shabbir Gujjar. –CB Report

LHc suspends 7.5% extra tax notices to public companies

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LAHORE

cUStomS BULLetIN RepoRt www.customsbulletin.com

ahore High Court (LHC) has suspended 7.5 percent extra tax notices to the public companies issued by the Federal Board of Revenue (FBR).

According to the details, Justice Shahid Karim of Lahore High Court

heard the appeal Tiled by the M/s Zafar Textile in which counsel for appellant argued that if 40 percent proTit not given to the share holders then 7.5 percent extra sales tax can be charged on the companies, so the new tax by the Federal Board of Revenue (FBR) is illegal and against rules and law. Counsel further added that court may declare illegal the section 5 of Income Tax Ordi-

nance 2001. He further prayed before the court to suspend the illegal notice to the companies issued by the Federal Board of Revenue (FBR).

After hearing the arguments from the appellant, Lahore High Court (LHC) has suspended the extra sales tax notices to the public companies.

Court also issued notice the federal government and Federal Board of Revenue (FBR) and sought reply

from both sides on the next date of hearing. Till the further order by the court and decision of case, FBR cannot collect 7.5 percent extra new tax from the public companies. Meanwhile, The Lahore High Court (LHC) has ordered the Federal Board of Revenue (FBR) to decide an appeal Tiled by the Big Bird Company. Justice Aisha A Malik heard the appeal Tiled by the food company.

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LAHORE cUStomS BULLetIN RepoRt

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ustoms Intelligence and Investigation (I&I) field staff members in Sukkur region are openly taking bribe due to cover-up provided to trillions of rupees corruption. A large number of importers from different parts of the country have written letters to the FBR chairman time and again but still these corrupt elements are playing with nerves of genuine importers. Prime Minister Shahid Khaqan Abbasi and NAB Chairman Justice (retired) Javed Iqbal have shown their commitment to root out the menace of corruption but taking bribe becomes a routine practice for field staff of Customs Intelligence.

Smuggling from neighbouring countries has long been a source of concern for Pakistan. The situation gets worse when a few black sheep in the customs intelligence deliberately allow smuggled goods to move freely but stop the trucks of genuine importers at pickets to demand bribe in the garb of routine checking. This practice of a few customs intelligence officers promotes corruption as well as smuggling in the country, inflicting losses of trillions of rupees on the exchequer. This discourages legal trade and gives support to Rs. 1019 billion smuggling economy!

A recent report of the World Bank claimed that Pakistan suffers a loss of Rs3.2 trillion annually due to weak administration and non-compliant taxpayers. Importers of Karachi, Lahore, Multan, Faisalabad and Islamabad have

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Saturday, January 20, 2018

written a letter to Federal Board of Revenue (FBR) Chairman Tariq Pasha to take notice of the unchecked gross misconduct and misuse of authority by some of the ofTicers of Directorate General of intelligence, FBR across the country.

Importers revealed that some ‘notorious officers’ are involved in such malpractice and misconduct by adopting the modus operendi that they while patrolling or setting out the Nakas/Pickets on highways particularly on the route from Karachi to Punjab, used to stop the lawfully imported goods cleared from port with mala-fide intentions and ulterior motives on the pretext of routine checking and after cursory checking, bribe is demanded from importer by extending threat that if he does not fulfill their illegal demands, goods would be detained and seized by charging/framing that importer cleared the goods from wrong PCT head or at wrong values despite knowingly that Directorates of Intelligence has no authority in this regard. Sources revealed Superintendent DIT Sukkur Customs Abdul Razak Samhejo and I/O DIT Sukkur Customs Liaqat Ali used to stop vehicles loaded with imported goods and demand bribe from each vehicle. They stop all goods carriers daily travelling from Karachi to other parts of the country while crossing Sukkur. Sources said daily 1000 vehicles cross from one city to another so these two ‘corrupt’ officials get bribe of Rs 730 crores a year by getting Rs 20,000 from each vehicle.

Sources further revealed that those who do not succumb to such corruption, they make illegal seizures of legally cleared

goods. This has become routine that they arm twist legal owners of goods to get bribe or make illegal seizures. They are also not controlling smuggling which is their basic job. They are taking still more bribes for turning a blind eye on smuggling. Hence, our economy is losing trillions! These ONOs – Order Nos 18/2017 31.08.17, 301/2017 17.04.17, 42/2017 16.11.17, 22/2017 25.10.17, 35/2017 10.11.17 and 15/2017 20.12.17 — also prove corruption of these two field staff members of Customs Intelligence in Sukkur region as importers categorically refused to pay any bribe on their legally cleared goods and faced seizure in these cases.

Renowned lawyers confirmed that some officials of the Customs Intelligence and Investigations create troubles for importers and truck drivers during transportation of consignments to different cities. “It is true the field staff misuses its authority and stops consignments in violation of SRO 486,” they added.

They said that in Customs Act 1969, the Customs Intelligence and Investigation did not have powers of Sections 25 and 32-A. “The use of this authority is totally wrong”. It is worth mentioning that even the superior courts have repeatedly held that the Customs Directorate General of Intelligence have no mandate to examine, assess or seize goods that are already cleared by the appropriate appraisement staff.

They have emphatically held that the said Directorate does not have powers to exercise or invoke Section 25 or Section 32 (mis-declaration) of Customs Act, 1969.

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

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trade with Saudi Arabia

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here are close personal relations between the elite of Pakistan and Saudi monarchs.

The formers frequently visit the kingdom to look after their businesses, the latter’s only visit Pakistan for haunting the threatened species or merrymaking. The Saudi monarchs have always shown little interest in business with Pakistan and the European countries appear to be the best destinations for riyals. The new leadership in Saudi Arabia has introduced a development programme, Saudi Vision-2030, at a time the kingdom is going through political and social changes. There is a chaos in the royal family and dozens of high-profiled princes are arrested to strengthen the hands of the current rulers. After years of strong relations between the elites of the two sides, the Pakistani rulers and policymakers never tried to persuade Saudi investors to invest in Pakistan. The volume of Saudi investment in Pakistan is negligible. However, the Pakistani officials now suddenly woke up to evolve a ‘comprehensive’ policy to promote bilateral trade and investment. A package is under preparation to simplify visa procedures for Pakistani entrepreneurs, remove non-tariff barriers and initiate negotiations to sign a preferential trade agreement. Pakistanis are already spending billions of dollars in Saudi Arabia during haj and umra tours. On another note, the Saudi princes chose Pakistan for troubles, but love to invest in non-Muslim nations. They have least regard for Islam or Muslim brotherhood and look Pakistanis with disdain. Thousands of Pakistani businessmen have lost all their properties and belongings in the kingdom at the hands of their Saudi sponsors. There is no forum to knock at for justice and Pakistani diplomatic crew is the least interested in resolving the problems of their countrymen. Due to failed policies of the government, Saudi Arabia remained the biggest beneficiary of the Pakistani brain drain. Unfortunately, Pakistan’s trade with Saudi Arabia is posting a consistent decline, dropping to $2.5 billion in 2016-17 from $5.08 billion in 2013-14.

The petroleum products constitute 50 percent of the total imports from Saudi Arabia. Pakistan’s exports rice, fruits, vegetables, apparels and clothes but the volume of exports is also on the decline.

economy in a shambles A

LAHORE

DR AFtAB AFZAL

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s the term of the present government is going to end this year, the economy still suffers the old wounds and is awaiting a savior to start a healing process.

The Pakistan Muslim LeagueNawaz, which came to power with an agenda of economic revival, not only failed to clean up the mess created by the Pakistan People’s Party government, but also added its own set of troubles in it. If some policies were ill-advised and there was also lack of any implementation mechanism in the officialdom. The exports,

which reached $25 billion in 2013, came down to $20 billion in 2017. The imports multiplied during the years and the government depreciated the Pakistani rupee as the only option to curb imports and curtail trade deficit. There was chest thumping euphoria in the official circles when Pakistan was granted GSP status by the European Union, but the bubble burst in a few months. Exports could not be picked, rather went down by $5 billion in four years, leaving the economy in awe and shock. No one at the helm of affairs is ready to take responsibility of the policy failures. Finance Minister Ishaq Dar had been claiming macro-

economic stability all along the days he was active in the office, but no sooner he left on leave, cracks began to appear in the national economy.

The current prime minister has expressed the desire to boost exports, especially by reviving the textile industry.

However, there is also need to fully implement the export package of Rs 180 billion announced by erstwhile prime minister Nawaz Sharif. According to reports, the Federal Textile Board has already proposed various initiatives but a long-term policy in this regard is yet to be announced. The economy is already going through traumas of rupee de-

valuation, trade deficit and low exports. In this situation, there is a need to work on war footings to bring the economy back on track. The biggest challenges before the government are to overcome trade deficit, generate export surplus and maintain foreign exchange reserves which are dwindling day by day. The government has recently imposed regulatory duty on import of various items, including raw material and it is feared the move will increase the cost of production in the country. Despite political uncertainty, it is hoped sanity will prevail and the policymakers will continue to work for the betterment of the country.

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Customs Court sends suspect on judicial remand in diesel smuggling case KARACHI: Acting Judge of Customs Taxation and Anti-Smuggling Court sent a suspect namely Namatullah to jail on judicial remand, who was booked for attempting to smuggle 22,000 liter Iranian-origin high speed diesel worth Rs 1.760,000.

During the hearing, investigation officer produced the suspect before the court and informed that a team of Anti-Smuggling Organization intercepted a Hino truck bearing registration number TLJ-183 loaded with 1×40 container fitted with 22000 liter smuggled diesel.

He submitted that during the search, the driver was asked to produce lawful documents of diesel but he failed. Therefore, he was arrested and diesel was seized by the customs authorities.

pcA detects tax evasion of Rs 4.88m by m/s Shafiqur Rehman & Sons

Saturday January 20, 2018

National

customs tribunal remands back appeal filed by m/s Awais & Shoaib enterprises

KARACHI

cUStomS BULLetIN RepoRt www.customsbulletin.com

he Directorate of Customs Post Clearance Audit has detected duties and tax evasion of Rs 4.88 million committed by M/s Shafiqur Rehman and Sons, Karachi, it is learnt here. Sources told Customs Today that M/s Shafiqur Rehman imported a consignment of various types of auto parts with radiators and got it cleared from the PICT Karachi vide GDs on November 14, 2017 by paying customs duty at 8 percent after claiming the benefits of the SRO 562/2007. However, the subject items are correctly classifiable under the PCT 4507.2675 attracting customs duty at 12 percent and income tax at 8 percent, thus, by way of mis-declaration of classification, the company evaded/short-paid Rs 4.88 million. The goods were cleared by Head Examiner Ovaise Mangal. Sources told that the im-

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LAHORE

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SAJID NAwAZ

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he Customs Appellate Tribunal has remanded back the appeal Tiled by M/s Awais & Shoaib Associates Private Limited against directorate of Customs, Post Clearance Audit (PCA) Lahore and Collector of Customs Adjudication.

Omer Arshed Hakeem, Member Judicial bench-II heard the arguments in details and decided the case with remarks that there is no other option to set aside the impugned order and remanded back appeal to the collector of customs (Adjudication) with direction to pass a fresh speaking order strictly in accordance with law, after providing opportunities of hearing to both parties and reviving evidence which they may like to produce.

As per the history of case, the importer M/s Awais & Shoaib Associates Private Limited imported two consignments of bush water cooled air handing units, ceiling concealed type fan coal unit cassette type coiling air conditions indoor units under wrong PCT heading and short

pay duties and taxes. After examination of case, the customs authorities charged Rs 33, 49, 922 on violation of section 32 (1) of Customs Act 1969. After show cause notice, the Adjudication proceeding were culminated and Order-in-Original

passed that appellant pay the duties and taxes charged by the department with Rs 5, 00, 000 Tine.

Being aggrieved from the order and appeal was Tiled against ONO with grounds that there are lot of question marks on the order, passed

in mechanical fashion without appreciation of relevant laws and is liable to set aside, but respondent denied. After complete hearing of appeal Customs Appellate Tribunal set aside impugned order and remanded back appeal.

SHc seeks remarks on plea for release of plastic dana KARACHI

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porter violated the provisions of Section 59 (5) & (9A) of the Customs Act-1969, Section 18 read with Section 58 of the Sales Tax Act-1990 and Section 187 of Income Tax Ordinance2001 punishable under clauses (242) and 152 of Section 626(9) of the Customs Act-1969, Section 79 of the Sales Tax Act-1990 and Section 85 & 149 of Income Tax Ordinance-2001 and Section 7-A of the Sales Tax Act1990 read with chapter X of the Sales Tax Special Procedure Rules 2007 (Special procedures for payment of sales tax by the importers) and under relevant provisions of Income Tax Ordinance-2001.

he Sindh High Court (SHC) has directed customs authorities and petitioner to file their respective comments on a constitutional petition filed

by Muhammad Sajid, seeking release of his consignment of poly polypropylene (plastic dana) seized by customs officials. A two-member bench heard the petition.

Earlier, counsel for the petitioner stated that he imported a consignment containing 850 bags of poly polypropylene (plastic dana) but the Customs Intelligence Sukkar detained it without lawful authority.

According to the petitioner, being aggrieved he filed an ap-

peal before the appellate tribunal against the act of the Customs Department. The tribunal directed the customs officials to release the consignment but the authorities refused to comply with the release orders.

Citing Secretary Ministry of Finance, Customs Appellate, Tribunal Tahir Director, Directorate General of Intelligence & Investigation, Mukhtar Ali Shaikh, Deputy Director, Directorate General of Investigation & Intelligence-FBR as respondents, he pleaded the court to declare that the act of the respondents as illegal, mala fide and arbitrary. Petitioner also pleaded the court to direct them to release his consignment and restrain them from taking any coercive action against the petitioner.

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Senior Preventive officer Abdul Rahim Khan to retire on 14 Feb Saturday January 20, 2018

National court issues NBws against suspect in gold, phones smuggling case

KARACHI: Mr. Abdul Rahim Khan, a BS-16 officer of On attaining the age of superannuation, Senior Preventive Officer (BS-16), Model Customs Collectorate (Preventive), Karachi shall stand retired from Government service on 14.02.2018. He is going to retire on attaining the age of superannuation under the No. 0083-C-III/2018.

Itrat Hussain takes charge as Dc of Allama Iqbal International Airport

KARACHI

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LAHORE

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ustoms Taxation and Anti-Smuggling Court Judge Syed Faiz Rasool Rashdi has issued non-bailable warrants against absconding suspect namely Syed Muhammad Asim, who was booked for attempting to smuggle gold and cellular phones worth millions of rupees. During the hearing, the investigation officer submitted a charge sheet against the arrested lady suspect namely Uzma Mehwish and others and informed that a team of Customs Preventive intercepted a woman passenger who reached Karachi through flight No FZ329 from Dubai. She was asked to show travel documents and the luggage. During the search of the luggage, the Customs Preventive team found 377 gram gold attached with her body worth nearly two million rupees as well as 10 expensive cellular phones concealed in the travel bag and she also failed to produce any lawful documents of the smuggled goods.

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Sahibzada mateen assumes additional charge as c-IR

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r. Sahibzada Abdul Mateen, a BS-20 officer of Inland Revenue Service presently posted as Commissioner-IR, Zone-I, Regional Tax Office, Quetta is assigned the “Additional Charge” of the post of Commissioner-IR (Zone-II), Regional Tax Office, Quetta during the leave period of Mr. Muhammad Azhar Ansari (IRS/BS-20) w.e.f 31.12.2017 to 19.01.2018. Meanwhile, Mr. Imtiaz Ahmad Khan, a BS-16 Intelligence Officer, Directorate of Intelligence and Investigation-FBR, Regional Office, Lahore shall stand retired from Government service on 11.06.2018. He is going to retire on attaining the age of superannuation. –CB Report

yed Itrat Hussain has taken charge of his assignment as Deputy Collector of Customs TrafTic after his transfer was ordered by the collector customs Preventive. According to details available to Customs Today, the notiTication of transfer was issued

by Collector Faiz Ali. On the other hand, as per the notiTication Naveedur Rehman Bhagvi has taken his charge as Deputy Collector Customs Cargo at Allama Iqbal International Airport. Naveedur Rehman Bhagvi was working as Deputy Collector Customs trafTic for the last one year.

Both ofTicers has held various meetings with their staff. Deputy Col-

lector customs Itrat Hussain has ordered his staff to keep strict checking of the passengers. He has also directed the staff to facilitate all passengers at airport. No complaint

should be submitted by the passengers he has directed the staff to work honestly and dedicatedly. On the other hand Deputy Collector Naveedur Rehman Bhagvi has directed his

staff to work with full enthusiasm to increase to recoveries on cargo. He has directed the staff to achieve their assigned target of taxes recoveries well before time.

customs Quetta shows sharp expertise by impounding 77 vehicles during two weeks T

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tARIQ DeRYA

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he ASO of the MCC Quetta took into possession 77 NDP vehicles during the Tirst two weeks of January FY17-18.

According to details given by Ashraf Ali, Collector, Model Customs Collectorate (MCC) Quetta, that the Anti-Smuggling Organization (ASO) Quetta displayed an outstanding performance during the Tirst two weeks of the current month. The collector told the correspondent that, up to 12th of January FY17-18, the anti-smuggling statement of the ASO Quetta shows that Rs100million value of goods were impounded. The impounded goods comprise 77 NonDuty-Paid (NDP) vehicles, a huge quantity of foreign origin fake cigarettes, imported smuggled pan parag, smuggled tyres and tubes,

smuggled Iranian diesel, auto parts, and cloths. The ASO Quetta took into possession 54 NDP vehicles worth Rs59million during two

weeks of December Fiscal Year 2017-18. The impounded combined items and vehicles value at Rs113million during said period.

Ashraf Ali explained that the ASO showed brilliant performance during above said period of December FY 2017-18.

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Customs Tribunal to hear review petition filed by M/s Kohinoor Traders next week ISLAMABAD: M/s Kohinoor Trader submitted a review petition at the Customs Appellate Tribunal challenging an announcement of the tribunal dismissing its case against Directorate General of Intelligence and Investigation, Islamabad. A division bench of Customs Appellate Tribunal would hear the matter in coming week.

Customs Appellate Tribunal’s bench comprising Members Tribunal, Syed Muhammad Anwar had disposed of the matter earlier. The bench heard the arguments from both sides. M/s Kohinoor Traders had filed cases against Directorate of Intelligence and Investigation, Islamabad.

Dg ANF hails customs team for foiling smuggling attempt at Lahore airport LAHORE

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irector General Anti-Narcotics Force (ANF) Punjab Major General Mussarat Nawaz visited the Allama Iqbal International Airport and held a meeting with customs staff who successfully foiled a smuggling attempt of heroin by a Czech lady on Wednesday. DG Anti-Narcotics Force appreciated the performance of Customs Preventive team deputed at Allama Iqbal International airport. Sources told Customs Today that Major General Mussarat Nawaz praised the customs staff and awarded them with cash prize as well. It is pertinent to mention that a Czech woman carrying nine kilograms of heroin was arrested at the Allama Iqbal International Airport on Wednes-

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day. The 21-year-old identified as Tereza Hluskova was attempting to smuggle the heroin from Lahore to Abu Dhabi. The woman was in Pakistan on a three-month family visit visa which was issued on November 15 and valid till February 14. A Czech woman carrying nine kilograms of heroin was arrested at the Allama Iqbal International Airport on Wednesday. The customs said that raids were being conducted in different parts of the city as per the information shared by the woman. Pakistan Customs had registered a case under Pakistan Customs Act of 1969 and she has already sent to jail by the special court. Sources has confirmed that lady smuggler has said before the customs I&P that she knew that something is hidden in the bag but she doesn’t know that there is heroin in that bag. She said during investigation that she has already visited Gujranwala and Lahore for three times.

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customs export recovers Rs 7.95m from m/s Nadeem Fabrics & exports

court approves remand of suspect in mobile phones smuggling case KARACHI

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ustoms Court Judge Syed Faiz Rasool Rashdi on Friday sent a suspect, Shakeel Ahmed Khan, to the Customs Department on physical remand.

The suspect was booked for attempting to smuggle more than 14,000 mobile phones in the garb of diplomatic privilege. It needs to be mentioned here that suspects, Faisal Bin Muhammad, Sheraz Khan and Khan Bahadur, were already in custody of the Customs Department on physical remand. During the hearing, the investigation officer produced suspect before the court and informed that the prosecution arrested the fourth suspect in this case and needs his physical remand for further investigation and to arrest the remaining suspects. Therefore, the court sent him back to the Customs Department and directed the investigation officer to produce him on the next date of hearing along with other arrested suspects and a progress report. According to the prosecution, on a credible information, a team of Anti-Smuggling Organization intercepted a container at Chamra Chowrangi and recovered 14295 China branded mobile phones and on the enquiry of suspects.

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he Customs Export has recovered evaded amount of taxes and duties of Rs 7.95 million from defaulter companies which were issued with notices to pay the outstanding dues and issued third show cause notice in 2018.

Sources told Customs Today that during scrutiny of the import data, it was revealed that M/s Nadeem Fabrics Manufacture and Export availed undue beneTits and concessions by importing different consignments by misusing SRO 567 through Examiner Raheel Waris. Sources said that the company was allegedly involved in tax evasion of Rs 3.45 million. After detecting the tax evasion, the Customs Export issued it with a Tinal notice on December 14, 2017 to deposit the evaded amount within 14 days. After receiving the notice, the management of M/s Nadeem Fabrics manufacture and Export deposited the evaded amount in the ofTicial account of the Customs Export on 5 January. On the other hand, the management of the M/s Bawela and Sons Karachi also cleared Rs 4.50 million of taxes and duties. Sources

Saturday January 20, 2018

told the correspondent that M/s Bawela and Sons Karachi also availed undue beneTits and concessions and avoided paying taxes according to the customs bylaws. The Customs Export authorities served on it a Tinal notice on December 22, 2017. After receiving the notice, the

management of the M/s Bawela and Sons Karachi deposited the evaded amount of taxes. Source told more than 15 cases are in under investigation. Earlier Customs Export has issued third show cause notice to M/s Zoobia Textile for recovery amount of Rs 3.78 million.

About 40kg of hashish loaded in car seized by customs multan

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ImRAN ALI

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he Multan Customs AntiSmuggling Organization conTiscated a huge quantity of hashish worth hundreds thousands of rupees during an action.

The Multan Customs authorities received a tip-off from their source that a huge quantity of smuggling item will be transported through their jurisdiction. Collector Saud Imran Ahmad constituted a special team of Anti-Smuggling Organization, including Superintendent Habib-ur-Rehman, Inspector Rana Mujtaba Noon, Inspector Abdul

Samad, Inspector Akhtar Hussain Sukhera, Havaldar Muhammad Irfan Qureshi and others, to frustrate the bid of smuggling.

The Multan Customs anti-smuggling teams were deputed on various roads to intercept the smuggling attempt. The customs teams enhanced the patrolling and monitoring of the Multan-Khanewal Bypass.

The Customs Anti-smuggling staff signaled a suspected vehicle for examination, but driver of the vehicle tried to ran away from the scene by accelerating the speed.

The Anti-Smuggling squad chased the Toyota Indus Corolla car bearing registration No: A-0253 near

12-Km Kabirwala. Driver of the vehicle abandoned the car on the road and fled the scene to avoid Customs Anti-Smuggling action.

The squad searched the said vehi-

cle which was loaded with huge quantity of hashish. The customs team took 40-kilogram of hashish into its possession and started investigation into the case.

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World Customs

Italian machinery sector set to post record year

MUMBAI: India has no immediate plan to raise import tax on sugar as the government does not see prospects of imports from Pakistan as of now, a senior government official said. Though the availability of sugar this year remains as tight as last year, India will have enough sugar to meet domestic demand without overseas purchases, the official, who was not authorised to speak to the media, said. The world’s biggest consumer is likely to start the new marketing year on Oct. 1, 2018 with an opening stock of 4 million tonnes, almost unchanged from a year ago, the Indian Sugar Mills Association (ISMA) said in a statement.

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thailand seizes smuggled ivory US customs intercept worth almost half million dollars huge quantity of cocaine NEW YORK

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hree elephant tusks and 31 ivory pieces weighing a combined 148 kilograms were seized at Suvarnabhumi International Airport in Bangkok, Kulit Sombatsiri, director general of the customs department told a press conference. The smuggled goods were shipped from the Nigeria’s commercial centre of Lagos to Bangkok on an Ethiopian Airlines flight. Two weeks later, as no one came to pick up the packages, airport officials opened them up to find the smuggled goods, Kulit said.

The registered address in Thailand also doesn’t exist,” the director general said. Ivory trade has been outlawed under the Convention on International Trade in Endangered Species (CITES), but smuggling from Africa into Asia persists. Thai

taxing cryptocurrencies in India ith the income tax department slapping tax notices on almost five lakh high net worth individuals transacting in bitcoin, the issue of taxing cryptocurrencies has assumed more importance and urgency in India. The Centre is reportedly planning to bring in a regulatory framework for crypto currencies in the forthcoming Union Budget. This should clear the air on the status of such digital currencies and how they will be taxed. Meanwhile, here is a look at how transactions in cryptocurrencies, mainly bitcoin, may be taxed under various scenarios. Currency or capital asset: Currency, according to the Foreign Exchange Management (FEMA) Act, 1999, includes currency notes, postal notes, postal orders, money orders, cheques, drafts, travellers cheques, letters of credit, bills of exchange and promissory notes, credit cards and other such instruments, as notified by the RBI. –CB Report

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customs officials believe ivory smuggled through Thailand is intended for China, one of the world’s biggest consumers of ivory products. But as China’s government-sanctioned ivory trade came to a close at the end of 2017, it re-

mains unclear whether smuggling into China will drop. Since October 2016, Thai customs agents have seized more than 1 billion dollars’ worth of smuggled endangered species and their products in 52 separate cases.

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hina’s exports rose in December, capping a year of stronger trade growth buoyed by a robust global economy. Exports rose 10.9 percent in dollar terms in December, the customs administration said Friday That compares with a forecast of 10.8 percent in a Bloomberg survey Import growth slowed to 4.5 percent, leaving a trade surplus of $54.69 billion.Full year data for

2017 show exports rose 10.8 percent in yuan terms while imports surged 18.7 percent. The 2017 trade surplus stood at 2.87 trillion yuan ($442.3 billion China’s trade surplus with the U.S. rose 13 percent in 2017 Demand for Chinese products is holding up as growth in major trade partners remains intact, and a feared trade war between China and the U.S. has yet to materialize. –CB Report

he United States Customs and Border Protection (CBP) agency says its Air and Marine Operations (AMO) detected multiple drug-smuggling vessels with 4,735 pounds of cocaine as part of Operation Full Court Press in the Caribbean Sea with interagency partners. On Wednesday CBP said the estimated wholesale value of the drugs is US$61.7 million.

CBP said crews from Miami Air and Marine Branch and Caribbean Air and Marine Branch used “sophisticated maritime surveillance equipment to detect multiple drugsmuggling vessels as part of multiagency operations around the holidays.” It’s reported that the discovery was made between CBP said Operation Full Court Press is an Air and Marine Operations

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Southeast Region led operation leveraging interagency partnerships to target maritime smuggling organisations responsible for cocaine trafTicking throughout the Caribbean to the United States and elsewhere for distribution. “Air and Marine Operations Southeast Region area of responsibility extends eastward from southeast Texas to the US Virgin Islands, which includes the waters of the Gulf of Mexico and a large portion of the Caribbean Sea,” said Southeast Region Executive Director Eric Rembold. “It is, therefore, necessary to closely coordinate law enforcement operations with our interagency and international partners to extend the nation’s borders further away from the geographic border in order to dramatically increase our detection capabilities and the apprehension of illicit smuggling ventures prior to making landfall,” he added. In 2017 CBP said AMO enforcement actions resulted in the approximate seizure or disruption of 269,790 pounds of cocaine; 384,230 pounds.

Strong baht to depress 2018 exports hailand’s rice exports are expected to ease this year from an expected record high of 11.2-11.3 million tonnes in 2017 because of rising global demand and the competitiveness of the local grain, says the Thai Rice Exporters Association. President Charoen Laothammatas said the association forecast Thailand’s rice exports to dip to 9.5 million tonnes this year because of depleted state rice stocks and lower Thai hom mali fragrant rice output because of heavy rains in many areas. The Agriculture Ministry projects rice production for the 2018 season at

30 million tonnes of paddy rice or 22-23 million tonnes of milled rice, equivalent to last season. The strong baht will hurt Thai hom mali rice the most because supply is generally limited, making the premium grain more expensive than similar rice from other countries, he said. As, 2017, Thai hom mali rice was quoted at US$993 a tonne, while aromatic rice from Vietnam was quoted at $600 a tonne and Cambodian aromatic rice sold for $800. Based on the sharp baht appreciation, Thai hom mali rice is now quoted at about copy,000 per tonne. –CB Report

philippines to move second phase of tax reform plan

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MANILA

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hilippines is to take forward its tax reform agenda in January, with a second package of proposals to be tabled before Congress, after the Tirst package was endorsed with some vetoes by President Rodrigo Duterte. We are very pleased

that the legislature passed the TRAIN bill. The President signed it into law although there are some provisions that he vetoed. We are moving forward with the implementation of the tax reform,” Carlos Dominguez, the country’s Finance Secretary, said during the recent inter-agency Development Budget Coordination Council meeting. We are going to submit to Con-

gress the package two of the comprehensive tax reform plan in January 2018.” He said the Department of Finance scored its Tirst major legislative victory for the Duterte administration and the Filipino people in 2017 with the approval and signing into law of the TRAIN Bill, which will provide income tax cuts for the majority of Filipino taxpayers. Dominguez said 99 percent of

the country’s population will beneTit from the TRAIN BIll, with salaried employees and self-employed individuals earning a taxable income of PHP250,000 (USD4,980) per year exempted from paying the personal income tax (PIT). Other taxpayers in higher income brackets will also get to enjoy signiTicant PIT cuts, except the ultra-rich or those earning PHP8m a year and above.

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KPT shipping movements report KARACHI: Following were the Movements of Ships at Karachi Port Trust (KPT) during last 24 hours, ending at 0700 hours on Friday. SHIPS SAILED:Western Santos Common Spirit Glovis Safety Mol Eminence Hansa Offenburg SHIPS BERTHED: Mol Eminence Container Ship Wide India Container Ship Osprey 1 Coal Nan Lin Wan Tanker GSL Tianjin Container Ship Hansa Offenburg Container Ship M.T.Quetta Tanker EXPECTED SAILING DATE Maliakos 05/01/18 YM Orchid 05/01/18 EXPECTED ARRIVAL DATE CARGO Al Safa 05/01/18 D/4500 Jet Oil Chemroad Quest 05/01/18 D/2500 Chem Al Mahboobah 05/01/18 D/7000 Meg/D/8960 Chem Al Soor II 05/01/18 D/10000 Jet Oil Zante 05/01/18 Cont Ete N 05/01/18 Cont Friendly Island 05/01/18 L/10000 Talc Powder Malhari 06/01/18.

taxes on chittagong port services rise angladesh’s revenue board has expanded the value added tax (VAT) to all 60 services at Port of Chittagong, up from the 25 a move that has drawn mixed reviews. Currently, the port collects a VAT on 25 export-import services. Adding 35 more services to the VAT substantially raises the cost of doing business, businesses say. Under the new system, services such as port dues, pilotage fee, night navigation fees, tug charges, shifting fees, un-berthing charges, mooring occupancy, jetty crane charges, quay gantry crane charges for container handling, charges for using a floating crane, fire service charges, hire of slipway, salvage and diving charges, and dredger hire will be subject to the VAT. For example, the pilotage fee, currently $35.75 per 1,000 gross register tonnage (GRT), will have a $5.36 VAT. The night navigation fee for vessels over 10,000 GRT, currently $43, will be assessed a $6.45 VAT; the tug charge for vessels over 5,000 GRT per hour is

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Ports & Shipping

South korea seizes Hong kong ship for oil transfer to North korea HONG KONG

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resident Donald Trump accused China of “allowing oil to go into North Korea”.

South Korea said on Friday that in late November it seized a Hong Kong-Tlagged ship, the Lighthouse Winmore, suspected of transferring oil to North Korea.

The Lighthouse Winmore, a Hong Kong-Tlagged ship, is seen in waters off Yeosu, South Korea. In an interview with The New York Times, published Thursday, Trump claimed “oil is going into North Korea” and appeared to blame China, saying if Beijing fails to put pressure on Pyongyang then the United States may take punitive economic actions against Beijing. “I have been soft on China because the only thing more important to me than trade is war”, he said. Beijing though is adamant that it has done nothing wrong.

“We will never allow Chinese citizens and enterprises to engage in

activities that violate Security Council resolutions”. South Korean authorities were quick to substantiate President Trump’s accusations against China, seeming to conTirm the fears of the UN Security Council.

According to the wire service, “two senior Western European security sources” claim that Russian tankers have transferred fuel cargo at sea to North Korea at least three times over the past few months, an apparent violation of United Na-

tions sanctions. South Korea’s customs service concluded that the Lighthouse Winmore had loaded about 14,000 tons of Japanese reTined petroleum products in South Korea on October 11, reportedly bound for Taiwan, the South Korea ofTicial said. Instead of going to Taiwan, however, the vessel transferred the oil to the North’s Sam Jong 2 as well as to three other nonNorth Korean vessels in worldwide waters, the ofTicial said.

Saturday January 20, 2018

three ships take berth at port Qasim hree ships, Maipo, Al-Soor-II and Al-Jassasiya carrying Containers, 41,120 tonnes Diesel Oil and 61,736 tonnes LNG were arranged berthing at Qasim International Container Terminal, FOTCO Oil Terminal and Engro Elengy Terminal respectively on Thursday. Meanwhile Containers vessel CMA CGM Amazon and Edible oil carrier UACC Muharraq also arrived at outer anchorage of PQ during last 24 hours. Berth occupancy was managed at the port at 59% on Thursday where a total of ten ships namely, Maipo, Alexandra, Era-S, Reem-3 Fareast Honest, Kirri Billi, Al-Jassasiya, White Purl, Horizon and Al-Soor-II were occupied at PQA berths to load/offload Containers, Rice, Bitumen, Coal, Canola seeds, LPG, LNG, Palm oil and Diesel oil during last 24 hours. A cargo volume of 141,341 tone,s comprising 110,121 tonnes import cargo and 31,220 tonnes export cargo inclusive of containerized cargo carried in 3,408 Containers (TEUs), (2,192 TEUs import TEUs imports and 1,216 TEUs exports) was handled during last 24 hours. –CB Report

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china makes it easier for people to import $632, a $94.80 VAT; the unberthing charge for a vessel over 2000 GRT, $88.50, a $13.27 VAT; and the jetty crane fee, $42 per period, a $6.30 VAT. Chittagong Port official Habibur Rahman told JOC.com the port will seek a ministry of shipping opinion before it starts collecting the VAT on the 35 services. Opinions on the expanded VAT are mixed. Port spokesperson Omar Faruk said everyone should pay the VAT for services they enjoy. “The VAT on the items would not raise cost a lot,” he said. However, convener of Port Users Forum and Chittagong Chambers of Commerce and Industry president Mahbubul Alam said imposition of the VAT on all types of services at the port will create financial pressure on shippers. –CB Report

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overnment of China’s unilateral reduction of tariffs last month on almost 200 consumer products provides further testimony to the fact that the goal of trade is not just to increase exports, but also imports.

The Chinese have become tired of being poor people living in an increasingly wealthy nation. In fact, after years as the world’s biggest exporter, China is on track to becoming the world’s biggest importer over the next few years, according to a paper prepared by two leading economists for the China International Capital Corporation, the country’s first joint venture investment bank.

Lest anyone thinks that

China’s unilateral tariff reductions is a response to vague threats from Washington, the latest round of tariff reductions is China’s fourth since 2015.

What is driving China’s steps toward a more open market is not political pressure from outside the country, but pent-up consumer demand within it – and a recognition of the need to undertake a marked shift in China’s prevailing economic paradigm.

From its recent model based on low-cost manufacturing and massive exports, the Chinese government is looking to stimulate domestic consumption as part of its wider strategy to restructure the economy. The government has made it a priority to achieve this goal, and it has sometimes seemed elusive.

While consumption in China did increase last year in absolute

terms, it fell as a percentage of GDP. Nevertheless, the growth in consumption demonstrates a desire to turn national economic growth into increased consumer choice. Chinese consumers have been demonstrating an insatiable demand to do what consumers do when they can afford it consume. High tariff rates on many foreign goods drove many middle and upper class Chinese consumers to fly overseas to combine holidays with shopping sprees. Some might almost think that high tariffs were actually a policy of the airlines, rather than a policy to pursue national interest. High tariffs also contributed to the rise of grey markets, in which sellers peddled foreign goods smuggled in under the tariff radar at lower rates. Middle-menwent overseas to purchase foreign products, bring

them back into China without paying import tariffs, and sell them at lower rates than branded stores. Instead of undermining domestic producers and workers by enhancing competition from foreign sources, reduced tariffs are likely to encourage more consumption within China’s borders, rather than seeing it seep outside the country’s borders. As reduced tariffs lead to reduced prices, more lower-income Chinese workers will also get a crack at buying more consumer goods.

And the reduced tariffs may also provide a significant boost to China’s burgeoning ecommerce sector, which has been growing exponentially since 2010 – and is expected to be larger than the United States, Germany, Japan and the United Kingdom combined by 2020.

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NBP upgrades Custom House branch ISLAMABAD, Jan 19 (APP):In order to provide high quality and efficient services to its customers, the National Bank of Pakistan (NBP) has upgraded its Custom House branch, one of the largest single branches with top volume of transactions.

President and Chief Executive Officer (CEO) NBP Saeed Ahmad inaugurated the upgraded branch according to a press statement issue by the bank here. Among others, the event was attended by Chief Collector of Customs (Appraisements), Abdul Rasheed Shaikh, Chief Collector Custom (Enforcement), Manzoor Hussain Memon and senior members of Custom Authority.

Saturday January 20, 2018

Business

‘Jk has huge potential for investment’ ISLAMABAD

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resident Azad Jammu and Kashmir Sardar Masood Khan has said that Corporate Social Responsibility (CSR) is a priority for private sector corporations and 2% of their net proTits should be allocated for social welfare projects, especially poverty alleviation, skill development, health, and hygiene and setting up programs for providing safe and clean water. The President made these remarks while addressing a function at a local hotel here, he said, Azad Jammu and Kashmir has numerous Tledging small and medium-sized in-

‘Storm caused 90m euros in damage’ KARACHI

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dustries producing a wide variety of end products. The event was attended by CEOs of leading public and private corporations, academicians, members of the civil society and media representatives said a press release. President AJK said

Samsung launches new galaxy A8/A8+ and grand prime pro Smartphones

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utch insurers said Friday that fierce storms that whipped across The Netherlands caused 90 million euros ($111 million) in devastation, as the country's train service slowly creaked back into gear. "The January storm that raged across our country yesterday caused considerable damage," the Dutch Association of Insurers said. "According to our first estimates, the damage to homes and cars is at least 90 million euros," it said, cautioning that it had not yet added in the cost of any havoc to businesses.

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that CSR activities should be a strategic response to the challenges faced by the people in a society and not an act of charity or philanthropy.

He said that such activities are an essential part of overall economic growth and development in order

to end poverty and ensure dignity and opportunity to the people of the country. Private business of all sizes must incorporate measures to ensure employment opportunities in order to cap poverty.The President while addressing the participants asserted the role of CSR as an inclusive aspect of corporate growth and a pertinent facet of sustainable social development. He added that without the sense of urgency and timeliness in mobilizing CSR activities, we will not be able to achieve our collective social development goals.President Masood Khan said that by integrating sustainable development into corporate strategies and prioritizing steps for environmental protection, corporations can help inculcate responsible attitudes among the public.

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LAHORE

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he global leader in technology Samsung has launched its highly advanced smartphones – Samsung Galaxy A8, Samsung Galaxy A8+, and the Grand Prime Pro-2018 in Pakistan . A glitzy launching ceremony was held at a local hotel in Lahore on Monday, 15th of January, 2018, where the President Samsung EC Pakistan– Mr. Y.J. Kim was the chief-guest, accompanied by many Samsung dealers

and distinguished personalities.

The President of Samsung Pakistan – Mr. Y.J. Kim stated that: “With the objective of expanding the Galaxy A8 family, the A8 and A8+ are the perfect mid-ranging smartphones for the consumers. The value of these devices lies in their advanced features and functions that offer more convenience than ever before. The Grand-Prime Pro is enriched with many fascinating technologies, including a Super AMOLED screen that delivers crystal clear viewing, whereby this phone also enjoys great popularity among

the Pakistani consumers.”

The A8 has a 5.6 inch touchscreen, while the A8+ comes with a 6 inch touch-screen, comprising of 2.5D glass on the front and 3D curved glass on the back for added durability. These InTinity display screens deliver a crisp HD resolution (1,280 x 2220), to bring out the Tinest detail, while offering a wide horizontal view and stunning cinematic experience. The ‘Always On Display’ keeps the user informed at all times, as it allows you to view information at a glance without unlocking your phone.

DmA earns Rs 650 million during 2017 ISLAMABAD

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irectorate of Municipal Administration (DMA) of MCI main organ of the Corporation and it has earned Rs 650 millions in year 2017 by auctioning of Diplomatic Shuttle service, advertisement, parking and issuing of open space licenses.

Director DMA Ali Sufiyan is determined to achieve a target of Rs one billions in next three months after auctioning the G9 bus stand and recoveries from BTS towers.Senior Official of the authority said that during the year of 2015-6 the recoveries of DMA were remained RS 342 millions but current management of the directorate has made it double as compare to previous.Mean while after revamping Machine Pool Organization (MPO) Directorate and acting upon self-reliance policy, road carpeting and repair/maintenance in the entire city is being carried out by own resources of authority due to which sufficient funds were saved in addition to ensuring superior quality of work.According to documents available to this News Agency, during the last one year, MPO directorate carried out carpeting of 190 Kilometers roads all over the city including Constitution Avenue, Pir Sohawa road, G-8 Round about, Secretariat Blocks, Sector D12, Convention Centre.

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punjab seeks offers for establishment of solar plants LAHORE

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unjab Energy Secretary Asad Rehman Gillani has invited private sector to utilise the rooftops of public buildings across the province for renewable energy generation by installing solar panels. The offer indicates that the provincial government still backs the investors in their drive to ex-

plore avenues of investment in renewable energy, though the federal energy committee has imposed a ban on installing solar power plants.

“We will try to Tix things with the federal government and will give more facilities to the investors looking to explore the renewable energy potential in the province,” Gillani said while speaking to the business community at a ceremony marking the start of a 12-megawatt solar farm. “Right now, solar energy is not

considered a base load and is utilised only during peak load hours.

We wish to shift solar energy to the base load for future energy needs of Punjab and the country,” he said.

He revealed that rooftops of around 80 to 100 public buildings had the empty space for installing solar panels. “I invite private-sector investors to utilise these public structures to tap the cheapest source of clean energy,” he said.

Speaking on the occasion, Spel

Group Chairman Almas Hyder emphasised that renewable energy was the future and Pakistan should consider utilising its resources for meeting the future energy needs.

“We applied for establishing two solar power plants, but got approval for only one due to the federal government’s policy,” Hyder said. “Our system is so cumbersome that if any ofTicer wants to help a private-sector investor, he can’t; he has to go through the hectic process before

getting the approvals.” Spel Group’s sister company AJ Power along with Chinese Tirm CSun Solar International has set up the solar power plant in Adhikot district, Khushab.

The 12MW plant has been established with an investment of $17 million and Tinancing has come from Pakistani banks. The plant is spread over 182,502 square metres and is the Tirst grid-connected project.

Construction of the project had started in June 2017.

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UAE, Tajikistan plan to create joint investment fund DUBAI: Tajikistan and the UAE are planning to create a joint investment fund to boost economic ties between the two countries, according to a top official from the country. The fund will facilitate investments in various sectors of Tajikistan economy including infrastructure, energy, tourism and agriculture, among other things, Qahhorzoda Fayziddin Sattor, Chairman of the State Committee for Investments and State Property Management of the Republic of Tajikistan, told Gulf News in an interview. Sattor recently visited the UAE with a high-level business delegation to hold discussions with the UAE based funds and businessmen to look for investment opportunities and increase cooperation between the two sides.

LccI urges political parties not to act as destroyer to the economy

Saturday January 20, 2018

Chambers

pakistan asked to make cpec part of its national strategy

LAHORE

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he Lahore Chamber of Commerce & Industry has strongly rejected the protests at busy trade hubs and urged the political parties not to act as destroyer for the economy. In a statement, the LCCI President Malik Tahir Javaid, Senior Vice President Khawaja Khawar Rashid and Vice President Zeshan Khalil said that economic health of the Pakistan is not good. Country is facing serious economic challenges like discouraging exports, mammoth trade deficit, below the mark productivity and huge debts while businessmen are also being spoiled due to high input cost, delay in refunds and severe competition in the international market. The situation

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demands a consolidated action plan to get rid of these issues which are hampering the economic growth of the trade, industry and country but instead of that, politicians are planning to bring more destruction through protests. The LCCI office-bearers said that political stability is the key factors for economic growth.

Economic development is not possible without political stability and conducive environment for businesses. They said that it is a matter of concern that since long Pakistan is suffering from political instability that’s why investors remained reluctant to invest in out country. They said that political uncertainty and irresponsibility is badly damaging the prospects of growth despite the fact that Pakistan has all resources for grooming and economic leader. They said that economy had already faced loss of hundreds billions of rupees in last couple of years and now country has not much to lose at economic front.

ISLAMABAD

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ao Jing, Ambassador of China said that Pakistan should make CPEC a part of its national strategy as it would contribute to its long-term economic development as well as the development of the whole region. He was speaking as a chief guest at a seminar on “CPEC: A Win-Win Project” jointly organized by Islamabad Chamber of Commerce & Industry and Islamabad Institute of ConTlict Resolution.

The Chinese envoy said that CPEC was a win-win project for Pakistan and China and it would further strengthen bilateral relations between the two countries.

He said China considered Pakistan most reliable friend and wanted to see it economically developed as a strong Pakistan was good for China and for the region.

He said amongst 6 corridors, CPEC was running smoothly and fast. He said China believed that CPEC would put Pakistan on the path of industrialization, jobs creation and regional connectivity. He said CPEC

would also help Pakistan in overcoming energy problems and improving its economic growth through construction of good roads and railways network. He said China wanted that private sector of Pakistan should capitalize on CPEC for growth and expansion. He said business community of Pakistan should get beneTits from Special Economic Zones to be set up under CPEC and develop mutually beneTicial JVS with Chinese counterparts.

Speaking at the occasion, Sheikh Amir

Waheed, President, Islamabad Chamber of Commerce & Industry appreciated the decision of Chinese leadership to bring CPEC to Pakistan as it has started a new era of long-term business partnership between Pakistan and China. He hoped that CPEC would put Pakistan on the fast track of industrialization and accelerate the pace of its economic development. He stressed that CPEC should create opportunities of growth for indigenous industry and support in its modernization. He assured that ICCI would collaborate with

Igp to make police model of excellence ISLAMABAD

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r. Sultan Azam Temuri, Inspector General, Islamabad Police visited Islamabad Chamber of Commerce & Industry and addressing the business community pledged that he was working on inculcating Tive core values in Islamabad Police to make it a model of excellence and role model for the country. Explaining the core values, he said Islamabad Police would be made serviceoriented and people friendly police.

He said professionalism would be developed in police and equal application of law for all would be ensured.

He said Islamabad Police would be made corruption free as he has zerotolerance for corruption in police. He stressed that business community should resist corruption in police and

help in identifying corrupt people so that police force could be purged of corrupt elements.

Highlighting other initiatives, he said Islamabad has total 22 police stations out of which 7 police stations would be declared as model police stations in this month while gradually all police stations would be made model Thanas to provide better services to the people. He said record of all police stations including FIR has been computerized and technology would be used to introduce scientiTic investigations in police stations. He said to bridge the gap between police and people, community policing was being developed and all segments of society including business community would be involved in community policing. He said reconciliation committees would be set up to settle out of court disputes and after thorough investigations, nominated people

would be included in such committees. He said business community would also be given representation in such committees. He said a Citizen Police Liaison Committee was also under consideration for Islamabad. He said smart pickets would be established in Islamabad to streamline trafTic Tlow on roads and all faulty security cameras would be set right under Safe City Project. He said that on implementation of all these measures, people would see marked difference in the performance of Islamabad Police. He assured that all highlighted issues of business community would be addressed to ensure conducive environment for growth of business activities. In his welcome address, Sheikh Amir Waheed, President, Islamabad Chamber of Commerce and Industry lauded the initiatives of IG Police for improving the performance of Islamabad Police.

Chinese Embassy to promote business partnerships between the private sectors of both countries under CPEC. Maj. Gen. ® Raza Muhammad, Chief Executive, Army Welfare Trust and Member, Advisory Board of Islamabad Institute of ConTlict Resolution said that CPEC dialogue was started in 1980s and now this project was turned into a reality. He said CPEC would revive old silk route, develop strong connectivity between Kashgar and Gwadar and would make Gwadar one of the biggest port of the world.

UAe non-oil foreign trade reaches Dh784b in 1H reliminary statistical data of the Federal Customs Authority (FCA) revealed that the UAE’s general trade volume from January to the end of June 2017 amounted to Dh784 billion, compared to Dh777.6 billion during the same period of 2016, signalling a one per cent growth. The UAE’s general trade volume kept increasing during the first six months of 2017 despite a decline in the growth rates of the global economy and an increase in the indicators of world trade decline during the year 2017.

Commissioner Ali Al Kaabi, Head of the FCA, said in a statement on Sunday that the UAE’s non-oil foreign trade growth reflects the importance of the country’s position in the world trade exchange map and its leadership as a regional trade centre.

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Multan ASO seizes Rs313m worth of smuggled items in last six months MULTAN: Anti-Smuggling Organization (ASO) of Model Customs Collectorate Multan has detected smuggling cases of worth Rs 313.512 million during first half of fiscal year 2017-18. ASO officials said the organization detected eight cases of smuggled vehicles and four miscellaneous cases in July 2017, 14 cases of smuggled vehicles and four miscellaneous cases in August, three smuggled vehicles and four miscellaneous cases in September, 15 smuggled vehicles and three other cases in October.

Saturday, January 20, 2018

CUSTOMS BULLETIN

gB customs receives Rs180.82 million surplus revenue against assigned target QUETTA tARIQ DeRYA

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he Model Customs Collectorate Gilgit-Baltistan (GB) received Rs180.82million more revenue in the present FY than the one earned under all the heads against revenue collection during the same period of corresponding Fiscal Year 2016-17.

Ali Raza, Collector Model Customs Collectorate Gilgit-Baltistan (GB), told Customs Today that, during Tirst half (1st July to 31 December) FY17-18, the Customs Collectorate of GB generated Rs2327.77million under all the heads while it did Rs2146.95million during the same period of FY1617. The Collector of GB told CT that the GB collected Rs921.63million of Customs Duty (CD) during Tirst half of FY17-18 whereas the GB did Rs999.72million under the same head during Tirst half of FY16-17.

The GB got Rs1025.21million as Sales Tax (ST) during Tirst half of FY17-18 against a revenue collection of Rs826.88million under the same head during Tirst half of previous FY16-17. He notiTied the correspondent that the GB generated Rs380.93million of Withholding Tax (WHT) during Tirst half of FY17-18

while it did Rs320.35million under the same head during Tirst half of

corresponding FY16-17. Ali Raza told CT that the GB proved 143.76%

average of achievement during Tirst half of FY17-18 against a revenue

collection during the same period of previous FY16-17.

ADc directs I&I to mark accurate assessment in seizure cases for trial MULTAN

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dditional Collector Customs Adjudication has directed Customs Intelligence and Investigation (I&I) for accurate assessment in customs seizure cases at the time of formation of any seizure report for trial. According to details, Additional Collector Customs Adjudication Talib Hussain found

that Customs Intelligence and Investigation Multan along with Anti-Smuggling Organization have left Tlaws in the formation of seizure reports during trial.

Customs Intelligence and Investigation and Anti-Smuggling Organization is bound to make seizure cases under Section 25 of the Customs Act 1969 of appraising staff of Customs The adjudicating authority is exercising the power of adjudication any seizure within pecuniary limit. The Federal Board of Revenue (FBR) has empowered the customs ofTicers to adjudicate

cases as per their rank and amount of duties and taxes involved against seized or conTiscated goods. According to Section 179 of Customs Act, 1969 the customs authorities have power of adjudication in cases involving conTiscation of goods or recovery of duty and other taxes not levied, short levied or erroneously refunded, imposition of penalty or any other contravention under the act or the rules made there under.

The jurisdiction and powers of the ofTicers of customs in terms of amount of duties and other taxes involved are as , Collector have no

limit; additional collector not exceeding three million rupees; deputy collector not exceeding one million rupees; assistant collector not exceeding Tive hundred thousand rupees; superintendent not exceeding Tifty thousand rupees; principal appraiser not exceeding Tifty thousand rupees. Additional collector has also observed that the value, duty and taxes involved in presented seizure cases were reported by seizing ofTicer himself without any assessment by the appraisement staff in Customs Dry Port Multan. Additional collector found remarkable difference in the duty and taxes reported

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by detecting agency in various seizure cases during their trial. It is also important to mention that Additional Collector Talib Hussain has also observed in the trial of seizure cases that value of same vehicles and goods seized by detecting agency in different seizure cases changed. Additional Collector Customs Adjudication Talib Hussain has directed detecting agency especially Customs Intelligence and Investigation that all seizure cases should be framed after proper assessment of appraisement staff at Multan Customs Dry Port in respect of duty and taxes involved in seizure for future.