March 30 layout 1

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Vol 1 Issue No. 318

Karachi, Wed March 30, 2016

LAHORE

M HAYAT

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he Anti-Smuggling Organization (ASO) of the Directorate of Customs Intelligence and Investigations has seized 23 luxury vehicles worth Rs 40 million, involving millions of rupees duty and taxes in February 2016.

Sources told Customs Today that Director Customs Intelligence Saud Imran received information that some smuggled luxury vehicles are plying on roads. He formed special teams with instructions to adopt

Price Rs. 14.00

zero tolerance policy against smugglers. The Customs intelligence team, acting upon the instructions of the director, conducted operations against non-customs paid vehicles and seized 23 high value vehicles including BMWs, Mercedes, Mark-X Land Cruisers, V8 and Premios. The vehicles were seized from various areas of city including Ravi Road, Model Town Gulberg Moon Market, Defense and Riwnd Raod and others. The Customs Intelligence team that undertook operation was led by Additional Collector Rizwan Salabat and DC Saad Atta Rani. Superintendent Muhammad Rauf and Intelligence OfPicer Mobeen Malik were also part of the operation against the smugglers.

Customs arrests couple, recovers narcotics worth Rs 15 million

Faisalabad ASO seizes smuggled items worth Rs 7.022 million

Pak to increase security on Iran border to boost trade: Minister

Central region collects over Rs 12.6 billion duty, taxes in February

Belgium Embassy mulling to bring Trade Mission to Pakistan

The Customs authorities have arrested a couple and recovered narcoticsRs15m | See pAge 02 |

Customs ASO has seized smuggled items worthRs7.022mduringthefirstthreeweeks | See pAge 03 |

The govt will ensure security of the bordering areas between Iran and Pak | See pAge 04 |

Customs Central Region collected over Rs 12.6b duty and taxes during the month | See pAge 12 |

FredericVerheyden, Ambassador of the Kindgom of Belgium said that his Embassy | See pAge 09 |

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IHC issue notices to ATIR after hearing tax references Wednesday, March 30, 2016

National

ISLAMABAD: A division bench of the Islamabad High Court (IHC) has issued notices to Appellate Tribunal Inland Revenue (ATIR) while hearing four tax references.

The division bench comprising Justice Aamer Farooq and Justice Miangul Hassan Aurangzeb heard the cases filed by M/s Khyber Logistics (Private) Limited and Muhammad Anwar Khan.

The IHC issued notices to ATIR and other respondents from the Large Taxpayer’s Unit, Islamabad. The court had asked the tribunal and LTU to submit details of the matters filed by the appellants.

customs arrests couple, recovers narcotics worth rs 15 million

fBr urges field formations to achieve revenue target SIALKOT

SALeeM AwAn SHeikHu

KARACHI

AfTAB cHAnnA

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he Customs authorities have arrested a couple and recovered narcotics worth Rs 15 million from them.

This was disclosed by Customs ofPicers including Additional Collector Syed Asad Raza Rizvi, Deputy Collector International Departure, JIAP Ali Raza Turabi and Deputy Collector Arrivals Amjad Aman Leghari at a news conference held at Air Freight Unit here.

According to ofPicers, while acting upon a tip-off, the Deputy Collector Departure intercepted two passengers namely Gul Sher son of Dhani Bux and his wife Reshma.

Both the passengers were traveling to Jeddah, Saudi Arabia for Umrah

by Shaheen Airlines Plight no NL 751 from Karachi.

The passengers were wearing Ahram who were asked to declare whether they were carrying any contraband goods viz narcotics or foreign currency etc in their baggage to which they denied.

Owing to information and strong suspicious their baggage comprising of a trolley suit case of purple color with marks as Monza brand soft zipper was examined which led to the recovery of 16 small polythene packets of heroin powder from four pairs of plastic chappals

he Federal Board of Revenue (FBR) has ordered all the Regional Tax Offices (RTOs) to achieve the set revenue collection target before the end of the current fiscal year. On the instructions of FBR Chairman Nisar Mohammad Khan, a letter has been sent to all field formations to expedite the tax recovery efforts and take actions against the tax defaulters in order to meet the target.

Following orders, the RTOs officials are striving hard, besides guiding the traders about Voluntary Tax Compliance Scheme in order to bring the non-filers in to tax net, officials said, adding that new taxpayers could play an important role in economic development of the country. On the other hand, another strategy was being adopted to trap the non-taxpayers in the region in which a network of informers will be developed.

If any person informed FBR about tax evaders, the department will not only keep his name confidential but also award him a cash prize. If any person informed FBR about tax evaders, the department will not only keep his name confidential but also award him a cash prize.

and two wrappers of Lux brand bath soap with a thin layer of soap were ripped open and recovered yellow heroin powder weighing 1,270 grams, the ofPicers added.

The yellow heroin powder and amphetamine were instantly tested with a Testing Kit which gave positive inferences. The heroine powder and amphetamine were seized

along with containers thereof and traveling documents of the passengers after completion of all legal formalities, Customs officer elaborated. The accused couple have been arrested while further investigation is in progress. Besides, an FIR has been lodged in the Court of Special Judge Narcotics under CNS Act, 1997.

Meanwhile, Pakistan Customs has arrested a couple at Jinnah International Airport Karachi on the charges of narcotics smuggling. According to a Customs Preventive ofPicial, the couple was intending to travel to Saudi Arabia. High quality heroin was recovered from their possession which was stated to be worth Rs 15 million, he added.

Anf seizes drugs worth rs 201m, arrests 24 traffickers T

ISLAMABAD

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he Anti-Narcotics Force (ANF) recovered Rs 201.5 million worth of drugs, including 129.64kg hashish, 1.541kg heroin, 80kg opium and 1.100kg ICE in 18 different operations and apprehended 24 drug smugglers besides conPiscating eight vehicles.

The operation was conducted in sequel to special directive of the

ANF director general, under a countrywide campaign against drugs trafPickers, said a news release issued Monday. The operations were conducted at Karachi, Hyderabad, Sukkur, Mashkel Balochistan, Lahore, Sheikhupura, Sialkot, Wazirabad, Mandi Bahauddin, Khushab, Jehlum, Rawalpindi, Islamabad, Burhan, Attock, Peshawar and Gilgit. The ANF Balochistan seized two vehicles, recovering 80kg opium concealed in cavities of one of them. Both drivers of the vehicles

arrested and identiPied as Muhammad Hussain and Muhammad Hashim and resident of Mashkhel.

The said narcotics were being transported from Girdi Jungle.

The ANF Rawalpindi, in collaboration with intelligence unit, intercepted a truck E-8213 on motorway near Burhan and recovered 66kg hashish from the secret cavities of the truck.

In another operation, the ANF Rawalpindi airport team in collaboration with ASF apprehended a per-

son namely Subhan Allah, resident of Sawabi, and was scheduled to Ply from Islamabad to Jaddah by Plight No PK-741. The team recovered 870 grams ICE from him. The ANF Rawalpindi arrested a drug carrier near Chungi No 26, GT Road and recovered 5kg hashish from him. In forth operation, the ANF Rawalpindi arrested a person and recovered 3kg hashish from a taxi near Burma bus stop. In 5th operation, the ANF Rawalpindi arrested a local drug peddler near Rangers check post

and recovered 1.040kg hashish, near Ghizer Road, Gilgit. In another raid, the ANF Rawalpindi road check team recovered 3.600kg hashish from a local drug peddler, who was arrested near Umania Restaurant, GT Road Hattian, Attock. In seventh operation, the ANF Rawalpindi arrested two drug suppliers with 610 gram heroin near Sohawa bus stop, GT Road, Jehlum. In addition, the ANF recovered 1kg hashish and arrested Sajid Ali, resident of Islamabad at I-10/4 Sector.

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Sindh Excise gets positive response of property survey KARACHI: The Excise and Taxation Department has received positive response of property survey. The survey was conducted three months ago.

Property Tax Department Incharge Yaseen Jatoi told Customs Today that during the survey 800 notices were issued to property tax defaulters while authorities imposed fine on some defaulters on the spot. He said that some property tax defaulters were allowed time to clear their pending dues. He said that out of the 800 tax defaulters, 450 tax defaulters already cleared their pending dues. He said that during the month of March, Rs 5.578 million were collected from these defaulters.

Wednesday March 30, 2016

National

customs intelligence, collectorates joint conference postponed ISLAMABAD

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ollowing the prevailing uncertainty in country, the Directorate General of Customs Intelligence and Investigation has postponed the joint conference of customs directors and collectors going to be held on March 29 (today). The conference was to be headed by Customs Intelligence DG Imtiaz Ahmad Khan and now it will be arranged in next week, while the date will be announced in a couple of days. Representative of custom collectorates and Customs Intelligence from Peshawar, Sialkot, Faisalabad, Lahore, capital territory and from other areas will attend the meeting to discuss all aspects of anti-smuggling campaign.

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fiA to take action against 400 human smugglers SIALKOT

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he Federal Investigation Agency (FIA) has decided to place advertisements and sketches of human traffickers in national newspapers.

Deputy Director FIA Khalid Anees informed Customs Today that a notification to freeze bank accounts and seal properties owned by human traffickers has recently been issued. He said that the FIA is also taking measures to block SIMs used by human traffickers.

He said that the FIA has finalized a list of 400 human traffickers who are running illegal business of sending innocent people abroad after extorting huge amounts from them. Khalid Anees said that any person who found involved in human trafficking will be dealt with an iron hand.Khalid Anees said that any person who found involved in human trafficking will be dealt with an iron hand.

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faisalabad ASo seizes smuggled items worth rs 7.022 million FAISALABAD

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he Customs Anti-Smuggling Organization (ASO) has seized smuggled items worth Rs 7.022 million during the first three weeks of the current month and registered seven cases.

Sources informed Customs Today that the ASO authorities seized various smuggled items such as Indian tea, tyres and foreign origin spare parts. Sources said that Deputy Collector Rana Falik Shair also successfully impounded three non-duty paid vehicles during various crackdowns. Sources said that all the accused accused persons failed to produce any legal documents regarding possession of these items.

The Faisalabad Anti smuggling organization (ASO) team seized the articles and registered separate cases of smuggling against accused persons. Collector Faisalabad Zulfiqar Ali Chaudhry hailed the performance of ASO for curbing smuggling activities.

Meanwhile, The Anti-Smuggling Organisation (ASO) has seized smuggled items worth Rs 5.731 million and registered five cases during the third week of March, 2016. Following the instruction of Collector Dr Zulfiqar Ali Chudhary, the ASO team launched a campaign under the supervision of Deputy Collector Rana Falik Shair.

The ASO team, comprising Superintendent Saeed Joyia, Inspectors Muhammad Safdar, Abdul Jabbar, Azhar Hussain Jafri and Zulafqar Ali, sepoys Hafiz Naseer Ahmed, Muhammad Abdullah and Afzal Hussain, participated in the raids.

As per details, the ASO impounded two non-duty paid vehicles worth Rs 2.5 million, 680 kilogram of smuggled Indian tea worth Rs 258,784, tyres and tubes worth Rs 25,917, electronic goods

ASo authorities seized various smuggled items such as indian tea, tyres and foreign origin spare parts.

Sources said that Deputy collector rana falik Shair also successfully impounded three non-duty paid vehicles during various crackdowns

SHc summons suspected vehicle smuggler KARACHI

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he Sindh High Court (SHC) on Monday issued notice to the M/S Abdul Shakoor Daper on an application of the Hyderabad Customs collector in an alleged smuggled vehicle case.

While hearing an application, SHC Judge Justice Munib Akhter directed the respondent to make sure

the submission of comments on next hearing.

Earlier, the counsel of the applicant stated that on a secret information, Customs Anti-Smuggling team held check post at city point Sukkur bypass and intercepted a vehicle, Toyota Hiace. On physical examination of vehicle, the chassis number was found doubtful and eventually the vehicle was found smuggled one.

After impounding the vehicle, the alleged smuggler Piled an appeal be-

fore the Customs Appellate Tribunal which was accepted and the tribunal ordered to release the said vehicle. The customs’ counsel asked the SHC to declare impugned order of the Customs Appellate Tribunal as unjust, unfair and unlawful otherwise department will suffer an irreparable loss. The customs’ counsel asked the SHC to declare impugned order of the Customs Appellate Tribunal as unjust, unfair and unlawful otherwise department will suffer an irreparable loss.

worth Rs 1.87 million and others miscellaneous items worth Rs 1.077 million.

The officials confiscated the items after the owner of the said items could not show documents regarding the legal import and lawful possession of the items.The officials confiscated the items after the owner of the said items could not show documents regarding the legal import and lawful possession of the items.

iHc division bench will hear two tax references division bench of the Islamabad High Court (IHC) on Tuesday will hear two tax references filed against Customs Appellate Tribunal and Appellate Tribunal Inland Revenue (ATIR). The bench comprising Justice Noorul Haq N. Qureshi and Justice Athar Minallah would hear the cases.

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Qaim inaugurates farmers festival Wednesday, March 30, 2016

Business

KHAIRPUR: Sindh Chief Minister Syed Qaim Ali Shah has inaugurated Farmers Festival and National Conference here.

The event was organised by Sindh Agriculture University of Tando Jam at Khairpur College of Agriculture. The chief minister visited stalls which were set up at the farmers festival and national conference on agriculture and livestock. He appreciated the efforts of the university’s vice chancellor for organising the festival to impart knowledge about new technology in agro business sector.

The chief minister urged local businessmen to set up more industry in the city.

pSX sheds early gains to close negative KARACHI

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tarted with positive note, the Pakistan Stock Exchange (PSX) even crossed the psychological barrier of 33,000 but lost all of them and closed negative. The benchmark KSE-100 index shed 24.65 points to drop to 32879.67 points level at closing.

The stocks recorded the highest trading level of 33000.73 points and lowest level of 32854.33 points, with the volume of 130.48 million shares, having about Rs5.7 billion value. As many as 325 companies were active; of which 147 advanced, 155 declined

Ministry to launch report on ‘gSp plus’ ISLAMABAD

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report on ‘GSP-Plus and Compliance with Core Labour’will be launched on March 29 (Tuesday).

The Ministry of Overseas Pakistanis and Human Resource Development, in collaboration with International Labour Organisation (ILO), will launch the report in a ceremony. Special Assistance to the Prime Minister Ashtar Ausaf Ali will be chief guest on the occasion, said a press release. The report on ‘GSP-Plus and Compliance with Core Labour’standards in the context of GSP Plus scheme.

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and 23 remained unchanged. Cable & electric goods was the top traded sector with 18,740,250 volume, while technology & communication remained second with 14,931,500 volume. The three top traded companies were TRG Pak Ltd with a volume of 12,052,000 and price per share of 27.82 (0.87), TPL Trakker Ltd with a volume 11,414,500 of price per share of 13.14 (1.00), Dewan Motors with a volume 9,290,500 of price per share of 10.01 (0.43).

The top three gainers were Pak Tobacco with price per share 1197 (57), Sapphire Fiber with price per share of 576.99 (26.99) and Bhanero Tex price per share of 550.15 (26.15).

The top three losers were Philip Morris Pak with price per share of 1700 (-89.21), Bata (Pak) with price per share of 3360 (-40) and Siemens Pak

PESHAWAR

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he government will ensure security of the bordering areas between Iran and Pakistan to boost bilateral trade ties.

This was stated by Minister for States and Frontier Region Lt General (r) Abdul Qadir Baloch, while talking to Islamic Republic News Agency (IRNA). He said Pakistan could ensure desirable security for anything which had to travel on

sian Development Bank (ADB) would assist Khyber Pakhtunkhwa government in developing 1,000 mini-micro hydropower stations in backward areas. This was revealed during 12th Pakhtunkhwa Energy Development Organisation (PEDO) board of directors’ meeting held under the chairmanship of ex-chairman Wapda and PEDO board Chairman Shakeel Durrani. PEDO CEO Akbar Ayub briefed the board about pace of work in the ongoing hydropower projects in province. The meeting was told that three hydropower projects of 56MW will be completed this year in Khyber Pakhtunkhwa, while work on five other projects of 214MW is in progress. It was decided in the meeting that Munda Dam and other projects have proposed to induct in upcoming China-Pak Economic Corridor (CPEC) mega project. Akbar Ayub explained that five under construction projects include Karora, Jabori, Koto, Matiltan and Lawi HPPs, which would produce 214MW. He further said that the present provincial government has started works on 356 mini-micro hydropower stations wherein people are deprived of electricity.

A per share of 727.01 (-17.99). Earlier, the Pakistan Stock Exchange (PSX) started trading with positive note

and added 40.63 points to reach 32944.95 points to reach 32944.95 points in early trading.

pak to increase security on iran border to boost trade: minister cuSToMS BuLLeTin reporT

ADB to help set up 1,000 mini-micro hydropower stations in kp

ground between Iran and Pakistan.

“Iran is capable of taking care of problems at its end and we are capable of handling the problems on our side,” he added.

The minister said the visit of Iranian president would boost the economy of the both countries. He said the major issue of Afghan refugees had also discussed between Pakistan and Iran during President Hassan Rouhani’s visit.

“We need to have a combined strategy to handle the situation of Afghan refugees and this might get discussed between the two sides,” he

added. To a question, he said, “There is a lot of improvement on bordering areas of Pakistan and good cooperation is going on between Pakistan and Afghanistan and also between Iran and Pakistan.” Baloch said Pakistan and Iran were close neighbours and both could benePit from each other’s resources. “We have the manpower and very good areas where investments could take place whereas we can benePit a lot from Iran in energy sector,” he said. He stated that Pakistani agriculture sector was quite strong and could export rice and fruits like oranges to Iran.

railways generates over rs 81m thru leasing out land in kp ISLAMABAD

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akistan Railways generated Rs 81.724 million by leasing out its unutilised land available on Mardan-Dargai section, Khyber Pakhtunkhwa for various purposes during the last five years.

The railway land was leased out on both the short and long term basis, official sources in the Ministry

of Railways told APP on Monday.

Giving break-up, they said, the land was leased out for agriculture at Rs 0.204 million, parking at Rs 0.29 million, stacking at Rs 2.44 million and tehbazari at Rs 6.45 million.

The lease included shops at Rs 1.96 million, cattle fares at Rs 0.64 million, row for the construction of flyover at Takht Bhai at Rs 0.55 million, buildings at Rs 2.715 million and goods shed at Rs 2.937 million besides giving land for other com-

mercial activities at Rs 63.536 million. The available railway land is leased out in a transparent manner through open public auction by fixing bench mark/reserve price of auction after evaluation, they added. They said the entire section between Mardan-Dargai Railway Stations was free from any unauthorised occupation and encroachments. In case of any temporary encroachments like hand carts, wheel barrows etc these are immediately

handled effectively by carrying out clean-up operations in coordination with the District Administration, the sources said. They said that at present, 357.20 acres of railway land exists over Mardan-Dargai section having worth of Rs 1412.00 million approximately.

Meanwhile, The country’s vegetable exports increased 4.72 per cent during first eight months of ongoing fiscal year.

During the period from July-Feb-

ruary, 2015-16, about 430,056 metric tons of fresh vegetables of different kinds worth $126.786 million were exported as compared to 417,995 metric tons valuing of $121.066 million of same period of last year. According the data of Pakistan Bureau of Statistics (PBS), on month-on-month basis, vegetable exports recorded negative growth of 26.89 percent in month of January, 2016 as about 77,841 metric tons of fresh vegetables.

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ax concessions worth Rs 120 billion will be withdrawn in the budget 2016-17 as concessions worth Rs221 billion given through SROs have already withdrawn.

This was revealed by Special Assistant to the Prime Minister on Revenue Haroon Akhtar during his visit to the Overseas Investors Chamber of Commerce and Industry (OICCI) to discuss its taxation proposals for the federal budget 201617. Haroon Akhtar, appreciating OICCI’s taxation proposals, said the government was aggressively pursuing the initiative to broaden the tax base, adding, “The Federal Board of Revenue (FBR) is now very well-equipped with data and skills to catch evasion.”

He said the recently introduced Voluntary Tax Compliance Scheme (VTCS) was part of the tax broadening process and it was only a matter of time that the tax evaders, including those not paying duty on cigarettes and other products, would be caught and punished.

“The FBR’s IT infrastructure is undergoing substantial improvement. This would not only connect various available databases to identify new taxpayers but would also address operational issues of taxpayers,” he added.

The special assistant to the PM found the Tax Re-

form Commission (TRC) to be of high quality and said he was chairing a committee to monitor its implementation on a priority basis.

Haroon expressed confidence that the vastly improved macro-economic parameters will provide a launching pad for growthoriented economic policies in the upcoming budget.

“The entire government machinery including the prime minister is focused on increasing the level of FDI in the country as per the country’s economic potential,” said Akhtar, adding the China-Pakistan Economic Corridor (CPEC) project would be a game-changer for the economy and people of Pakistan. Commenting on the current law and order situation, he said good policies had resulted in improvement of the country’s overall security environment, especially in Karachi and Balochistan.

Highlighting other achievements, he pointed to the reduction in power and gas load-shedding, fall in inflation, drop in bank borrowing rates, lower fiscal deficit, GDP growth going up from 2-3% to beyond 4.5% for the first time in many years, comfortable foreign exchange reserves, robust performance of PSX index, besides improvement in international ratings of the country.

FBR Member Tax Policy Rehmatullah Waze said all recommendations of the OICCI would evaluated and some of the key FDI-relat measures like extending timelines of some the incentive schemes under Section 65 of t IT ordinance and giving additional cre its for electronic invoicing would given p ority.

ue reven t n o r e i Minist his vis prime htar during s n Ak vestor Haroo overseas in and merce its to the m o c cuss ber of cham oicci) to dis he rt ry ( sals fo o indust p o r on p 6-17 taxati budget 201 l federa

eer be ted e of the edbe pri-

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

eDiToriAL

Trade policy framework

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ccording to newspaper report, the government has approved the budgetary allocation of Rs 6 billion to implement the trade policy initiatives for 2015-16. Prime Minister Nawaz Sharif has approved a three-year Strategic Trade Policy Framework after over a year of extensive deliberations with a majority of stakeholders in the public and private sectors. The main thrust of the policy is on export sector and an ambitious target has been set to enhance annual exports up to $35 billion in three years.

Many economies in the world are heading fast towards economic development and the new policy framework has been devised keeping in view the modern trends in global market. The policymakers have consulted the chambers of commerce, industrial organizations, trade associations, academia and think tanks in the formulation of the framework. According to reports, the government has also tried to remove procedural and budgetary bottlenecks in the policy framework to achieve the target.The government has identified four key areas of concern in the trade policy framework which include diversification of products, eective marketing strategy of the locally made value added goods, institutional development and steps to enhance trade volume. Another short-term strategy has also been devised under the policy framework to enhance exports and an amount of Rs2 billion has been set aside for the next four years. The country has bravely faced the challenges of terrorism, extremism, natural calamities, political and economic instability and now it is coming out of all kind of crises. As a matter of fact, economy is strongly linked with security and an army action against terrorists is heading toward its logical end. The present political leadership has the mandate to rule until 2018, but constitutional steps are required to ensure continuity of the present government policies no matter which political party comes to power in future. Various projects of vital importance have been launched which need to be protected.It is hoped that the government will be able to devise and implement an eective trade policy to enhance the country’s exports which have considerably decreased for the last some time.

Pakistan has vast potential to engage in joint ventures with other countries and for the purpose, business to business contact with foreign investors is a must.

Hopes from new auto policy T

LAHORE

Dr AfTAB AfZAL

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he government has come up with a new auto policy with a package of incentives for the European auto manufacturers to invest in the automobile sector in the country. The Economic Coordination Committee of the Cabinet has approved a Pive-year Automotive Development Policy after two and a half years of deliberations to ensure availability of vehicles at competitive rates. The policy offers lower tax rates to the new entrants as well as to protect the interests of the business concerns already in the trade. The exiting brand makers have not improved shape and

structure of their vehicles and have been running the same old models for the last two decades despite enjoying the government incentives. With emerging middle class in the country and improvement in the economic conditions, the demand for new cars has increased many fold during the last Pive years, but the existing players such as Honda, Toyota and Suzuki failed to roll out new models and reduce prices.

The government is now expected to invite European brands such as Fiat, Volkswagen and Renault as to set up their plants in the country. The package of incentives include only 10 percent duty on the import of plants which are not produced locally and 25 percent duty on localized plants for

Pive years. The government will introduce brownPield category under which a three-year incentive package will be offered to the new entrants for the revival of the closed plants such as GhandharaNissan and others. The duties and taxes will be rationalized for the existing carmakers which will hopefully stimulate economic activities in the country. The new policy envisages reduction in the duty of cars up to 1,800cc engine capacity for the next two years while the import tariffs on 8001,200cc cars will also be brought down. However, the government policy on the import of used car will remain unchanged. Pakistan is an emerging economy and it needs Plexible economic policies.

Most of the foreign investors are

shy of risking their money in a country where trade policies and tax laws are subjected to a frequent change. A democratic government is in place and parliament is intact. There is no impediment in the way of the government to pass tax laws which could remain unchanged at least for Pive years. The imposition of taxes and duties is the prerogative of parliament, but this vital area of government powers has been placed in the hands of grade 18 ofPicials. This only brings failures than any success in the long run. It is hoped that the new auto policy will attract local and foreign investment, ensure transfer of technology, enhance competition and push up industrial growth in the country.

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Colombian fruit imports jump in 2015 WASHINGTON: While Colombia may not have the buying power of North America or Europe, with a population of almost 50 million people it is still a significant market outlet for purveyors of non-tropical fruit. Colombia-shutterstock_223855105 map However, in 2015 the South American country was certainly less prospective for its key foreign fruit suppliers – Chile, the U.S. and Peru. Apple exports to Colombia were down for both Chile and the U.S., falling at a rate of around 16-17% to levels of 75,593 metric tons (MT) and 13,423MT respectively.

All three countries reduced their table grape shipments to Colombia as well, with Chile seeing the biggest volume fall of 24% to 6,405MT, followed by Peru (-18% to 6,413MT) and the U.S. which had the biggest percentage fall (-63% to 1,731MT).

Belgium embassy mulling to bring trade mission to pakistan rederic Verheyden, Ambassador of the Kindgom of Belgium said that his Embassy was mulling over the prospects to bring a Trade Mission to Pakistan for exploring new avenues of promoting business relations between Belgium and Pakistan. He visited Islamabad Chamber of Commerce and Industry along with Abid M. Husain Trade Commissioner and Shaukat Nawaz Niazi Trade & Commercial Officer, Embassy of Belgium. The Ambassador said that textiles products accounted for 75% of Pakistan’s exports to Belgium

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and stressed that Pakistan should think beyond traditional products to improve trade with Belgium. He said many Pakistani products including pharmaceuticals, surgical equipment, leather and fruits have the potential to find good market in Belgium and private sector of Pakistan should accelerate its efforts to expand horizon of cooperation with Belgium. He said Belgium was cooperating with Pakistan in energy sector which was a major constraint for its economic growth and stressed that Pakistan should focus on controlling its transmission and distribution losses to improve energy situation. He said with good moves of the government, Pakistan’s outlook was changing towards positive, however, it has to create a promising environment by addressing energy, security and other issues to attract Belgium investors for JVs and investment. He said CPEC was a game changer for Pakistan and it was also a big challenge for it in terms of its capacity to absorb huge Chinese investment.—CB Report

Wednesday March 30, 2016

Chambers

kenyan envoy for raising trade volume to $1b to $2b H

KARACHI

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igh Commissioner of Republic of Kenya, Professor Julius Kibet Bitok has said that trade volume between Pakistan and Kenya currently stood at around US$600 million but there was a huge potential and efforts must be made from both sides to increase the existing volume to somewhere in between US$1 to US$2 billion in the next couple of years.

“In this regard, the business communities of both sides need to be encouraged and we must focus on trade delegations’ visits along with participation in trade fairs in order to attain positive results”, he added.

Exchanging views with Karachi Chamber of Commerce and Industry (KCCI) ofPice bearers and Managing Committee members at a meeting during his visit to the KCCI, the High Commissioner added that Pakistan and Kenya have been enjoying cordial relations which were mainly driven by improved trade from Karachi which was the focal point between the business communities of the two countries.

President KCCI Younus Muhammad Bashir, Senior Vice President KCCI Zia Ahmed Khan, Vice President KCCI Muhammad Naeem Sharif, Honorary Consul General of Kenya Muhammad Hanif Janoo, Former SVP KCCI Shamim Ahmed Firpo and KCCI Managing Committee members were present at the meeting. Underscoring the need to diversify exports, Kenyan High Commissioner said that currently trade between the two countries remains limited to traditional items only as Kenya has been mostly importing basmati rice from Pakistan whereas Pakistan usually imports tea from Kenya. He said that Pakistani business community can also benePit

from Kenya’s strategic location which gives easy access to different markets in Tanzania, Uganda, Rwanda, South Sudan, Mozambique and many other important countries in the region. Extending full support and cooperation to the business and industrial community of Karachi in facilitating their visits to Kenya, he said that many Pakistani have been living and successfully doing business in Kenya. “We are very much available with a view to build strong bilateral relations between the business communities of the two countries”, he added. He also invited the Karachi Chamber to participate in Nairobi International Trade Fair

Ministry working to double textile exports

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FAISALABAD

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extile is the backbone of national economy and on the speciPic directive of Prime Minister Nawaz Sharif, Ministry of Textile is working on a comprehensive strategy based on value addition to invigorate the entire cotton chain in order to double the textile exports, said Senior Joint Secretary of the Ministry of Textile Miss Robina Warsi. She was addressing the inaugural function of DICE Textile2016 Innovation Event at the National Textile University.

She said that Pakistan is included among top cotton producing countries of the world. Our economy is textile based and hence, value addition is imperative to re-organize this sector on modern scientiPic lines.

She said that Prime Minister

Muhammad Nawaz Sharif is personally monitoring the overall performance of Textile Ministry and on his directive; the Ministry was engaged in compiling a new strategy based on optimum value addition of cotton chain. “It would not only strengthen the textile sector but also to enhance its share in international textile exports”, she added.

Stressing the need for the expeditious development of technical textile, she said that speciPic needs of various sectors could be enchased by exploiting the benePits of innovation in this Pield.

She said that industry-academia linkage is the Pirst step towards this direction and hoped that with innovation, Pakistan would emerge as textile leader in the international markets during the coming years.

She also appreciated the efforts of DICE Foundation USA for the promotion of industry-Academia link-

age and said it is imperative to organize the textile sector on modern scientiPic lines. Robina also requested the textilers to remain in touch with the Ministry and inform them about their problems so that immediate and necessary steps could be taken to redress their grievances. Dr. Khurshid Ahmed, Co-Chairman, DICE 2016 said that the modern trends are rePlective of industry-academia linkage and we should also restore this missing link in Pakistan so that our industry could also compete in the international markets. Dr. Tanvir Hussain Acting Rector National Textile University said that this university has focused on the development of new textile technologies in addition to the commercialization of modern research to develop value added textile sector. He also appreciated the collaborative role of FCCI in organizing the event.

scheduled to be organized in Nairobi from September 29th to October 5th, 2016 in which exhibitors from many countries around the world will also be participating. He said that this exhibition displays a wide spectrum products and services and it will certainly be an effective platform for promoting Pakistani products in the African region. Earlier, President KCCI Younus Muhammad Bashir, in his welcome remarks, stated that Karachi offers immense opportunities for undertaking joint ventures to Kenyan business community who must enhance their linkages with the Business and Industrial Community of Karachi.

govt urged to give priority to remittances he government has been urged to give more importance to remittances than exports, said Islamabad Chamber of Small Traders Patron Shahid Rasheed Butt. In a statement, Shahid Butt said that despite best efforts of the government the exports continue to drop, therefore, the importance of remittances sector must be realised which is paying import bill of oil, LNG and palm oil. Butt said remittances are necessary for survival of the country and it should be purged with black sheep and important posts like Bureau of Immigration director general should not be kept vacant for long. He said Abu Dhabi is one of the top remittance market for Pakistan but there is no community welfare attaché there which is unfortunate.—CB Report

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Microsoft Store opens in Lazada, Thailand Wednesday March 30, 2016

World

BANGKOK: Microsoft Thailand recently announced the official launch of its Microsoft Online Store on Lazada Thailand. The store is envisioned to be a one-stop shop for Microsoft’s products and a destination for exclusive offers and deals, giving Thai consumers access to the full lineup of devices, software, and services, including Surface, Lumia smartphones, Windows 10-powered laptops, tablets, and 2-in-1 devices, various hardware accessories, and the Office productivity suite. Following a similar partnership between Microsoft and Lazada in Malaysia last year, Thailand becomes the second country in the region to welcome the Microsoft Online Store on the Lazada platform. “The launch of the Microsoft Online Store on Lazada is an important milestone for Microsoft Thailand as the explosion of social and mobile technology has enabled the era of online shopping in Thailand.

Drug detection scanners a plus for fiji WELLINGTON

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s the hub of the PaciPic, the introduction of drug detection scanners at our two international airports this weekend is crucial in efforts to secure our borders. Thanks to the Australian customs authorities, the Nausori and Nadi Airports will be equipped with drug detection scanners which have been proven successful in Australia, New Zealand and Papua New Guinea. With the increasing free Plow of goods and people, the Fiji Revenue and Customs Authority labelled Fiji’s potential risks to safety and security as high. Coupled with visa waiver arrangement with a number of countries, the possibility of drug trafPickers visiting or transiting at our ports has increased.

Druggies continue to come up with new and innovative ways of

wuhan customs seizes 25 kg khat from Africa uhan customs announced on Friday that a total of 25 kilograms of the narcotic plant was discovered in packages recently. Khat, containing an amphetamine-like stimulant, is illegal to plant, possess, sell or consume in China. The recipient of the packages a Yemeni student studying in Wuhan City has been detained. He said the drug was ordered online from an African seller in Indonesia and it was bought for personal use and selling. It is the first time that khat leaves have been found in Wuhan, but there has been an increase in khat smuggling nationwide. On March 4, Dalian customs in northeast China found seven mail boxes containing more than 60 kg of khat. The boxes were sent from Ethiopia to an university dorm in Dalian.—CB Report

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smuggling drugs into other countries. This includes body strapping, body insertions and other concealment methods. Our customs and border control unit must be on top of their game. This drug detector scanners are capable of identifying chemical signatures related to narcotics trafPicking, distribution and manufacturing.

The technology can also test chemicals right on the spot and identify if it is drug. It can identify explosives, toxic industrial chemical, warfare agents, narcotics and precursor white powders.

In 2007, the then Police Commissioner Esala Teleni had highlighted the need to install information technology software and drug detection scanners at the Nadi International Airport. This was after a Mexican woman and a man from Argentina passed customs with 2 kilo gramme of cocaine wrapped as lollies. The pair were later apprehended by Police after a tip-off.

Hk customs seizes illicit cigarettes, fireworks worth $120k HONG KONG

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ong Kong Customs detected a suspected case of smuggling and seized suspected illicit cigarettes, suspected duty-not-paid motor spirit and manufactured fireworks, valued at about $120,000 in total with duty potential of about $80,000, from a motorised sampan in the southern waters of Hong Kong yesterday.

Yesterday afternoon Customs officers intercepted a suspicious motorised sampan in the southern waters off Cheung Chau.

A total of about 40 000 sticks of suspected illicit cigarettes, 150 litres of suspected duty-not-paid motor spirit and 26 kilograms of manufactured fireworks were found on board. One man and two women, aged between 55 and 69,

indian man arrested in rs 7.5m currency smuggle case

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n Indian National who attempted to smuggle foreign currency with an estimated worth of Rs 7.5 million was arrested at the Bandaranaike International Airport (BIA) in Katunayake this morning. The suspect identiPied as a 44-year-old man was taken into custody by Sri Lanka Customs ofPicials, when he was preparing to board a Plight to Sharjah. Sri Lanka Customs is conducting investigations.

Meanwhile, Jewellery exporter and retailer Rajesh ExportsBSE 0.31

% today said it has won a Rs 1,045crore export order from Singapore.

In a BSE filing, Rajesh Exports said it “has bagged an export order worth Rs 1,045 crore of designer range of gold and diamond-studded jewellery and medallions from Singapore”. The company said this order will be executed at its manufacturing facility in Bengaluru and is to be completed by May 31. The stock was trading at Rs 617.25, up 1.16 per cent, from its previous close on BSE.—CB Report

on board were arrested and the motorised sampan was also detained. The case is still under investigation. Under the Dutiable Commodities Ordinance, anyone involved in dealing with or possessing illicit cigarettes or motor spirit commits an offence. The maximum penalty on conviction is

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S korea-china fTA boosts trade

recent study has reported that South Korean exports of items benefitting from high tariff cuts under the South KoreaChina free trade agreement(FTA) have gone up.

A study by the Korea International Trade Association’s Institute for International Trade unveiled on Sunday showed that items receiving tariff cuts of three percentage points or more had seen trade volume grow exponentially.

The items include applied electronics and metal machine tools, which saw exports grow by almost 98 percent and 30 percent respec-

Smuggled sugar seized in Zamboanga

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ZAMBOANGA CITY

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cargo vessel loaded with 1,500 sacks of sugar believed to have been smuggled from Malaysia was seized on Easter Sunday in Zamboanga City.

Government authorities intercepted the sugar shipment from

M/T Fatima-Radz Auna in the waters off Barangay Arena Blanco, a report from the Customs Intelligence Group (CIG) said.

The CIG report said the motor launch was loaded with imported sugar worth P3.15 million, with each sack containing 50 kilos of sugar. “The smuggled sugar came from Sandakan, Sabah. The vessel has nine crew onboard,” it said.

imprisonment for two years and a fine of $1 million.

Under the Dangerous Goods Ordinance, anyone involved in possessing manufactured fireworks commits an offence.

The maximum penalty on conviction is imprisonment for six months and a fine of $25,000.

The Intelligence Group, however, did not identify the owner and operator of M/T Fatima-Radz Auna.

The vessel and its cargoes were brought to the Port of Zamboanga for turn over to the Bureau of Customs (BOC) for appropriate action.

Just last February, Task Force Zamboanga and the Navy intercepted motor launches carrying smuggled sugar off the coast of

tively. The Seoul-Beijing FTA took effect on December 20th last year, triggering the first round of tariff cuts. The second round of cuts took effect on January first this year.

A recent study has reported that South Korean exports of items benefitting from high tariff cuts under the South Korea-China free trade agreement(FTA) have gone up.

A study by the Korea International Trade Association’s Institute for International Trade unveiled on Sunday showed that items receiving tariff cuts of three percentage points or more had seen trade volume grow exponentially. —CB Report

Barangay Arena Blanco. Naming a few, among these vessels were M/L Alkausar and M/L Fadzramar, they said. Early this month, 7,000 sacks of undocumented sugar with an estimated value of P12.6 million were seized from wooden-hulled M/L Nurhada. Authorities are alarmed over the rampant sugar smuggling in western Mindanao, particularly in Zamboanga City.

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US kraft paper shipments increase by 7% in Feb 2016 WASHINGTON: U.S. kraft paper shipments in February 2016 were 139.8 thousand short tons, 7% higher compared to February 2015, as the American Forest & Paper Association said in the press release received by Lesprom Network. Bleached kraft paper shipments increased from 6.9 thousand short tons in January to 8.7 and unbleached kraft paper increased from 120.9 to 131.1 thousand short tons. Overall, shipments in the first two months of 2016 were 1% lower compared to the same period in 2015. Total month-end inventories decreased to 70.8 thousand short tons. The American Forest & Paper Association serves to advance a sustainable U.S. pulp, paper, packaging, and wood products manufacturing industry through fact-based public policy and marketplace advocacy.

cargo handling at estonian ports decreases 17% in feb stonian ports in February 2016 handled 2.5 million tons of cargoes, 16.9% less than in the same month last year, it appears from data released by Statistics Estonia, cites LETA/BNS. Loading of goods decreased 20.4% to 1.8 million tons and unloading fell 7.7% to 789,300 tons. Compared to January, loading shrank 31.5% and unloading declined 3.9%.

In the first two months of the year, freight flows of Estonian ports totaled 5.9 million tons, 7.5% less than the year before.

Meanwhile, Shipping through the ports of Seattle and Tacoma surged nearly 21 percent compared with February last year. Volumes climbed largely because this time last year, a labor dispute at West Coast ports slowed cargo loading for several months through much of February 2015. With trade again freely flowing through both Puget Sound ports, loaded 20-foot equivalent contain-

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ers, also called TEUs, entering and leaving the ports each grew 31 percent in January and February this year compared with the same time a year ago. Longshore workers unloaded 215,690 full containers of imported goods. Together the ports exported 141,890 full containers in the same time frame.

Items too large to be shipped in containers, called breakbulk cargo, fell by 40 percent compared with last year, according to a news release by the Northwest Seaport Alliance. The ports of Tacoma and Seattle have released joint cargo statistics since this time last year, as the two bodies contemplated an alliance to compete with other West Coast ports. The Northwest Seaport Alliance was finalized last summer. —CB Report

Ports & Shipping

council of ministers approves proposal on port concession

Wednesday March 30, 2016

container volume continues to increase at Sc ports argo volume continues to increase at South Carolina’s ports.

The South Carolina Ports Authority board was told Thursday that container volume is up more than 4 percent since the fiscal year started last July. Authority president and CEO Jim Newsome says container volume last month showed a modest gain compared to February of 2015. Newsome said he expects continued increases in the coming months. In February, the ports handled the equivalent of nearly 160,000 20-foot shipping containers, an increase of more than 3 percent over February of last year. Meanwhile, In a four-page order dated March 2, Manila Regional Trial Court Branch 24 Judge Ma. Victoria Soriano-Villadolid affirmed her December 2015 decision to inhibit from the commercial suit upon the request of Joseph Edwin Galvez, former vice president and chief operating officer for administration of the Romero-controlled Harbour Centre Port Terminal Inc. (HCPTI). Galvez said Villadolid should inhibit herself as there could be possible conflict of interest owing to her being a former partner of the law firm Angara Abello Concepcion Regala & Cruz, popularly known as Accra, which represents R-II Builders Inc., another of Romero’s companies, and Harbour Centre Port Holdings Inc. —CB Report

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WILLEMSTAD

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he Council of Ministers approved a proposal by the Minister of Economic Development, Eugene Rhuggenaath on a proposal, which should lead to a new concession for the stevedoring operations at the port. With this proposal the negotiations, between Curaçao Ports Authority (CPA) and Curaçao Port Services (CPS), which were discontinued by the CPS on February 23, can continue.

Minister Rhuggenaath indicates that he is aware of the great inter-

ests at stake in this case and therefore has had intensive consultations with all stakeholders, including parliament, on the proposal. The government now can provide the CPS requested clarity regarding the direction the government wants to the port to take. “It’s up to CPS to study the proposal and let us know whether this provides sufPicient basis to continue the negotiations.”

The offer which will now be submitted to CPS assumes a concession for only the container port at the Brion Wharf. The proposal is further based on a term of 20 years. During that period, CPS will invest 50 million guilders in the harbor cranes and the quays and the rates will remain unchanged. The agreement

will be monitored through a newly established structure of supervision and regulation on the implementation of tariffs and operational and Pinancial commitments in the concession. The current agreement with CPS dates from 1991 and was last renewed automatically in 2011.

Based on this agreement CPS has the right to carry out stevedoring work at all (future) Curaçao ports. CPA is responsible for making investments in, for example cranes and quays.

This division of responsibilities between CPA and CPS is disproportionately disadvantageous for CPA and / or the Land. Also, the right of exclusivity means that the economy is dependent largely on this single provider of services in the port.

More ambitious target set for port dwell times

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WASHINGTON

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fter having reached a government target of reducing the average dwell time to less than Pive days, Jakarta International Container Terminal (JICT) has been given a new target of three days.

Agung Kuswandono, spokesman of the OfPice of the Coordinating Maritime Affairs Minister, told thejakartapost.com on Friday that JICT had achieved 4.7 days of average

dwell time and was preparing new measures to reach the new target. “[Among other strategies] we will operate a port train and activate three ports in Banten,” Agung said.

The port train in Banten only needed minor changes before it could start operation, he said. “Going directly to Surabaya will also be possible. The train has a capacity of 15 containers. We will increase it to 30 containers,” Agung said. The three ports to be upgraded to international terminals are Ciwandan (owned by Indonesia Port Com-

pany), Merak Mas (owned by Sinar Mas Group) and Cigading (owned by Krakatau Steel).“Those ports are natural deepwater ports; big ships can enter them without many modiPications,” Agung explained. On March 21, the OfPice of the Coordinating Maritime Affairs Minister will hold a consolidation meeting in Banten. Indonesia Port Company, regional governments and companies operating in Banten and neighboring areas will be invited. President Joko “Jokowi” Widodo has expressed outrage over the country’s stubbornly high port

dwell times, which begin from the time a carrier moors at a port to the time its cargo is unloaded and leaves the port, or vice versa. He pointed out that it made the country’s economy inefPicient with high logistics costs that ultimately affected prices of goods. The President has called for a task force to cooperate with related parties in bringing down the dwell time to 4 days. Tanjung Priok Port, which handles around 70 percent of all goods entering the country, experienced dwell times of up to eight days some years.

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Peshawar Customs recovers smuggled cloth, generators KARACHI: Directorate General of Customs Intelligence and Investigation Anti-Smuggling Organization (ASO) has seized a huge quantity of smuggled cloth and generators during a crackdown in Qisa Khawani Bazar. The market value of the seized goods is Rs 3.8 million.

Sources informed Customs Today that the Customs authorities received information about some smuggling attempts. After receiving tip-off, a team of the ASO officials intercepted a truck near Qisa Khawani bazar and recovered a huge quantity of smuggled cloth and two generators.

Wednesday, March 30, 2016

CUSTOMS BULLETIN

central region collects over rs 12.6 billion duty, taxes in february LAHORE M HAYAT

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he Customs Central Region collected over Rs 12.6 billion duty and taxes during the month of February 2016 with 17 percent growth over the last year’s Rs 10.8 billion, collected during the same month. According to available data, the Lahore Appraisement collected Rs 5.363 billion during the corresponding month against Rs 4.609 billion collection of last year’s same month, showing 16 percent growth. On the other hand, the Lahore Preventive collected Rs 2.541 billion in February against Rs 2.794 billion collection of the last year. The Multan Customs collected Rs 3.807 billion duty and taxes, rePlecting a 27 percent growth over the previous year’s same month. Similarly, the Faisalabad Customs collected Rs 964 million duty and taxes during the period under review, registering 126 percent growth.

Meanwhile, Customs central region has collected Rs 90.925 billion customs duty and taxes during the seven months of Pinancial year 2015-16 registering a growth of 3 percent compared to the corre-

sponding period last year.

According to details, Lahore Appraisemnet collected Rs 39,142 million registering an impressive

growth of 12 percent compared to the same period last Pinancial year.

Lahore Preventive collected Rs 20004 million duty and taxes

against the target of Rs 22232 million during the seven months of FY 2015-16. The Customs Multan generated Rs 27193 million customs

duty registering a growth of 3 percent during the period under review against the same period last Pinancial year.

SHc seeks remarks from SSgc on glass manufacturers’ plea KARACHI

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he Sindh High Court (SHC) sought comments from Sui Southern Gas Company (SSGC) on applications of 12 glass bangles industries over sales tax on Sui gas and electricity bills.

The SHC Judge Justice Munib Akhter was hearing petitions of M/s Al Zarina Glass Industries,

M/s Al Shariq Glass Bangle Works, M/s Al Naeem Glass Industries, Al Mustafa Glass Industries and others. During the hearing, the counsel of SSGC requested for some time to take instructions to file comments. Earlier, counsel of the petitioners stated that petitioners are manufactures of glass bangles which are exempted under section 1e read with item no 29c of sixth schedule of sales tax, act 1990.

According to the petitioner, they are already paying gas and electricity dues along with taxes regularly, however FBR Islamabad

issued SRO 509c/2013 on 12th June 2013 forcing the petitioners mills to pay an extra amount of sales tax at the rate of 5% of the total billed amount of gas and electricity which is a violation of the tax payable under section (1) of section 3 of the sales tax Act 1990. The petitioners mills neither registered in sales tax nor on active taxpayers list maintained FBR. The petitioner’s Counsel prayed to the SHC to direct the respondents not to levy and charge further tax at the rate of 2% and extra tax at the rate of 5%.

Meanwhile, The Sindh High Court (SHC) on Monday issued notice to the M/S Abdul Shakoor Daper on an application of the Hyderabad Customs collector in an alleged smuggled vehicle case.

While hearing an application, SHC Judge Justice Munib Akhter directed the respondent to make sure the submission of comments on next hearing.

Earlier, the counsel of the applicant stated that on a secret information, Customs AntiSmuggling team held check post at city point Sukkur bypass and intercepted a vehicle,

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Toyota Hiace. On physical examination of vehicle, the chassis number was found doubtful and eventually the vehicle was found smuggled one.

After impounding the vehicle, the alleged smuggler Piled an appeal before the Customs Appellate Tribunal which was accepted and the tribunal ordered to release the said vehicle.

The customs’ counsel asked the SHC to declare impugned order of the Customs Appellate Tribunal as unjust, unfair and unlawful otherwise department will suffer an irreparable loss.