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ISLAMABAD

M ARSHAD

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n its budgetary proposals, the Federal Board of Revenue (FBR) is likely to recommend the government to grant exemptions and reduce the rates of duties and taxes on new industrial units. “Currently, the FBR is not holding any kind of discussion to reduce duties / taxes on setting up of new industries and businesses. Such proposals are often considered during the budget exercise and any proposals for further reduction may be considered at the time of Tinalization of the Finance Bill, 2018,” ofTi-

cial sources at the FBR told Customs Today explaining a question in this regard. The sources named a number of tax concessions already available to investors on setting up new industries / businesses, adding that exemption from sales tax is available at the Special Industrial and Economic Zones. “Similarly, plant, machinery and equipment imported for setting up fruit processing and preservation units in Gilgit-Baltistan, Balochistan and Malakand division up to the 30th June, 2019 have b e e n granted exemption from sales tax,” the sources added. Plant, machinery and

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equipment imported for setting up industries in FATA up to 30th June 2019 have been granted exemption from sales tax. The sources said that exemption from sales tax to machinery and items for mine construction, for Thar Coal Field, for power generation projects, power transmission projects, for marble, granite and gems stones extraction and processing industries had been provided.

Customs surpasses collection target by earning Rs5509m under all heads

Customs Export recovers Rs 12.28m from defaulter companies

Central Region posts 19pc growth in customs duty collection

DG Valuation to revise valuation of Latex Vanyl & surgical gloves on April 18

Quetta Customs foils bid to smuggle plastic dana worth Rs6.58 million

MCC Islamabad received Rs5509m of extra revenueagainstanearmarkedproportional | See pAge 02 |

Customs Export has recovered evaded amount of taxes and duties of Rs 12.28 m | See pAge 03 |

Customs Central Region has posted a growth of 19 pc in collection of CD | See pAge 04 |

DG Valuation has decided to revise the Valuation Ruling No: 766/2015 on April 18 | See pAge 09 |

Customs I&I foiled a bid to smuggle plastic dana worth Rs 6.58 million | See pAge 16 |

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52 Inland Revenue oﬃcers promoted to BS-20 Thursday, March 1, 2018

Islamabad

ISLAMABAD: Federal Board of Revenue (FBR) has promoted 52 Inland Revenue Service officers of BS-19 into BS-20 on regular basis with immediate effect. The promoted officers, include 1. Ms. Lubna Ayub Asif, 2. Mr. Sajidullah Siddiqui, 3. Mr. Muhammad Imtiaz, 4. Mr. Muhammad Waseem Altaf, 5. Mr. Khalid Javed, 6. Mr. Tariq Mustafa Khan, 7. Dr. Aftab Imam, 8. Dr. Tauqeer Irtiza, 9. Ms. Nabila Faran Baig, 10. Mr. Hyder Ali Dharejo, 11. Mr. Afaque Ahmed Qureshi, 12. Mr. Shahid Mehmood Sheikh, 13. Mr. Ishtiaq Ahmed Khan, 14. Mr. Kazi Afzal, 15. Mr. Muhammad Khalid Malik, 16. Dr. Tariq Ghani, 17. Mr. Maqsood Jahangir, 18.

customs surpasses collection target by earning Rs5509m under all heads

ISLAMABAD

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tARiQ DeRYA

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he customs staff at the Benazir Bhutto International Airport Islamabad seized 1.56 kilogram of ice heroin concealed into a handbag of a passenger who was boarding an Abu Dhabi flight. According to details given by Zulfiqar Ali Chaudry, Collector Model Customs Collectorate (MCC) Islamabad, that the customs staff of the MCC Islamabad was on its routine duty checking when they focused on a suspicious passenger at the departure counter of Pakistan Customs. The well experienced Inspectors named Muhammad Aslam and Muhammad Shakeel asked the passenger to show his luggage. Upon opening the handbag, the customs staff found a male jacket in the handbag. The customs inspectors opened the jacket and found the ‘ice heroin’ hidden in the the jacket. The customs staff arrested the passenger as well as confiscated the heroin weighed 1.56 kilogram and registered an FIR against the smuggler. The passenger was going to Abudhabi by PK-232. The price of the seized ice heroin is estimated at Rs15million. The case has been forwarded to Interrogation and Prosecution (I&P) Department for further action while accused will be produced before the customs judge for remand today.

he Model Customs Collectorate Islamabad received Rs5509million of extra revenue against an earmarked proportional period of seven and a half months (1st July to 15th of February) revenue collection target under all the heads for Fiscal Year 2017-18. According to details explained by ZulTiqar Ali Chaudhry, Collector, Model Customs Collectorate Islamabad, that, during Tirst seven and a half months of FY1718, the Collectorate of Islamabad posted 65% increase under all the heads against an assigned proportional revenue collection target. During above said period, the collectorate earned Rs13972.81million under the head of all duties and taxes whereas it was allocated a proportional revenue collection target of Rs8463.71million. The MCC Islamabad generated an extra revenue of Rs6127.68million under all the heads during Tirst seven and a half months of Financial Year 2017-18 against the same period of corresponding FY16-17. The collectorate got Rs7845.13million under the head of all taxes during said previous period. Chaudhry told CT that the MCC Islamabad posted 28% growth of Customs Duty against an earmarked proportional revenue collection target for

BBiA confiscates 1.56kg of ice heroin hidden into handbag priced at Rs15m

FY17-18 while it displayed 130% hike as Sales Tax (ST) against an assigned proportional target of Sales Tax (ST). The MCC Islamabad exhibited 34% increase as Income Tax (IT) against an allocated proportional revenue collection target for Tirst seven and a half months of FY17-18 while the Collectorate of Islamabad recorded 64% growth of Federal Excise Duty (FED) against an earmarked proportional revenue collection target for above said period, Collector MCC Islamabad

concludes. Meanwhile, According to details given by ofTicial sources of the MCC Islamabad that the MCC reimbursed Rs5million of rebate refunds during Tirst two weeks of previous February FY16-17 while it did Rs15million rebates during Tirst two weeks of February FY17-18. Since the collectorate believes in the facilitation of exporters so it tried to accommodate meximum numbers of exporters by giveing more rebate refunds of CD to local manufactures so that they can

continue their business activities smoothly. The sources told Customs Today that the collectorate posted 40% increase in rebates against an assigned proportional target during Tirst two weeks of February FY17-18. It was added that the MCC Islamabad was allocated an amount of Rs10.71million proportional rebate refunds target for said period whereas it paid off Rs15.00million rebates under the head of CD during said period.

tribunal adjourns hearing of case filed by M/s kohinoor traders

ISLAMABAD

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division bench of the Customs Appellate Tribunal dated in ofTice the hearing of a customs case Tiled by M/s Kohinoor Traders, challenging an announcement of the tribunal dismissing its case against Directorate General of Intelligence and Investigation, Islamabad. Customs Appellate Tribunal’s bench comprising Members Tribu-

nal, Syed Muhammad Anwar heard the case. M/s Kohinoor Traders had Tiled cases against Directorate of Intelligence and Investigation, Islamabad. Earlier the Customs Appellate Tribunal’s bench comprising members tribunal, Syed Muhammad Anwar, heard the case which is being contested against Directorate General of Intelligence and Investigation, Islamabad. The bench remanded back the matter to departmental adjudication for rehearing. The bench also directed the adjudication to de-

cide the matter in light of law and issue a speaking order in this regard. Meanwhile, Justice Aamer Farooq of the Islamabad High Court (IHC) has reserved a decision on a customs matter Tiled by M/s Hasas Engineering and Construction Company (Private) Limited. The appellant had challenged a recovery notice issued by commissioner Inland Revenue of Large Taxpayer’s Unit, Islamabad. The bench reserved decision after hearing arguments in the case with submission of record.

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SHC directs counsels to conclude arguments on petition seeking release of truck KARACHI: The Sindh High Court (SHC) has directed parties to conclude the arguments on a constitutional petition filed by Long Khan against seizing of his Hino truck bearing registration number AE-1636 loading plastic scrap seized by customs officials. A twomember bench, comprising Justice Munib Akhtar and Justice Umer Sial, was hearing the petition. Earlier, counsel for the petitioner stated that petitioner is lawful owner of the above mentioned vehicle and never involved in any crime. However, officials of the AntiSmuggling Organization of Model Customs Collecorate Hyderabad intercepted his Hino truck which was loaded with plastic scrap.

SHc seeks remarks on petition filed by M/s Quick contractors

Thursday March 1, 2018

Karachi

customs export recovers Rs 12.28m from defaulter companies

KARACHI

M B RAnA

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he Sindh High Court (SHC) has directed the customs officials to file their para wise comments on a constitutional petition filed by Nadeem Khan son of Kashif Khan, sole proprietor of M/s Quick Contractors and Traders seeking release of old and used prime movers seized by customs authorities. A two-member bench, headed by Justice Munib Akhtar, was hearing the constitutional petition. Earlier, counsel for the petitioner stated that petitioner is engaged in the lawful business of construction, for the purpose, regarding imports defferent types of construction machinery.

Dg Valuation to revise customs values of glycerin on April 10 KARACHI

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he Directorate General, Customs Valuation, Director General Surriya Ahmed Butt has decided to revise the Valuation Ruling No: 798/2016 on April 10, 2018, it is learnt. Surriya Butt said the department was reviewing suggestions from various importers to set new prices of glycerin. She said some valuations issued in 2015 were being reviewed from the beginning. Moreover, the valuations will be set in view of the rising prices in the international market. Sources told that a petition was filed with the Customs Valuation in which change in prices of glycerin was requested. Sources further said Valuation Ruling No: 798/2015 was issued on January 21, 2016. A meeting was held with the stakeholders on 14th February 2018.

KARACHI

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he Customs Export has recovered evaded amount of taxes and duties of Rs 12.28 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 BB Knitwear Karachi availed undue beneTits and concessions by importing different consignments by misusing the SRO 566 through Examiner Suhail Khan on 11th October 2017. Sources said that the company was allegedly involved in tax evasion of Rs 4.28 million. After detecting the tax evasion, the Customs Export issued it with a Tinal notice on November 17, 2017 to deposit the evaded amount within 14 days, but the defaulter company took time to deposit amount. After receiving the notice, the management of M/s B B Knitwear Karachi deposited the evaded amount in the ofTicial account of the Customs Export on 14th February. On the other hand, the management of the M/s Naseem Home cleared chemicals Rs 8 million of taxes and duties. Sources told t that M/s Naseem Home 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 January 18,

2018. After receiving the notice, the management of M/s Naseem Home deposited the evaded amount of taxes on 13th February. Meanwhile, Collector Customs Export Saqib Saeed is showing outstanding performance after assuming the charge of his new assignment. The Customs Export has recovered evaded amount of taxes and duties of Rs 9.82 million from defaulter companies which were issued with notices to pay

Sources told that the company was allegedly involved in tax evasion of Rs 4.28 million. After detecting the tax evasion, the customs export issued it with a final notice on november 17

pcA detects tax evasion by M/s noman Sanitary

KARACHI

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he Directorate of Customs Post Clearance Audit detected duties and tax evasion of Rs 8.23 million by M/s Noman Sanitary Karachi, it is learnt here. Sources told Customs Today that M/s Noman Sanitary imported a consignment of sanitary items including, fancy tape, basins, fancy showers and pipes, tape handles and got it cleared from the PICT Karachi vide GDs

on October 17, 2017 by paying customs duty at 8 percent after claiming the beneTit of the SRO 558/2007. However, the subject items were correctly classiTiable under the PCT 3508.1479 attracting customs duty at 8 percent and income tax at 10 percent, thus, by way of mis-declaration of classiTication, the company evaded/short-paid Rs 8.23 million. The goods were cleared by Head Examiner ShaTi Ullah Niazi. Sources told that the importer violated the provisions of Section 42 (7) & (7A) of the Customs Act-1969, Section 21

read with Section 35 of the Sales Tax Act-1990 and Section 147 of Income Tax Ordinance 2001 punishable under clauses (224) and 147 of Section 141(3) of the Customs Act-1969, Section 83 of the Sales Tax Act-1990 and Section 89 & 147 of Income Tax Ordinance 2001 and Section 8-A of the Sales Tax Act-1990 read with chapter X of the Sales Tax Special Procedure Rules 2007 (special procedures for payment of sales tax by the importers) and under relevant provisions of Income Tax Ordinance 2001.

the outstanding dues. Sources told Customs Today that during scrutiny of the import data, it was revealed that M/s Dhareej Associate Karachi availed undue benefits and concessions after importing different consignments by misusing the SRO 567 through Examiner Raheel S Khan on 12th December 2017. Sources further said that the company was allegedly involved in the tax evasion of Rs 5.24 million.

pak rupee remains flat in interbank he greenback closed flat against the rupee in the interbank and gained value in open market on demand by importers and corporate sector. As per the local money market, the rupee ended slightly lower in the open currency market. The US dollar closed at Rs 111.80 for buying and Rs 112.10 for selling, rising five paisas from previous session’s level.

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FTO concludes hearings of tax refund case Thursday March 1, 2018

Lahore

LAHORE: The Federal Tax Ombudsman (FTO) concludedthe hearing of appeal filed by M/s Hussain Sugar Mills against the Large Taxpayer Unit (LTU) until the next date of hearing. According to the details, FTO Advisor Mian Munawar Ghafoor heard the case in which the counsel for the appellant argued that the LTU had failed to satisfy the appellant in refund case. He added that the LTU collected excessive tax from the company during the last three years. The petitioner approached the department many times but it failed to pay the refunds after the passage of a reasonable time.

customs court directs central Region posts 19pc to conclude remarks in growth in cD collection mobile phones smuggling LAHORE

LAHORE

M iMRAn MeHAR

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he Special Federal Court of Customs Taxation and Anti Smuggling has directed counsels to conclude their arguments in renowned case of Rs 6 million mobile phones smuggling. According to details accused Muhammad Naveed and Muhammad Faisal were arrested by the Customs Intelligence authorities from Lahore. Customs Intelligence has found 9700 mobile phones of different models from a warehouse of the accused. Sources of Customs Today has said that worth of the smuggled mobile phones is more than Rs 6 million in local market and the accused has caused a huge loss

fBR greets 31 newly appointed oﬃcers of iRS hairman Federal Board of Revenue (FBR) issued greeting letters to newly posted officers of Inland Revenue Service (IRS). Customs Today learnt that Chairman Federal Board of Revenue (FBR) Tariq Pasha issued greeting letters to 31 newly posted officers of Inland Revenue Service (IRS). “All the new officers belonged to the 44th common of Civil Services. Sources told that Chairman Federal Board of Revenue (FBR) Tariq Pasha has sent greeting letters to the officers in all Regional Tax Offices (RTOs) and Large Taxpayers Units (LTU) where newly joined officers are posted. Chairman also wished them best of luck for their future assignents. He hoped that they posted officers will work hard and come upto the expectations of their superiors. He advised them to work with honest and dedication. –CB Report

to the national kitty in the wake of taxes. Sources told they were intercepted by the customs authorities near Hall Road area. Customs team recovered noncustoms paid mobile phones and accessories from possession of the accused. Worth of the recovered items is more than Rs 6 million in local market. The accused have caused a huge loss to the national kitty in the wake of duty and taxes. Customs investigation team produced them before the customs court for getting their physical remand to investigate more on the issue that was approved by the court. Now Customs judge Tahir Sabir in today’s hearing directed counsels to conclude their arguments on next date of hearing. Customs authorities registered a case against him under Pakistan Customs Act 1969.

M HAYAt

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he Customs Central Region has posted a growth of 19 percent in collection of customs duty during the first 15 days of February of the financial year 2017-18 by collecting over Rs 2,601 million. As per details, the Customs Appraisement Lahore collected Rs 1,440 million and the Customs Preventive Lahore collected Rs 460 million duty during the period under review. On the other hand, the Collectorate of Multan collected Rs 573 million customs duty during 15 day of February of financial year 201718. In the same way, the Collectorate of Customs Faisalabad collected Rs 126 million customs duty during the period. Overall the Central Region collected customs duty

fto orders Rto to hears case of tax refund appeal filed by M Bilal

ederal Tax Ombudsman (FTO) remands back the appeal Tiled by Muhammad Bilal against the Regional Tax OfTice (RTO-II) Lahore and adjourned it until the next date of hearing. During the proceedings of case, Advisor Mian Munawar Ghafoor has heard the appeal in which counsel for the appellant argued that the RTO-II had failed to release the sales tax refund to the appellant since last two years. He said the RTO-II collected excessive taxes from the company during the last two years. The petitioner approached

the ofTicials concerned several times for the release of refunds, but the RTO ofTicials failed to clear refunds after the passage of a reasonable time. Finally, the appellant decided to approach the FTO seeking intervention in this case. The counsel appealed the FTO advisor to direct the RTO-II to clear the refund claims. The counsel further said that delay in release of refunds put burden on the taxpayers, adding that the RTOII should make audit of the case and release the extra amount collected by it from the taxpayer. –CB Report

from all the four Collectorates worth Rs 2601 million posting a

growth of 19 percent during the 15 days of FY 2o17-18.

iRSA releases 63,500 cusecs water he Indus River System Authority (IRSA) released 63,500 cusecs water from various rim stations with inTlow of 47,400 cusecs. According to the data released by IRSA, water level in the Indus River at Tarbela Dam was 1393.20 feet, which was 13.20 feet higher than its dead level of 1,380 feet. Water inTlow in the dam was recorded as 20,100 cusecs and outTlow as 35,000 cusecs. The water level in the Jhelum River at Mangla Dam was 1050.00 feet, which was 10.00 feet higher than its dead level of 1,040 feet whereas

the inTlow and outTlow of water was recorded as 7,400 cusecs and 8,600 cusecs respectively. The release of water at Kalabagh, Taunsa and Sukkur was recorded as 43,100, 35,800 and 4,700 cusecs respectively. Similarly from the Kabul River, 12,200 cusecs of water was released at Nowshera and 2,000 cusecs from the Chenab River at Marala. Similarly from the Kabul River, 12,200 cusecs of water was released at Nowshera and 2,000 cusecs from the Chenab River at Marala. –CB Report

Appellate tribunal accepts appeal in seized Mini truck case

LAHORE

SAJiD nAwAZ

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he Customs Appellate Tribunal has vitiated the impugned order in seized vehicle case which was Tiled by the deputy collector Customs Preventive, against Muhammad Javiad. Omer Arshed Hakeem, Member

Judicial, heard the case in details and passed the judgment with remarks that appeal stand accepted the original order survives in full statutory vigor. As per brief history of case, the staff of Customs Anti Smuggling Origination (ASO) was intercepted a mini truck loaded with foreign origin Electric Gear Motors. On demand, the driver failed to produce legal documents regarding the legality of vehi-

cle and the same were seized under section 2 (kk) of the Customs Act 1969. After show cause notice, adjudication proceeding were culminated and Order in Original (ONO) was passed with remarks that seized vehicle to be released to the owner on the payment of 50,000 redemption Tine and order for further appraisement of seized goods. The appellant not satisTied with order and Tiled ap-

peal before the learned collector of customs (appeals) who set aside the original order. The department aggrieved from the order and Tiled the appeal before the Customs Appellate Tribunal and produced all document those showing the illegality of goods and also present arguments that the original order passed in mechanical fashion and earlier authority has ignored the fact of case.

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Thursday, March 1, 2018

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KARACHI cuStoMS BuLLetin RepoRt

www.customsbulletin.com few customs ofTicials at Port Qasim have turned a blind eye on clearance of banned and non-certiTied goods worth billions of rupees through green channel by declaring as scrap. Customs Today reported extensively on misuse of green channel facility and unearthed the scam in which a number of containers of betul nuts, acetic anhydride and iron-steel were being cleared through green channel. After so much coverage by Customs Today, Customs Preventive and Intelligence launched raids on green channel ‘smugglers’ and seized a number of containers cleared through green channel which shows to what extent this green channel smuggling is being carried out with the support of a few senior customs ofTicers at Port Qasim. Customs Today reported on 14 February about another scam of clearance of illegal/banned goods by declaring as scrap through green channel, Customs Intelligence raided a godown on 16 February and seized containers of steel and iron scrap. Customs Preventive raided different godowns and seized 6 containers of betel nuts cleared under HS Code 7204.4100 through green channel. Suspects namely Muhammad Shoaib Arshad, owner of M/s City Steel UAE Mills (Private) Limited, Muhammad Arshad, owner of M/s A.F Enterprises,

Muhammad Tariq, Sohrab Khan, Amjad Khan and others booked in a betel nuts smuggling case which they had imported in the garb of waste and cast iron scrap. According to the FIR No ASO-58/2018 lodged on 21 February, an ASO team found two containers near Shan Chowrangi, Korani Road, Karachi, which were stopped. The drivers presented the documents of 14 containers, including these two containers, which were cleared from MCC Port Qasim. During the search, the customs ofTicials recovered 80,025 kilogram betel nuts worth Rs 200 million. It was established beyond doubt that the suspects were involved in smuggling of the contraband betel nuts under the garb of waste and scrap of iron. They got the betel nuts cleared under HS Code 7204.4100. Hence they have, individually and collectively, violated the customs laws. Sources said huge scam of green channel smuggling could not be carried out without the help of the customs ofTicials so their names should also be mentioned in the FIR report. A few Customs ofTicials at Port Qasim involved in clearance of restricted goods through green channel made a plan to save themselves from this scam. For this purpose they started separate investigation of the issue and lodged another FIR no SI/MISC/03/2018/PQ-CIU on 21 Feb in the case to save the skin of the customs ofTicials involved especially ADC Yasin Murtaza. As per FIR, Customs

team raided a godown belonging to Imran Ameen where containers of betel nuts were off-loaded but during the raid, they could not Tind anything there. FIR of Port Qasim lodged on the same smuggled goods that Preventive had already caught and registered FIR. The 6 containers containing GD number KPPI- HC – 62268 is same as already caught by Preventive. This second FIR for the same instance at the behest of ADC Yasin Murtaza of Port Qasim is an attempt to weaken the first FIR of preventive and an open attempt to keep the accused away from Preventive so that the accused do not give away the names of gang of green channel. This second FIR is an attempt by Port Qasim to jump into the investigations of the case and tamper evidences and influence witnesses. Customs Today had reported earlier that ADC Yasin Murtaza, under a plan, was keeping entire staff & place busy with futile re-examinations and re-assessments of genuine importers so that his accomplices from the green channel smugglers get a good chance to smuggle goods without examination in green channel. This is giving rise to huge smuggling through green channel. Legal importers have demanded that NAB and FIA take up such green channel smuggling cases of ADC Yasin Murtaza, Port Qasim so that such customs ofTicials who are the true protectors and beneTiciaries are caught once and for all.

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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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poor ranking of pakistan in cpi

ransparency International has ranked Pakistan at 117th on the global Corruption Perceptions Index 2017 out of 180 nations. The worldwide ranking is based on the level of perceived public sector corruption in Pakistan and the government’s failure to curb financial misconduct. The country showed no improvement in its ranking of 2016 when it was placed at 116th out of 176 countries. Experts opine the score was 32 in 2016 and in fact the level dropped down from 116 to 117 on the global list. The score is still 32. The international non-government organization index ranks the countries and territories by their perceived levels of public sector corruption and uses a scale from zero to 100, where zero indicates high level of corruption and 100 is clean. The agency believes most of the countries are not improving their ranks on the Corruption Perception Index or moving too slow to curb the menace. It says the countries with lowest press protections and the non-governmental organizations also tend to have the worst rates of corruption. It also observed various countries have failed to make any progress to streamline their financial aﬀairs. According to the agency, New Zealand and Denmark ranked the highest by obtaining the scores of 89 and 88, respectively while Syria stood at 14, South Sudan 12 and Somalia 9. The agency also reveals that more than two-thirds of countries have scored below 50 with an average score of 43. These countries could not improve their ranking despite several efforts. The Western Europe has emerged as the best performing region with an average score of 66 whereas Sub-Saharan Africa bagged an average score 32 and Eastern Europe and Central Asia 34. The world still regards corruption as curse, but in Pakistan’s case any effort to curb corruption is labeled as political victimization by the suspects. The recent cases, in which senior leaders of various political parties are struggling to absolve themselves of corruption charges by getting clean chits form the courts. However, the situation has drastically changes. The country took a loan of $45 billion in four and half years, but where the money has gone is unclear. There is no ledger in any government department with details of expenditures it has done during the period in question.

challenges to economy A

LAHORE

DR AftAB AfZAL

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ccording to Country Director of the World Bank, Pakistan could face serious challenges to its economy in next decade due to lack of consensus on political issues. The ofTicial also praised the government for depreciation of rupee against dollar and recommended more Tlexibility in the exchange rate to move in the desired direction. Unfortunately, the policymakers in this country are susceptible to listen to the advices, recommendations and even dictation of the foreign donor agencies without using their own brain and abilities. Though the performance of

Ishaq Dar, the erstwhile Tinance minister, was not up to the mark, his presence in the ofTice deemed as a big hurdle in the way of depreciation of rupee and the country achieved macroeconomic stability to some extent. However, after he left the ofTice, the depreciation of the rupee has changed the total outlook of the economy. The fall in the rupee value is in fact an admission by the government that it is not going to achieve any target during the current Tiscal year and, rather, the economy is on the downward trajectory. However, the World Bank ofTicial is right in his assessment that next decade is crucial for the economy of Pakistan. The present government of the Pakistan

Muslim League-Nawaz has broken all the past records of the country by taking loans from every source which might have come to its way. As a result, the short term measures left the nation to face the long term consequences. In the absence of the desired rate of industrial production, the export sector incurred losses of billions of rupees in Tive years. If the government listens to the World Bank’s advice, another round of depreciation will bring nothing but disaster for the already frail economy. The bank is already considering revising growth rate targets in its report to be issued in a couple of months. The country needs Tinancial collusion and coordina-

tion among various organs of the state as well as within the provinces. There is a need to ensure availability of Tinancial statements from private individuals as well as the corporate sector and public sector organizations for better Tinancial management and enhancement of the tax base. The current Tinancial infrastructure is poor and it needs special attention of the policymakers. The Tinancial collusion also means documentation of all the Tinancial transactions. And last but not the least, the policymakers do listen to the advices of the international Tinancial institutions, but use their own brain when it comes to decision making in the Tinancial matters.

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SHC seeks report in a petition filed by Asad Trading Company KARACHI: An appellate bench Sindh High Court (SHC) fixed in a petition seeking release of miscellaneous goods filed by Asad Trading Company. The bench said that 100 per cent duty and taxes have been paid by the petitioner as there was no difference between the declared value and differential. A counsel appearing for the Pakistan Customs Appraisement, West said that department has no objection over release of the consignment. The consignment would be released whenever petitioner approaches the department, the counsel said.

pcA detects tax evasion of Rs 6.58m by M/s Jk traders Hyderabad

Thursday March 1, 2018

National

Dg Valuation to revise valuation of Latex Vanyl & surgical gloves on April 18

KARACHI

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he Directorate of Customs Post Clearance Audit has detected duties and tax evasion of Rs 6.58 million by M/s JK Traders Hyderabad, it is learnt here. Sources told Customs Today that M/s JK Traders imported a consignment of paper sheets, printers and photo copier papers and magazine size paper rolls, and got it cleared from the PICT Karachi vide GDs on October 19, 2017 by paying customs duty very low at 8 percent after claiming the benefit of the SRO 565/2007. However, the subject items were correctly classifiable under the PCT 2509.2147 attracting customs duty at 12 percent and income tax at 10 percent, thus, by way of mis-declaration of classification, the company evaded/short-paid Rs 6.58 million. The goods were cleared by Head Examiner Waseem Khan. Sources told

KARACHI

wAQAR AHMeD AnSARi www.customsbulletin.com

irectorate General, Customs Valuation, Director General Surriya Ahmed Butt, has decided to revise the Valuation Ruling No: 766/2015 on April 18, 2018, it is learnt here. According to details, Surriya Butt said that the department was reviewing suggestions from various importers to set new prices of Latex Vanyl examination and surgical gloves. 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 said that a petition was submitted before the Customs Valuation in which change in prices of Latex Vanyl examination and surgical gloves was requested. Sources told that Valuation Ruling No: 766/2015 was issued on October 12, 2015. A meeting was held with the stakeholders on 13th February 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 told that during the month of January and current of February Im-

porters submitted the application for review prices of different items, cause of increases prices in International markets. Meanwhile, The Directorate General, Customs Valuation, Director General Surriya Ahmed Butt has decided to revise the Valuation Ruling No: 781/2015

on 4th April, 2018, it is learnt here. Surriya Butt said the department was reviewing suggestions from various importers to set new prices of liner alkyl benzene sulphonic acid (soft and hard type). She said some valuations issued in 2015 were being reviewed from the beginning.

fBR undertakes postings & transfers of five customs oﬃcials LAHORE

that the importer violated the provisions of Section 25 (9-A) of the Customs Act-1969, Section 29 read with Section 42 of the Sales Tax Act-1990 and Section 128 of Income Tax Ordinance 2001 punishable under clauses (258) and 117 of Section 247(6) of the Customs Act-1969, Section 54 of the Sales Tax Act-1990 and Section 81 & 254 of Income Tax Ordinance 2001 and Section 4-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.

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ederal Board of Revenue (FBR) has issued a notification no: 0311-C-III-2018 dated 19.2.2018 according to which five customs officials are transferred from Lahore to Karachi. According to the notification Inspector Mohammad Imtiaz Hanif who is currently performing his duties in Collectorate of Customs Preventive which hereby transferred to Customs Collectorate of Port Mohammad bin Qasim with immediate effect. While Inspector Iftikhar Ahmad Hassan son of Mohammad Sharif Khan who is also currently performing his duties in Customs Preventive is directed to report for new assignment at Customs

Collectorate of Port Mohammad Bin Qasim. Inspector Zulfiqar Ali son of Ghulam Mustafa who is performing his duties in Collectorate of

Customs Preventive is directed to report for duty at Customs Collectorate Port Mohammad bin Qasim with immediate effect. Notification further stated that Ap-

praising Officer Azhar Abbas who is currently performing his duties at Customs Post Clearance Audit is hereby transferred to Model Customs Collectorate of Appraisement East. According to notification Inspector SDajid Iqbal who is performing his duties at Collectorate of Customs Appraisement, Lahore is transferred to Input Output Co-efficient Organization (IOCO), Lahore. The notification further stated that all the newly transferred officials who are drawing performance allowance prior to issuance of their transfer notification shall continue to draw the allowance on their new place of posting. These officials are allowed to relinquish and assume the charge of their new responsibilities and use their FBR IJP logins with immediate effect.

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Valuation of potato frozen French fries revised Thursday March 1, 2018

National fBR asked to extend date for filing of monthly statement

KARACHI: Customs Valuation Director Iqbal Muneeb has revised the customs values of potato frozen French fries through valuation ruling No.1258/2018. The customs values of potato frozen French fries were earlier determined vide Valuation Ruling No.1164/2017. However, various representations were received from the importers for re-determination of values of the goods. Hence, an exercise was initiated to determine the values of goods afresh.

8 customs oﬃcers promoted to BS-21 and 14 oﬃcers to BS-20

KARACHI

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ISLAMABAD

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arachi Tax Bar Association (KTBA) has asked the Federal Board of Revenue (FBR) to extend date for filing of monthly statement for the month of February as according to KTBA members Integrated Risk Information System (IRIS) e-filing software is not working. In a letter addressed to chairman FBR, Tariq Mahmood Pasha, KTBA said that many of KTBA members are constantly in touch informing that they are facing severe problems in e-filing the monthly statements for the month of January 2018 under section 165 of the Income Tax Ordinance, 2001, which are due i.e. February, 2018, due to nonworking of the IRIS. They are very upset because of this as they are not even in a position to apply for extension of the same today on IRIS. In view of the above we request you to extend the date of e-filing the monthly statements under section 165 for the month of January 2018.

SHc to decide toyota Surf detention case he Sindh High Court has fixed March 15 date to decide a Toyota Surf detention case. A SHC appellate bench, comprising Justice Munib Akhtar and Justice Mrs Ashraf Jahan, adjourned hearing of a petition filed by Muhammad Usman Shah. The Customs Department earlier told the bench that the auction documents submitted by the petitioner are fake. The counsel took the plea that the allegation of fake documents of auction was not the part of the show cause. The same bench also ordered release of an Asphalt Paver machine on the basis of order passed by the bench a week back. Eastern Construction company filed the petition seeking release of the Asphalt Paver. –CB Report

ederal Board of Revenue (FBR) has promoted eight Pakistan Customs Service ofTicers of BS20 into BS-21 and 14 ofTicers of BS19 into BS-20 on regular basis with immediate effect. The promoted ofTicers include Dr Sarafarz Ahmed Waraiach, Ziauddin Wazir, Dr. Naeem Aijaz Qureshi, Dr. ZulTiqar Ahmed Amalik, Dr. Ahmad Mujtaba Memon, Saud Imran Ahmad, Syed Mohammad Tariq huda and Dr. Wasif Ali Memon. Fourteen ofTicers who have been promoted from BS-19 into BS-20 include Mohammad Iqbal Bhawana, Imtiaz Ahmed Shaikh, Wajid Ali, Ahmad Rauf, Mohammad Imran Khan Mohmand, Dr Akhtar Hussain, Mo-

hammad Adnan Akram, Zeba Azhar, Saima Shehzad, Khalid Hussain Jamali, Malik Kamran Azam Khan, Mumtaz Ali Khoso, ShaTique Ahmed

Latki and Dr. Mohammad Nadeem Memon. According to the Board’s notiTication, the ofTicers, who are presently posted against BS 20-21

posts on OPS, may actualize their promotions against these positions. Posting of the remaining ofTicers will be notiTied separately.

customs pcA detects tax evasion of Rs 11m by M/s usman garments & exports karachi T

KARACHI

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he Directorate of Customs Post Clearance Audit has detected duties and tax evasion of Rs 11 million by M/s Usman Garments and Export Karachi, it is learnt here. Sources told Customs Today that M/s Usman Garments and Exports imported a consignment of fabric roller machine, printing machine and different kinds of hard printing chemicals, and got it cleared from the PICT Karachi vide GDs on December 19, 2017 by paying customs duty at 6 percent after claiming the benefit of the SRO 567/2007. However, the subject items were correctly classifiable under the PCT 2548.2507 attracting customs duty at 10 percent and income tax at 12 percent, thus, by way of

mis-declaration of classification, the company evaded/short-paid Rs 11 million. The goods were

cleared by Head Examiner Shams Uddin. Sources said that the importer violated the provisions of

Section 37 (8) & (2A) of the Customs Act-1969, Section 21 read with Section 47 of the Sales Tax.

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Court seeks final charge sheet against suspects involved in Q Mobile smuggling case KARACHI: The Customs Court directed investigation officer to complete investigation and submit a final charge sheet against suspects namely Zeeshan Akhtar son of Mian Pervaz Akhtar CEO, director Zeeshan son of Yousaf, Kashif Hussain son of Kazim Hussain, Muhammad Azam Hussain son of Fazal Hussain and others, who were booked in a case of attempting to smuggle assorted (Q-Mobile) mobile phones and other goods in the garb of LED lights. During the hearing, the investigation officer sought further time to submit the final charge sheet, therefore, the court granted him time and directed him to submit the charge sheet on the next date of hearing.

customs export recovers Rs 9.82m from two defaulter companies KARACHI

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ollector Customs Export Saqib Saeed is showing outstanding performance after assuming the charge of his new assignment. The Customs Export has recovered evaded amount of taxes and duties of Rs 9.82 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 Dhareej Associate Karachi availed undue benefits and concessions after importing diﬀerent consignments by misusing the SRO 567 through Examiner Raheel S Khan on 12th December 2017. Sources further said that the company was allegedly involved in the tax evasion of Rs 5.24 mil-

lion. After detecting the tax evasion, the Customs Export served on it a final notice on January 18, 2018 to deposit the evaded amount within 14 days. After receiving the notice, the management of M/s. Dhareej Associate Karachi deposited the evaded amount in the oﬃcial account of the Customs Export on 15th of February. On the other hand, the management of the M/s Sabeen Garments and Export also cleared Rs 4.58 million of taxes and duties. Sources told that M/s Sabeen Garments and Export also availed undue benefits and concessions and avoided paying taxes according to the customs bylaws. The Customs Export authorities issued to it a final notice on January 12, 2018. After receiving the notice, the management of the M/s Sabeen Garments and Export deposited the evaded amount of taxes into the oﬃcial account February.

National

court directs prosecution to produce evidence against suspect in money laundering case

ASo seizes betel nuts worth Rs 1.5 billion from Site area of karachi ISLAMABAD

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he Anti- Smuggling Organization (ASO) of the Customs Intelligence and Investigation (I&I) has busts a huge quantity of betel nuts weighting 612 tons worth million of rupees. According to the details, on the tip off, an ASO team raided the SITE area and seized betel nuts. Source informed Customs Today that on the directive of the higher authorities the ASO has beefed up its surveillance and has increased the checking at all entry and exit points of the city whereas the blanket of the informers has been spread within the city. The team constituted under the supervision of Intelligence Officer (IO) Saif Hashmi raided a godown situated at the SITE area and seized 8,000 bags filled with betel nuts worth approximately Rs 1.5 billion in the market. The sources informed that betel nuts are in sub-standard quality and was stored along time ago. The source further informed that the police had started a crackdown against the Gutka mafia and the stated betel nuts were kept to be sold after the increased in demand.

KARACHI

M B RAnA

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Customs Taxation and AntiSmuggling Court has directed investigation ofTicer to produce evidence against a suspect namely Usman Shahid, who was booked in a case of money laundering, concealment of assets and evasion of taxes to the tune of Rs 576 million. Earlier, The suspect appeared before the court and moved a petition for pre-arrest bail. The counsel argued that his client was innocent and was falsely implicated in this case, and that his client was ready to face trail, however, he had apprehension of arrest, therefore, the court might grant him bail till Tinal order in the case. After the hearing, the court had granted him bail against the surety bonds of Rs 2,000,000 and directed him to appear before the court on the next date of hearing. According to the prosecution, investigation a money laundering case is respect of Usman Shahid in the ground that the suspect has knowingly and willfully made offences of concealment of income, acquiring assets from proceeds of crime by

Thursday March 1, 2018

committing “predicate offense” of tax evasion whose preliminary investigation from an available record. Investigation officer further informed the court that above mentioned accused also knowingly and wilfully submitted inaccurate/ wrong particulars to federal government of Pakistan in his income tax returns filed for

tax year 2011 to 2016, he has concealed his true revenue/ turnover/ income from government of Pakistan with intention of evading the trust reposed in him as a taxpayer/ citizen of Pakistan. Therefore, case was registered against him for violation money laundering and income tax ordinance.

tribunal remands back appeal in smuggled food items case

LAHORE

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ustoms Appellate Tribunal has remanded back appeal in seized smuggled foreign origin food items. Appeal was Tiled by the Collector of Customs, Anti-Smuggling Organization, Faisalabad versus Muhammad Nadeem, a resident of Quetta. Muhammad Shabbir Gujjar, member Judicial, heard the arguments from both sides, examined record and passed the judgment to set aside the appeal Tiled by the appellant, also remanded back case to adjudication authority for fresh speaking order after providing op-

portunities to both parties within thirty days. As per brief history, the case was reported by the Customs

Anti Smuggling origination in which smuggled foreign origin almonds Iranian 10980 kilogram and Al-

monds Nuts Iranian 3800 kilograms was seized where goods were transported from Quetta to Faisalabad. On demand, driver failed to produce documents regarding the lawful imports of goods and same were seized under the relevant section of Customs Act 1969. Adjudication authority culminated hearings, passed the impugned order and vacated the show cause. Being aggrieved from the order appellant filed the appeal before the Customs Appellate Tribunal. The appellant mentioned in the appeal that adjudication authority has passed the order without hearing of parties.

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World Customs

India to increase oil imports from Iran

MUMBAI: In April through January, the first 10 months of this fiscal year, India imported about 17% less Iranian oil at about 442,800 bpd. Supplies from Iran were down as state refiners, which account for about twothird of India’s nearly 5 million barrels per day demand, curbed imports in protest at Tehran’s move to grant development rights for the giant Farzad B Gas Field to others, Reuters reported.

Thursday March 1, 2018

Saudi customs foil attempt to tax crackdown in Russia boosts grain traders’ profits smuggle 42 dolls with ‘bombs’ MOSCOW

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RIYADH

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bid to smuggle in children’s dolls with fake explosive belts strapped to their waists has been foiled by the Saudi Customs Authority, Al Watan reported. The doll shipment was intercepted at King Khaled International Airport. According to the Public Relations Department at the Customs Authority, the 42 dolls were transported by aglobal shipping company with a large assortment of planes and trucks. Meanwhile, A jump in retroactive Islamic tax liabilities faced by Saudi Arabian banks is creating concern about damage to their earnings and the government’s motives in demanding the money. While Saudi banks and other firms generally do not pay corporate tax, they are subject to an an-

Dreaming of a better tax deal for all South Africans udget time and as usual taxpayers read stories that taxes will again go up. As usual, fear is peddled everywhere that taxes are going to go up at rocket pace. But when the worst does not happen relief creeps back; only like the frog in the frying pan, we are slowly cooked for more. The normal spin-cycle kicks in from the national Treasury as journalists, who are locked in a monopoly vice for a few hours, emerge with a few sensational points to boldly announce that taxpayers have escaped the worst. The South African tax burden is one of the highest in the world. Tax revenue to gross domestic product (GDP) – excluding social security taxes as our pensions are private – is among the top 10 highest countries in the world. Moreover, the average world tax burden is 15percent. –CB Report

nual Islamic tax called zakat, a 2.5 percent levy on each bank’s net worth. Analysts say the way in which this is assessed can be complex and opaque. In the last couple of weeks, several major banks have disclosed that the government’s General Authority of Zakat and Tax (GAZT) is seeking additional zakat payments from them for years going back as

far as 2002. In some cases, the demands exceed half of a bank’s annual net profit. The banks are challenging the assessments, but analysts said the issue could weigh on share prices in the banking sector, which is expected to attract billions of dollars of foreign investment as Saudi Arabia joins global equity indexes in the next couple of years.

Dutch unions back coal phaseout but demand compensations

hen the government made a political decision to close the coal plants, no money was made available to compensate the workers,’ said Patrick van Klink, representing the Federation of Dutch Trade Unions (FNV), the largest confederation in the country.Last fall, the new Dutch government coalition announced it would close down all Tive of the Netherland’s coal power plants by 2030, including three that opened as

recently as 2015. The coal phaseout was a part of a plan to cut emissions by 49 per cent compared to 1990 levels by 2030, a target more ambitious than the one set by the EU (40 per cent). The coalition agreement also mentions a carbon Tloor price of 18 euros in 2020, rising to 43 euros per tonne in 2030.In the Netherlands, major policy decisions are usually backed by a tripartite negotiation process involving government. –CB Report

Russian crackdown on tax avoidance in the agriculture sector has been a boon for its grain traders, allowing them to buy directly from farmers and cut out a complex web of middlemen. Traders include big international commodities houses and some traders said proTit margins on Russian grain had turned positive since the crackdown last year and now compared favourably with much of the business conducted in the European Union. “After the tax crackdown the Russian domestic market Tinally found itself working in a fair business environment, where entrepreneurial talent is now the driver of success rather than the ‘creative ability’ of some people to invent grey schemes in pursuit of building their competitive edge,” a

trader said. “Working on the Russian domestic market has become easier than before,” he added. Many Russian grain exporters signed an informal and voluntary agreement last May promising from the 2017/18 marketing year that began last July to avoid working with Tirms suspected of failing to pay taxes part of a broader clamp down by Moscow on tax avoidance in the agriculture sector. Russia’s top 20 exporters of grain – responsible for 70 percent of the country’s grain and oilseeds exports – have restructured their business in line with the tax service’s request. The tax avoiding scheme involved buying and selling grain via a chain of transactions in which the valueadded tax liability was left with a small trading company which then ceases to exist. Russia is one of the world’s top grain exporters and the government was estimated to be losing 65 billion roubles ($1.1 billion) a year in unpaid taxes on grain deals at a time.

philippines starts exporting labor hilippines maintained a foreign trade system that consisted of exports and imports of merchandise. After the 1960s, two game-changing alterations took place in the structure of international trade. They both involved a shift in the pattern of exports and imports. Now it was services brainpower and brown power no longer merchandise, that was being exported and imported. The first game-changer was the establishment of Opec (Organization of Petroleum Exporting Countries), which, because of the greatly enhanced price setting ca-

pability it gave them, sharply increased the petroleum-exporting countries’ earnings from their oil and gas exports. The petrodollar suddenly became a powerful currency, and the countries that had them—OPEC’s members—now had the wherewithal with which to embark upon ambitious economic development program. The Middle Eastern countries Saudi Arabia, the United Arab Emirates, Bahrain and Kuwait—now needed hundreds of thousands of foreign workers to construct their infrastructure project and industrial plants. –CB Report

china would not be the only country hurt by uS steel tariﬀs

H BEIJING

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eavy tariffs and quotas on steel will hurt China, but other countries may well bear the brunt of such measures. The fact is that China does export a lot of steel and aluminum to the United States, but frankly, Canada,

Brazil, Mexico, other countries import more steel than does China,” said Max Baucus, former U.S.ambassador to China, which is the world’s top overall steel exporter. On Friday, the Commerce Department recommended imposing heavy tariffs or quotas on foreign producers of steel and aluminum in the interest of national security, following a trade investigation of

imports. The metals are used in a wide range of industrial applications including infrastructure and cars. President Donald Trump and his administration announced the investigation into steel and aluminum importation in April. It sought to determine whether the imports posed a threat to the country’s national security. The recommendations call for tariffs

on multiple countries, although Trump could determine that specific nations should be exempt, based on the economic or security interests of the United States. The president could also consider a country’s willingness to work with the United States to address global excess capacity and other challenges facing the U.S. aluminum and steel industries.

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KPT shipping movements report KARACHI: Following were the Movements of Ships at the Karachi Port Trust (KPT) during last 24 hours, ending at 0700 hours. SHIPS SAILED: M.T.Karachi Nord Larkspur MSC Pilar Nave Polaris Wide India Butinah SHIPS BERTHED: Da Liang General Cargo Wan Hai 506 Container Ship GSL Tianjin Container Ship Safe Sea Neha II General Cargo Hansa Oﬀenburg Container Ship Nurbano Tanker EXPECTED SAILING: Wan Hai 506 16/02/18 Ever Delight 16/02/18 Hansa Oﬀenburg 16/02/18 Al Safa 16/02/18 EXPECTED ARRIVAL: Selin D 16/02/18 L/66000 Molasses.

Seven ships take berth at port Qasim even ships, Suez Canal, Prosper, Tucapel, Mu-Main Song, BBC Nile, Star Sirius and Tiamat Gas carrying Containers, General Cargo, Canola Seeds and LPG took berths at Qasim International Container Terminal, Multi Purpose Terminal, Grain & Fertilizer Terminal and Sui Southern Gas Terminal respectively during last 24 hours, said a report issued by Port Qasim Authority (PQA). Meanwhile four more ships Navg-8 Universe, CCNI Arauco, Petali Lady and Simaisma carrying Chemicals, Containers, Diesel oil and LNG also arrived at outer anchorage of Port Qasim during last 24 hours. Sixty five percent berth occupancy was observed at the port on Thursday where a total of eleven ships namely, Suez Canal, Prosper, Tucapel, Mu-Main Song, BBC Nile, Celsius Miami, Spring Cosmos, Star Sirius, Tiamat Gas, Rastanura and LionM are currently occupying berths to load/oﬄoad Containers, Chemicals, General Cargo, Coal, Canola Seeds, LPG, Palm oil and Furnace oil. A cargo volume

Ports & Shipping

kenya moves to harmonise cargo clearance at sea port NAIROBI

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he government has harmonised ofTloading and clearance of imported goods at the port of Mombasa to curb delays. Maritime and Shipping Affairs Principal Secretary, Nancy Karigithu, said the State wants to clear obstructions in clearance of cargo and reduce bureaucracy in handling of ships. Public and private sector agencies involved in ship, cargo, crew and passenger clearance are to link up with the Single Window System, she said. Procedures and customs, immigration, health and other public authorities’ documents are among those to be streamlined. “Documentation procedures work best where the paperwork is streamlined for simplicity and efTiciency. A large number of unnecessary paperwork and slow documentation processes are a serious danger to our competitiveness as a country and even as a region given

the wide geographical coverage of our port users,” the PS said Wednesday. She said the harmonisation process started yesterday. “We will know how we are going to be getting information on the goods beforehand and it has to be electronic. By the time the ship is arriving in Mombasa all agencies involved in cargo will have information and we will be able to work much faster and release the ship from the port as quickly as possible,” she said. Speaking at Nyali Sun Africa Hotel in

Mombasa, Ms Karigithu said the government will implement the International Maritime Organisation’s (IMO) Convention on Facilitation of International Maritime TrafTic. “The convention…will facilitate smooth transit in ports for ships, cargo, crew and passengers,” the PS added. The move is aimed at making trade through the port of Mombasa and along the northern corridor faster, easier and less costly to traders amid increasing competion from the main port in Dar es Salaam.

Thursday March 1, 2018

non oil trade up 12% in 10 months yoy he value of Iran’s non-oil trade with foreign partners reached $80 billion during the 10-month period of the current Iranian calendar year ended on January 20, up 12 percent from the same period last year. According to IRNA, in terms of weight, the country traded 135 million tons of goods during the mentioned 10 months, registering a 0.4 percent rise year on year. Meanwhile, the trade balance was reported negative with the value of imports exceeding that of exports by $5.7 billion. As reported, during the mentioned time span some $43 billion worth of non-oil goods were imported into the country, 22 percent more than that of the last year’s 10-month period. Auto parts were one of the main drivers of the increase in the value of imports in the mentioned period. The value of exports stood at $37 billion in the said 10 months, 1.7 percent more than that of last year’s same time span. Industrial products and minerals as well as carpets and handicrafts were reported to be the main drivers of the increase in the value of the country’s 10month exports. –CB Report

uk shipping industry warns of Brexit’s impact of 121,508 tonnes, comprising 98,290 tonnes import cargo and 23,218 tonnes export cargo inclusive of containerized cargo carried in 2,985 Containers (TEUs), (1,763 TEUs imports and 1,222 TEUs exports) was handled at the port. Container Vessel Prosper and Edible oil carrier Rastanura sailed out to sea on Friday morning, while two Container ships, Suez Canal and Prosper, and a Chemicals carrier Celsius Miami, an oil tanker Lion-M and a Gas carrier Tiamat Gas are expected to sail on same day. Five ships, CCNI Arauco, Hugo Schulte, Navig-8 Universe, Able Sailor and Simaisma carrying Containers, Chemicals, Palm oil and LNG are expected to take berths at QICT, EVTL, LCT and EETL respectively on Friday. –CB Report

LONDON

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he head of Britain’s maritime business association is calling on the UK government to prepare for an orderly transition period when it exits the EU. “We are lost in politics,” said David Dingle, head of Maritime UK. “Our message is: please, government, can you do this as quickly as possible because if there is no transition period the industry as a whole will be in trouble.” He warned that the nation’s biggest ferry ports would be the worst affected. “Our biggest concerns are Dover and Holyhead. There will be new customs requirements that could cause particular challenges for roll-on roll-off ferry ports which handle tens of thousands of [trucks] travelling between

the UK and the EU each day,” Dingle said. Adding just two minutes to the average time a truck takes to get through the port of Dover could lead to 20-mile-long trafTic jams on the highways nearby. The UK will no

longer be a part of the EU on March 29, 2019, and there is no guarantee that the European Commission and the government of British Prime Minister Theresa May will reach a deal for a transition period. Euro-

pean ports are preparing now for the increased trade hurdles that could come from a “hard Brexit.” Zeebrugge, Rotterdam and Calais are already hiring more customs ofTicials and produce inspectors, and the Port of Rotterdam alone expects that it may have to hire well over 100 additional agents. Dingle told reporters that the UK government is not treating the matter with the same level of urgency. “We are shouting loudly about this, we have been for a while, but you do feel you are banging your head against a brick wall,” he said. Maritime UK’s lobbying effort comes against the backdrop of an ongoing parliamentary battle over Brexit’s extent. The Labour party is said to be contemplating a shift in policy to support keeping Britain in the EU customs union on a long-term basis, beyond a transition period – despite the well-established Euroskeptic views of leader Jeremy Corbyn.

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IRSA releases 63,500 cusecs water ISLAMABAD: The Indus River System Authority (IRSA) released 63,500 cusecs water from various rim stations with inflow of 47,400 cusecs. According to the data released by IRSA, water level in the Indus River at Tarbela Dam was 1393.20 feet, which was 13.20 feet higher than its dead level of 1,380 feet. Water inflow in the dam was recorded as 20,100 cusecs and outflow as 35,000 cusecs. The water level in the Jhelum River at Mangla Dam was 1050.00 feet, which was 10.00 feet higher than its dead level of 1,040 feet whereas the inflow and outflow of water was recorded as 7,400 cusecs and 8,600 cusecs respectively.

Thursday March 1, 2018

Business

‘cpec projects to largely benefit people of pakistan’ ISLAMABAD

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hairman Parliamentary Affairs Committee on China Pakistan Economic Corridor (CPEC), Mushahid Hussain Syed has said that construction of Special Economic Zones (SEZs), Gwadar Port, hospitals and international airport would largely beneTit the people of Pakistan. The people of all provinces including Gilgit-Baltistan, Azad Jammu and Kashmir, Punjab, Sindh, Khyber Pakhtunkhawa, Balochistan would have opportunities and beneTit from the CPEC projects, he said while talking to PTV.

foreign exchange rates KARACHI

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“CPEC would alleviate poverty and unemployment from the country, “ he said. To a question, the Chairman said that Pakistan was

fiA to arrest Axact ceo as SHc overturns his acquittal

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he Exchange Rates Committee of Financial Markets Association of Pakistan issued the following exchange rates bulletin. LIBOR FOR CALCULATING INTEREST ON SPECIAL US DOLLAR BONDS VIDE SBP F.E. CIRCULAR NO.42 & 21.07.98 & 04.08.98 RESPECTIVELY. LIBOR VALUE 6 MONTHS US DOLLAR 2.1819 27.02.2018 CONVERSION RATES FOR 27TH FEBRUARY 2018 FOR FOREIGN CURRENCY FOR FORWARD COVER FOR DEPOSITS (EXCLUDING FE-25 DEPOSITS) SBP SETTLEMENT VALUE DATE MARCH 01, 2018.

availing the expertise of engineers, technicians, and other skilled workers from China in various projects initiated under the CPEC program.

Two power projects producing over 2000 mega watt electricity had been completed under CPEC plan, he said. To another question he said that CPEC would not only connect the people but would also improve cultural and business relations between the two countries. Mushahid Hussain Syed said that despite many challenges, China had made huge investment through CPEC projects which he added “this shows china’s full conTidence in Pakistan.” Replying to a question he said that the people living in less developed parts of Pakistan would beneTit from the project besides creating job opportunities for them. He said some 20,000 students of Pakistan were completing education in various disciplines from Chinese institutions.

KARACHI

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he Sindh High Court (SHC) accepted the Federal Investigation Agency’s (FIA) appeal against the acquittal of Axact Chief Executive OfTicer (CEO) Shoaib Sheikh in a money laundering case, setting aside an earlier decision by a district and sessions court. The case will be heard again by the trial court, the SHC ordered. Following the acceptance of the appeal, FIA ofTicials set up pickets at the

court’s exits to arrest Sheikh since he has yet to be granted bail. The Axact chief is currently inside the court’s premises with his lawyers who are insisting that the court has not ordered Sheikh’s arrest and that he should be given time to approach the courts for bail. A district and sessions court had acquitted Shoaib Sheikh in a money laundering case in 2016. However, the Supreme Court took notice of the issue after the fake degree scandal involving Axact re-emerged last month, directing Sindh and Islamabad high courts to to promptly decide on the pending cases regard-

ing Axact. The Axact CEO has been accused by the FIA of having illegally transferred Rs170.17 million to a Dubai-based Tirm, Chanda Exchange Company, in April 2014. The Axact scandal surfaced in May 2015, when The New York Timespublished a report that claimed the company sold fake diplomas and degrees online through hundreds of Tictitious schools, making “tens of millions of dollars annually”. Subsequently, the ofTices of Axact were sealed, its CEO and key ofTicials were arrested and a probe was launched on the basis of the allegations leveled by NYT.

nAB approves probes for filing of references ISLAMABAD

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he Regional Board Meeting (RBM) of National Accountability Bureau (NAB) has approved three investigations for filing of reference. The meeting, held with Director General, NAB Rawalpindi, Irfan Naeem Mangi in chair, was attended by Deputy Prosecutor General Accountability, Nouman Aslam Director Gilgit Baltistan (GB), Directors and other concerned officers. The first investigation, approved for reference, was against Ismail Zafar ExConservator, Saleemullah Khan EX-DFO and Qadardan EX-RFO, regarding illegal cutting/transportation of timber from Makhley Forest and Minar Forest GilgitBaltistan during Timber Policy 2013. The second investigation, approved for filing of reference, was against Saleemullah Khan Ex-DFO Astore, Fareedullah Khan Ex-Superintendent and Muhammad Iqbal, Forest Lessee regarding transportation of illegal cutting timber from Chilas Forest Division without collection of fine during Timber Policy 2013. The responsible officers/officials of Forest Department have already been arrested and are presently in judicial custody. The third investigation, approved for filing of reference, was regarding illegal appointments/ adjustments in National Programme for Family Planning and Primary Health Care GB.

Vehicles owners to get universal numbers from March 1 RAWALPINDI

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he vehicle owners would be issued new Universal Numbers from March Tirst as Excise and Taxation Rawalpindi is Tinalizing all the arrangements in this regard. According to Director, Excise and Taxation Rawalpindi, Tanveer Abbas Gondal, the new vehicle registration system is being introduced

for facilitation of the citizens. He said, the system was to be introduced from Jan Tirst but delayed for two months. The whole process would include smart cards, number plates and universal number. Talking to APP, Excise and Taxation OfTicer, Admin, Numan Khalid informed that the Excise and Taxation Department and Punjab Safe City Project (PSCA) had proposed to introduce new vehicle number plates design for the province.

The reason behind new number plate design is that CCTV cameras are not able to detect and read the current number plates. The modiTied size and font size of the universal number plates would make them camera-readable, he added. Universal Number plates will be issued across the province by the start of next month, he said. The Punjab government is going to introduce new system of vehicles registration which will not only discourage fab-

rication, forged documents but streamline the whole process of registration. No one can get registered, a vehicle already registered with same chassis number in any other district of the province, he added. He further said, the universal number system would help curtail registration load on big districts like Lahore and Rawalpindi due to their higher resale values and small district would be able to get their revenue share. The system would help

eliminate corruption and use of vehicles with fake number plates in crimes. It will also help eliminate the tendency of late registration of vehicle and evasion of motor vehicle tax, he said. The system would facilitate the vehicle owners in paying token tax in any part of the province. To a question he said, it was not possible earlier as all the districts of the province had their separate vehicle registration record on independent servers.

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FPCCI supports APTMA demand for uninterrupted power, gas supply KARACHI: The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has supported the demand from All Pakistan Textile Mills Association (APTMA) to provide uninterrupted power and gas supply to compete in the international market. President, Federation of Pakistan Chambers of Commerce and Industry, Ghazanfar Bilour, in a statement here on Tuesday, demanded steps for revival of the textile industry in the country. ‘If sick textile units are made operational, these can generate billions of rupees through exporting the ﬁnished products,’ he asserted.

fpcci president leads delegation to iran for eco-cci meetings

Chambers

focus on sports could give boost to business activities: icci

KARACHI

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resident of Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and ECO Chamber of Commerce and Industry (ECO-CCI), Ghazanfar Bilour will preside the forthcoming statutory meeting of ECO-CCI scheduled to be held on March 5 at Tehran, Iran. According to an announcement here on Monday, the ECO-CCI meetings will be attended by the representatives of Chambers of Commerce and Industry of Afghanistan, Azerbaijan, Iran, Pakistan, Turkey, Kazakhstan, Kyrgyz Republic, Turkmenistan, Tajikistan and Uzbekistan. It was mentioned that ECO-CCI, a flagship organization of

Economic Cooperation Organization (ECO) which was established in 1990 with all the National Chambers of Commerce and Industry as its members. Prior to the statutory meetings, there will be six Specialized Committee’s meetings on Trade facilitation, Transportation, Tourism, Arbitration, Industry, Investment and SMEs Promotion and Women Entrepreneurs Council on March 3 and 4 respectively. The current strength of the total trade of all ECO member countries was said to stand at US$ 638 billion reflecting a declining trend as compared to US$ 836 billion in 2012. Reason behind the decline was attributed to global recession and low oil prices on which this natural resources heavily depend. The contribution of ECO region in world trade is just two percent which was said to be despite the fact that ECO countries are home to 6.2 percent of world population.

Thursday March 1, 2018

ISLAMABAD

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heikh Amir Waheed, President, Islamabad Chamber of Commerce & Industry said that many countries were generating billions of dollars of business activities by promoting sports events and stressed that government should focus on sports to give boost to business activities in the country. He was addressing a luncheon reception hosted by Islamabad Chamber of Commerce and Industry (ICCI) in honor of futsal teams of Pakistan, Brazil, Turkey and Nepal that participated in the 1st International Futsal Cup 2018 held recently in Islamabad. Malik Mehrban Ali Chairman and Adnan Ali Secretary General of Pakistan Soccer Futsal Federation, Sheikh Abdul Waheed Chairman Futsal Association Islamabad, Nasir Chaudhry Chairman ICCI Sports Committee, Basir Daud former President ICCI, Shabbir Ahmed, Ms.Nasira Ali, Mustafa Malik and Syed Haider Asad were also present at the occasion. Sheikh Amir Waheed said that sports activities

enabled trade and industry to Tlourish in addition to creating employment and reducing poverty. He said that government should focus on providing better facilities for sports in the country that would ultimately lead to better promotion of business activities and strengthen the economy. He said Pakistan was a country of young population and our youth has great potential to excel in every sports. However, it needed con-

ducive environment to groom and bring laurels to the country. He further said that successful holding of Futsal Cup 2018 in Pakistan with participation of foreign teams reTlected that Pakistan was a safe country for sporting events. He appreciated the role of Pakistan Soccer Futsal Federation and Futsal Association Islamabad for organizing the Tirst International Futsal Cup2018 in Pakistan and assured that

Reforms in punjab for ease of doing business hailed LAHORE

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ahore Chamber of Commerce and Industry (LCCI) has welcomed the reforms introduced by Punjab government for ease of doing business and said that Chief Minister Shahbaz Sharif deserved appreciation for taking another giant leap towards economic self-reliance by supporting the business sectors. In a letter written to the Chief Minister, the LCCI President Malik Tahir Javaid said that construction permits, property registration and business registration related reforms would not only give breathing space to the industrial sector but would also improve Pakistan’s international ranking in ease of doing business, according to LCCI spokesman here Tuesday.

Malik Tahir Javaid said that at present, Pakistan was experiencing low ranking in ease of doing business but this great initiative of Shehbaz Sharif would help raise Pakistan’s competitiveness at global market place. He said that standardization of by-laws of Metropolitan Corporation Lahore (MCL) and Lahore Development Authority (LDA); non-requirement of No Objection CertiTicate (NOC) from Environment Protection Agency (EPA) for nonhazardous projects; issuance of building permits for commercial warehouses in just 21 days by the MCL from e-Khidmat Centre at Town Hall and issuance of building permits for commercial warehouses in 14 days by LDA through One-Window Facility, would help industrial sector Tlourish while business registration related reforms would also give huge relief to the industrial sec-

tor. He said that development of business registration portal for online registration of Tirms in just two days, integration of business registration portal with Punjab Employees Social Security Institution (PESSI), Lahore and Human Resource Department and Industries, Commerce and Investment Department would save time and money of the businessmen. LCCI President said that Punjab was the largest and most important province as most of the export-oriented sectors were located here and playing an important role. He said that reforms for Punjab industry would certainly play a pivotal role in much-needed boost in exports. Malik also suggested the federal government to also introduce such reforms as cost of doing business was one of the major hurdles hampering the growth of all sectors of economy.

ICCI would fully support in such events in the country. Mr. Muhammad Naveed, Senior Vice President and Mr. Nisar Ahmed Mirza, Vice President, Islamabad Chamber of Commerce and Industry said that ICCI along with promoting business activities was also encouraging sport activities because sports were necessary for developing a healthy society. They said that holding sports also promoted business activities and stressed that government should make strong efforts to facilitate promotion of sports in country. Mr. Nasir Mehmood Chaudhry, Chairman, ICCI Sports Committee said that Pakistan has good potential for Futsal and reafTirmed that ICCI Sport Committee would cooperate with Soccer Futsal Federation and Futsal Association Islamabad to promote Futsal in the region. Sheikh Abdul Waheed, Chairman Futsal Association Islamabad thanked ICCI for hosting a luncheon reception in honor of host country and foreign Futsal teams and hoped that ICCI would continue to cooperate with Soccer Futsal Federation and Futsal Association to promote Futsal in the country.

pcJcci celebrates chinese new Year ak-China Joint Chamber of Commerce and Industry (PCJCCI) has arranged an exclusive New Year celebration ceremony for felicitating Chinese businessmen, entrepreneurs, and investors associated with the platform of Pak-China Joint Chamber of Commerce and Industry. The ceremony was presided over by PCJCCI President S.M. Naveed, while Senior Vice President Dr. Iqbal Qureshi, Executive Committee members including Irfan Mehboob and Rizwan Nisar also extended their greetings to the Chinese guests, a press release said. Addressing the ceremony, S.M. Naveed said that Chinese collaboration had played a great role in keeping the trustworthy relationship intact between two friendly nations. –CB Report

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Customs Court approves judicial remand of accused involved in money laundering LAHORE: The Special Court of Customs Taxation and Anti-Smuggling has approved fourteen days judicial remand of the accused, who was arrested in currency smuggling case. According to details Faisal Hussain was arrested by the Customs Preventive team deputed at Allama Iqbal International Airport. Customs team during search of his luggage found huge quantity of foreign currency. Accused Faisal Hussain was trying to smuggle currency of Rs 2 million. Customs team recovered US dollars, euros, from his luggage.

Thursday, March 1, 2018

CUSTOMS BULLETIN

Quetta customs foils bid to smuggle plastic dana worth Rs6.58 million QUETTA wAQAR AHMeD AnSARi www.customsbulletin.com

he Directorate of Customs Intelligence and Investigation foiled a bid to smuggle plastic dana worth Rs 6.58 million during special checking. Sources told Customs Today that Director Customs Intelligence and Investigation Muhammad Akram Chaudhary received a tip-off that some smugglers are trying to smuggle plastic dana from Quetta to Afghanistan. He constituted a raiding team under the supervision of Superintendent Noor Rehmani and others. The team enhanced the surveillance on Highway Road and started searching of vehicles. During the search operation, the team intercepted a truck bearing registration No: HDA-248 which was going out of Quetta. During the checking, the customs team recovered 300 packets of white and black plastic dana worth Rs 6.58 million. The customs team seized all packets and arrested three smugglers including a driver. The Directorate of Customs Intelligence and Investigation Quetta registered an FIR against the smugglers and started investigations.

Sargodha ASo impounds non customs paid toyota car SARGODHA

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he Customs AntiSmuggling Organization (ASO) has impounded a tempered and non-customs paid foreign origin Toyota Corolla car worth Rs1628160 involved duty and taxes Rs 828160. Sources told Customs Today that Collector Asif Mehmood Jah received information that some

non-duty paid vehicles are plying on roads of Faisalabad and Sargodha. After receiving the tip off he directed the Collectorate to take all necessary measures to check illegal vehicles. The ASO team comprising Superintendent Chaudhary Muhammad Sardar, Inspector Malik Atif, Bashir Ahmed Havaldar, Rana Muhammad Asharf, Sepoy HaTiz Naseer Ahmed, Shafqat Mehmood, Muhammad Amin and others led by Assistant Collector Shah Samad Hamadani started checking of vehicles at different points of the city. The sources told that the anti-smuggling squad dur-

ing checking intercepted a noncustoms paid Toyota Corolla car bearing registration no: HD-474 model 1993 near Bhalwal Road Sargodha. The ASO team demanded documents from the owner of the vehicle who was identiTied as Haider Ali son of Muhammad Akram resident of Rawalpindi. But he remained failed to produce any documents. However the ASO authorities granted him seven days to produce the documents identifying legal import of the vehicle failing which stern action will be taken against the owner as per law.

Meanwhile, The Field Investigation Unit (FIU), Sara-eMuhajir, Customs Intelligence and Investigation has impounded a Hino truck worth Rs5million involving duty and taxes amounting to Rs3million during an action. Deputy Director Rana Irfan Shouqat received a tip-off regarding the Non-DutyPaid vehicle. He constituted a raiding team under the supervision Superintendent Muhammad Tahir Intelligence Officers Adnan Ahmed Chandia, Anser Saleemi and Sepoys Mukhtar Ahmed, Fakhar Abbas, Muhammad She-

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hbaz and Usman Iqbal to take into possession the Non-DutyPaid vehicle. The intelligence team intercepted a Hino truck bearing registration No: TKR275, Model 1991, near Chowk Sara-e-Muhajir, District Bhakkar, and asked the owner named Arshad Hussain son of Manzoor Hussain for showing documents regarding the customs clearance of the vehicle but he failed to do so. The FIU team impounded the vehicle under Section 2KK of the Customs Act-1969 and sent the case to the adjudication for further legal action.