Tuesday, 6 March 2018

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Karachi, Tue March 6, 2018

KARACHI

M B RANA

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he Customs Court has granted interim pre-arrest bail to suspects, Muhammad Javed, Muhammad Shahid, Muhammad Arif and others, who were booked for smuggling 612,032 kilogram betel (Areca) nuts worth Rs 1.5 billion.

During the hearing, counsels for the suspects Qiled bail petitions and argued that they were falsely implicated in this case and they were ready to face trail, however, they had apprehension of arrest, therefore, the court might grant them bail till the Qinal decision in this case.

After hearing the arguments, the court granted them bail against the surety bonds of Rs 200,000 each and issued notices to the Customs Department for the next date of hearing.

It needs to be mentioned here that earlier, suspects namely Khalid Ahmed, Proprietor of M/s

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Anees & Sons, Farhan Ahmed, Proprietor of M/s Farhan Impex, Ghulam Mehdi Nayani, Arif Shahban were also granted pre-arrest bail in the same case.

According to the First Information Report against the suspects, a team of the Customs Department raided a private godown namely Arbaz Godown situated at plot no A-41 near, police station, SITE Karachi and recovered 8,536 bags weighing 612,032 kilogram smuggled/ non-duty paid foreign origin betel (Areca) nuts of poor quality, infested and unQit for human consumption worth Rs 1.5 billion.

He informed the court that case was registered against Adnan, proprietor of M/s ABR Enterprise, Khalid Ahmed, Proprietor of M/s Anees & Sons, Farhan Ahmed, Proprietor of M/s Farhan Impex, Abdul Ghani Ronjah, Proprietor of M/s Kiran Food Products, Farheen Irfan, Proprietor of M/s Rohain Corporation, Ghulam Mehdi Nayani, Arif Shahban, Mansoor Ahmed Proprietor of M/s Dilwala & Company and others to be ascertained during the investigation.

Customs North Region needs to generate Rs399m as CD in six day

Customs Export recovers Rs 12.28m from defaulter companies

FTO reserves verdict of tax refund appeal filed by M/s Amber Capacitors

DG Valuation revises customs values of energy drinks vide VR No 1260/2018

Multan Customs recovers cell phones & goods of Rs3million

Customs North Region ought to earn Rs399m of CD in the rest of six days | See pAge 02 |

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

FTO has reserved the verdict in an appeal filed by M/s Amber Capacitors Pvt | See pAge 04 |

DG Valuation has revised the customs values of energy drinks vide Valuation | See pAge 09 |

Customs sta deputed at Multan International Airport has thwarted | See pAge 16 |

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Four Superintendents & one Principal Appraiser shuffled Tuesday, March 6, 2018

ISLAMABAD: The Collector MCC Islamabad has reshuffled four Superintendent and one Principal Appraiser to important locations under the jurisdiction of MCC Islamabad.

According to details explained by sources of Model Customs Collectorate Islamabad that, under the directions of Dr. Zulfiqar Ali Chaudhry, Collector MCC Islamabad, the most senior Superintendent (Supt) Abid Hussain Malak has been transferred from the FTO Branch to Preventive Anti-Smuggling Section while Superintendent Ahmad Junaid done from Preventive Section to the Islamabad Dry Port.

Islamabad

customs North Region needs to generate Rs399m as cD in six days

ISLAMABAD

ISLAMABAD

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tARiQ DeRYA

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he Customs Appellate Tribunal has directed parties to appear before the bench on the next date of hearing with directions to prepare themselves for final arguments. The tribunal directed this while hearing customs references involving by M/s Klaguardia Logistics and M/s Trade Master and Collectroate of Customs, Islamabad. A division bench of the tribunal comprising Members Tribunal, Syed Muhammad Anwar and Muhammad Nasir Khan, heard the matters submitted by M/s Klaguardia Logistics and M/s Trade Master against Collectroate of Customs, Islamabad. The Customs Appellate Tribunal would also hear recently filed customs reference filed by M/s Kohinoor Trader. Counsels from M/s Five Star Trading had appeared before the bench and demanded time from the bench for finalizing preparations for the case. Customs appellate tribunal’s Member Technical, Ziauddin Wazir had heard the cases of Raja Nabeel, Waqas Enterprises, Arshad Khan and Musawir Shah had filed the cases last week. Raja Nabeel had filed the cases against Directorate of Intelligence and Investigation, Islamabad.

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he Customs North Region ought to earn Rs399million of Customs Duty in the rest of six days of February FY17-18 to meet the assigned monthly revenue collection target.

According to details given by ofQicial source of the North Region that it has earned Rs523million as CD during Qirst 22 days against an allocated revenue target of Rs922million for the whole month of February FY17-18.

Sources told CT that the above difference of revenue collection against earmarked monthly target seems difQicult to chase. By observing the revenue collection trend during previous 22 days of current month, if North Region earns approximately Rs56million per day during the rest of six days then it can reach the assigned monthly revenue target. The North generated the highest CD of Rs38.77million on 22nd February FY17-18.

It was said that the Collectorate of Islamabad received Rs363.24million during 22 days of February FY17-18 against an allocated monthly target of Rs490.59million under the head of CD. It was added that Islamabad needs to collect Rs137million during the rest of six days to meet the monthly revenue target. It needs to chase Rs22million

tribunal directs counsels to conclude arguments

per day’s collection under the head of CD to reach the monthly earmarked revenue target. The collectorate received Rs15million as CD on February 22, 17-18. The sources told CT that the Collectorate of Peshawar

generated Rs290.97million under the head of CD during Qirst 22 days of February FY17-18 against an earmarked monthly target of Rs581.21million. It was said that the collectorate has to collect Rs48mil-

lion per day during the rest of days of the current month to meet the allocated monthly target of CD. The Samberial earned Rs.-131million during 22 days of current month against the monthly target of Rs.-149.63million.

internal, external factors reduce pakistan’s exports

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ISLAMABAD

M ARShAD

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espite declining trend of competitiveness of a number of export items in the international markets since last five years, exports have increased in the first half of the current fiscal year as compared to the corresponding period of the previous fiscal year (July 2016-January 2017.

“The stagnation in the major world economies led to low demand of Pakistani goods. According WTO the total world exports have declined by 3.3% in 201617. The decline in export is an outcome of a combination of both endogenous and exogenous factors,” sources privy to the Minister of Commerce told Customs Today. “The exogenous factors include economic slowdown, shift in demand, change of taste and preferences, depreciation of Euro

against the US dollar, lowered demand of by key market,” the sources maintained, saying that all these factors played major role in constraining Pakistan’s export growth as these factors also slowed down the major economies of the world including China and European Union.

“There are a number of endogenous factors that are affecting Pakistani exports competitiveness in the region and these areas of concern require immedi-

ate redressal to restore positive trajectory of the exports,” the sources said, counting the endogenous factors including, low production and high local demand, supply side constraints, low investment in export sector, market concentration, lack of value addition, trade facilitation, narrow export basket, policy conflict and others. The sources said that export of cotton and certain food products declined mainly due to low domestic production.

Export of raw cotton decreased by 43.15% cotton yarn by 1.67%, fruits by 10.80% and vegetables by 13.27%. Similarly, the sources said that local demand of cement reduced availability of surpluses due to increase in local demand caused by China Pakistan Economic Corridor (CPEC) related development and infrastructure projects and enhanced allocations for public sector development program (PSDP) for the current fiscal year.

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NCCPL announces to collect capital gain tax on 28th KARACHI: National Clearing Company of Pakistan Limited (NCCPL) will collect capital gain tax from clearing members and Pakistan Mercantile Exchange Limited for the month of January 2018 on February 28. The Federal Board of Revenue (FBR) has authorized NCCPL to collect capital gain tax on arising on disposal of shares at Pakistan Stock Exchange. The NCCPL announced that it will collect capital gain tax for the period January 1, 2018 to January 31, 2018, on Wednesday, February 28, 2018 through respective settling banks of the clearing members, along with refund or adjustments on the basis of amount collected up to December 31, 2017.

court re-issues NBws against accused involved in hSD oil smuggling

Tuesday March 6, 2018

Karachi

customs export recovers Rs 12.28m from defaulter companies

KARACHI

M B RANA

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he Customs Taxation and AntiSmuggling Court Judge Syed Faiz Rasool Rashdi re-issued non-bail able warrants against absconding suspect namely Muhammad Zamreen son of Mehmood Shah owner of oil tanker bearing registration number JP-9950, who was booked in a case of attempting to smuggle non-duty paid 25,000 liters Iranian HSD oil. During the hearing, investigation oďŹƒcer appeared before the court and information that above mentioned suspect is still absconder and prosecution is try its best to arrest him, he seeks time to arrest the said suspect, after the hearing, court issued non-bail able warrants against absconding suspect.

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customs values of glass Blocks & glass Mosaics tiles revised KARACHI

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he Directorate General of the Customs Valuation has revised the customs values of Glass Blocks & Glass Mosaic Tiles Valuation Ruling No: 1261/2018 under Section 25A of the Customs Act-1969. The customs values of glass blocks of Indonesia origin were determined vide Valuation Ruling No: 533/2013 dated 08th of January 2013. Moreover, values of glass mosaic tiles were also determined and notified vide Valuation Database No: 177/2017 dated 03-02-2017. In order to ensure the uniform assessment of glass blocks and glass mosaic tiles with or without porcelain/ceramics, an exercise was undertaken to determine the customs values of subject goods under Section 25A of the Customs Act-1969 to reflect the prices prevailing in the international markets.

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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 GL Auto Parts availed undue beneQits and concessions after importing different consignments by misusing the SRO 562 through Examiner Usman Ali on 9th December 2017. Sources further said that the company was allegedly involved in the tax evasion of Rs 7 million.

After detecting the tax evasion, the Customs Export served on it a Qinal notice on January 29, 2018 to deposit the evaded amount within 14 days. After receiving the notice, the management of M/s GL Auto Parts deposited the evaded amount in the ofQicial account of the Customs Export.

On the other hand, the management of the M/s Nabeel Garments also cleared Rs 5.28 million of taxes and duties on Friday. Sources told the correspondent that M/s Nabeel Garments also availed undue beneQits and concessions and avoided paying taxes according to the customs bylaws. The Customs Export authorities issued to it a Qinal notice on January 30, 2018. After receiv-

ing the notice, the management of the M/s Nabeel Garments deposited the evaded amount of taxes into the ofQicial account. Meanwhile, The Customs Export has recovered evaded amount of taxes and duties of Rs 11.50 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 Safdar Enterprises availed undue benefits

After receiving the notice, the management of M/s gL Auto parts deposited the evaded amount in the oďŹƒcial account of the customs export

Shc seeks comments on plea seeking release of bus

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KARACHI

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he Sindh High Court (SHC) directed parties to Qile their comments on a constitutional petition Qiled by Irshad Hussain son of Ibrahim, owner of Bus No SGM-851 seeking release order of his bus seized by customs department. A two-member bench, headed by Justice Munib Akhtar heard the petition.

Earlier, counsel for the petitioner

stated that he is engaged in the lawful business of import of buses and fulQills all the liabilities according with law, he submitted that he imported a bus no SGM-851 and Qiled goods declaration according with law, however, he was informed by ofQicials of the customs department that his vehicle was seized and allegation was Qixed that imported vehicle does not fall on currant import policy. Counsel further submitted that imported vehicle may be released because same vehicles fall on currant import policy

and many vehicles have been released according with currant import policy, importer stated that act of the customs department is unlawful, mala Qide and no legal effect. Citing Secretary Revenue Division, Secretary Ministry of Finance, Chief Collector of Customs Collectorate, Deputy Collector of Customs Adjudication Iftikhar Ahmed, Collector of Customs and others as respondents, he pleaded the court to declare that act of the respondents is illegal, mala Qide and arbitrary.

and concessions after importing different consignments by misusing the SRO 566 through Examiner Usman Ali on 16th 2017. Sources said that the company was allegedly involved in the tax evasion of Rs 6 million. 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, but defaulter company willfully avoided to clear the dues.

pak rupee depreciates by 25 paisas he Pak rupee depreciated against the US dollar in open market and remained firm in interbank. As per the local money market, the dollar gained 25 paisas in open currency market for buying at Rs111.95 for selling at 112.25. The dollar closed unchanged in interbank at Rs 110.30 for buying and Rs 110.50 for selling.

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Customs Tribunal remands back appeal in impounded truck case Tuesday March 6, 2018

Lahore

LAHORE: The Customs Appellate Tribunal has remanded back an appeal in an impounded (Ten-Wheeler) Hino Truck case. The appeal was filed by one Khadim Hussain, a resident of Lahore, against the additional collector of customs (Adjudication) Faisalabad.

Muhammad Shabbir Gujjar, Member Judicial Bench-II, examined the record and heard the arguments from both sides and decided the case with remarks that the impugned order is set aside and case is remanded back to the adjudication authority with the order to hear the case again and pass the fresh speaking order within 30 days.

customs tribunal orders release of appellant’s vehicle unconditionally LAHORE

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ustoms Appellate Tribunal has set aside an Order in Original in seized Hino Ranger truck. The appeal was Qiled

by Mumtaz Hussain, a resident of Multan against Additional Collector, Collectorate of Adjudication Faisalabad. Muhammad Shabbir Gujjar, Member Judicial, examined the record and heard all arguments from appellant and the respondent sides. Tribunal passed the judgment with remarks that impugned order is set aside and directed respondent to release vehicle of the appellant forthwith. According to the details of case, Superintendent of Customs Intelligence and Investigation-FBR Multan intercepted a used Hino

permission to import uS Dollars continues State Bank of Pakistan (SBP) has extended permission to exchange companies to import of US Dollars against export of other foreign currencies. The SBP issued a circular inviting attention of authorized exchange companies related to instructions on import of US Dollars whereby exchange companies had been allowed to import cash US dollars against export of permissible foreign currencies up to December 31, 2017.

The central bank said it is decided that exchange companies can continue to import cash US Dollars against export of permissible foreign currencies unless advised otherwise. However, total import of cash US Dollars shall not exceed 35 percent of total export of permissible foreign currencies during a month. –CB Report

Ranger truck. On demand, driver of vehicle introduce himself as Mahar Muhammad Shehzad and he could not produce any document regarding lawful import of vehicle. Customs staff impounded the vehicle under section 2 (kk) of Customs Act 1969. After the show cause notice adjudication proceeding were culminated and Order in Original was passed with remarks that show cause notice stands established and vehicle brought into country through un authorized route.

Being aggrieved from the order, appellant Qiled the appeal before the Customs Appellant Tribunal, challenged the Order in Original and counsel for appellant argued before the Tribunal that ONO passed in mechanical fashion without consideration of facts about the case. On the other side, respond side produce document and appeal for the rejection of appeal.

fto reserves verdict of tax refund appeal filed by M/s Amber capacitors LAHORE

SAJiD NAwAZ

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he Federal Tax Ombudsman (FTO) has reserved the verdict in an appeal Qiled by M/s Amber Capacitors (Private) Limited till the next date of hearing. The refund case was Qiled before the FTO against Corporate Regional Tax OfQice (CRTO) Lahore.

As per details, FTO Advisor Mian Munawar Ghafoor heard the complaint in which the counsel for the appellant argued that the CRTO has not released the refund to the appellant for the last two years.

He said that the CRTO collected excessive tax from the appellant during the last two years. The company approached the officer concerned many times for issuance of refunds but the department did not pay the refunds after the passage of

Sports industries Development centre to inaugurate tomorrow

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ederal Minister for Industries and Production Ghulam Murtaza Khan Jatoi would formally inaugurate the Sports Industries Development Centre (SIDC), a core initiative in the strategy of infusing mechanized inQlatable ball technology in the local industry. The centre has been established with a total cost of Rs. 436 million provided by the federal government while SMEDA is the executing agency. A Board of Management led by the private sector is handling the affairs of

the project. SIDC would help develop prototype balls for local industry, get their staff trained and thereby enable local manufacturers to replace their existing set up of hand stitched ball with mechanized ball.It would also help develop imported machinery locally through reverse engineering,IPR facilitation for mechanized inQlatable ball. It would also help in IPR facilitation and manufacturing of mechanized inQlatable balls for SMEs so that the sector embraces. –CB Report

a reasonable time. Finally, the appellant decided to approach the Federal Tax Ombudsman (FTO), seeking interference in this case.

The counsel appealed the FTO advisor to direct the commissioner of CRTO to clear the refund claims.

The counsel further said that the delay in issuance of refunds put

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burden on the taxpayers, adding that the RTO should make audit of the cases and release the extra amount collected by it from the taxpayer. On the other hand, counsel for the CRTO argued that the appellant has not submitted all the record in the office on the basis of which it is claiming refund.

iRSA releases 61,200 cusecs water he Indus River System Authority (IRSA) released 61,200 cusecs water from various rim stations with inQlow of 44,000 cusecs. According to the data released by IRSA, water level in the Indus River at Tarbela Dam was 1390.20 feet, which was 10.20 feet higher than its dead level of 1,380 feet. Water inQlow in the dam was recorded as 18,000 cusecs and outQlow as 34,000 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 inQlow and

outQlow of water was recorded as 6,800 cusecs and 8,000 cusecs respectively.

The release of water at Kalabagh, Taunsa and Sukkur was recorded as 46,800, 32,900 and 4,700 cusecs respectively. Similarly from the Kabul River, 12,000 cusecs of water was released at Nowshera and 2,000 cusecs from the Chenab River at Marala. The release of water at Kalabagh, Taunsa and Sukkur was recorded as 46,800, 32,900 and 4,700 cusecs respectively.

Similarly from the Kabul River, 12,000 cusecs of water was released at Nowshera and 2,000 cusecs from the Chenab River at Marala. –CB Report

counsels conclude arguments in tax refund appeal

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LAHORE

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ederal Tax Ombudsman (FTO) has heard a case filed by proprietors of M/s Haji Nazakat Ali & Company against the Regional Tax Office (RTO-II) Lahore and before the advisor counsels for appellant has concluded argu-

ments by the counsels and case will be decided very soon.

During the proceedings of case, before the Advisor Mian Munawar Ghafoor, 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 ap-

proached the ofQicials concerned several times for the release of refunds, but the RTO ofQicials 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 taxpayers, adding that the RTO-II should make audit of the case and release the extra amount collected by it from the taxpayer. On the other hand, counsel for RTO-II argued that the appellant has not submitted all record to the ofQice for claiming refunds. If appellant provides the accurate record, the RTO-II will release refunds after a proper assessment, he added.

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ustoms Central Region has registered a growth of 29 percent by collecting Rs4997 million as customs duty in February during the Qinancial year 2017-18. As per details, the Customs Appraisement Lahore collected Rs2725 million under the head of customs duty and Collectorate of Customs Preventive Lahore collected Rs991 million during period under review.

On the other hand, the Collectorate of Customs Multan collected Rs1001 million customs duty in February of the current Qinancial year.

The Collectorate of Customs Faisalabad collected Rs278 million customs duty (CD) during the period in February 2017-18. Overall, the Customs Central Region collected Rs 4994 million as customs duty from all the four Collectorate by registering a growth of 41 percent.

It is necessary to mention here that Chief Collector Customs Central Region Zeba Hai Azhar has adopted a

Tuesday, March 6, 2018

comprehensive strategy to enhance revenue collection measures in all four Collectorates. Meanwhile, Customs Central Region has registered a growth of 41 percent by collecting Rs 38875 million under the head of customs duty from July to February during the Qinancial year 2017-18.

As per details, the Customs Appraisement Lahore collected Rs21945 million under the head of customs duty and Collectorate of Customs Preventive Lahore collected Rs 7639 million during period under review. On the other hand, the Collectorate of Customs Multan collected Rs 6760 million customs duty from July to February of the current Qinancial year. The Collectorate of Customs Faisalabad collected Rs2529 million under the head of customs duty during the period from July to February 2017-18.

Overall, the Customs Central Region collected Rs 38875 million as customs duty from all the four Collectorates by registering a growth of 41 percent.

Sources told Customs Today that Collectorate of Customs Central Region is already working proactively for

achieving Qinancial year’s targets.

Meanwhile, Customs Central Region has registered a growth of 41 percent by collecting Rs 38875 million under the head of customs duty from July to February during the financial year 2017-18. As per details, the Customs Appraisement Lahore collected Rs21945 million under the head of customs duty and Collectorate of Customs Preventive Lahore collected Rs 7639 million during period under review. On the other hand, the Collectorate of Customs Multan collected Rs 6760 million customs duty from July to February of the current financial year. The Collectorate of Customs Faisalabad collected Rs2529 million under the head of customs duty during the period from July to February 2017-18. Overall, the Customs Central Region collected Rs 38875 million as customs duty from all the four Collectorates by registering a growth of 41 percent.

Sources told Customs Today that Collectorate of Customs Central Region is already working proactively for achieving financial year’s targets.

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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

wto moot in New Delhi

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t a time the Indian army is committing daily violations of the peace agreement by continuous shelling on the Line of Control, New Delhi has invited Pakistan to attend a ministerial conference of the World Trade Organization scheduled to be held in March to iron out disagreements on subsidies and duties on fisheries and other commercial goods. Since the Bhartiya Janata Party took over the rein of the government in India four years ago, it started a policy of confrontation with Pakistan for domestic reasons. Even the driving force behind the birth of the Janata Party and its coming to power was antiPakistan rhetoric which it used successfully before and after the elections. Both the countries had signed an agreement back in 2003 to keep peace and stability on the border and coordinate not only for the resolution of outstanding issues, but also for the enhancement of trade volume. However, the new Indian government held up a jingoist posture and left no stone unturned but to spoil peace and regional stability for one reason or the other. India was a rising economic power during the previous Congress government, but now the ratio of the progress has been nose diving. The Modi government failed both on the internal and external fronts. Earlier, India had bulldozed a conference of the SAARC heads of states which was scheduled to be held in Islamabad two years ago. After years of conflicting statements and hostilities, now the Indian government has invited Pakistan to attend the WTO moot. A mini-ministerial conference of the member states of the World Trade Organization is arranged to make fresh eorts to reach consensus on issues, including on fisheries subsidies and e-commerce duties.

Commerce Minister Pervaiz Malik has been invited to attend the conference, but the Pakistan government has to decide if he would be available for the meeting or not.

The Indian government has been exposed not only as a troublemaker in the regional context, but also in the international forums where it always tries to put horse before cart by floating unreasonable demands. Reports suggest bilateral trade between the two countries was in the India’s favour as Pakistan’s exported goods worth only $392 million in 2014 while its imports from India remained $2.1 billion.

politicians should focus on economy E

LAHORE

DR AftAB AfZAL

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conomic woes of the country are growing, but three major political parties are sparring with one another on every non-issue rather than spelling out their respective programmes and manifestoes ahead of the general elections.

The next general elections are round the corner and the political parties should have been busy in homework and should have informed the people about their agenda of economy and political vision to put the country on the road of progress and development. The world is going ahead at a fast speed, and

the beloved leaders still have no understanding of economic variables and financial matters.

Pakistan is facing various internal and external challenges. India has been doing all its best to place Pakistan in the list of terror financing countries. Instead, the political milieu is impregnated with diatribes from one corner to another. The political elite must understand the situation and should make coordinated efforts to create soft image of Pakistan in the comity of nations. However, the only aim of politicians is to grab power and their aim of struggle is to protect vested interested.

As a result, instead of national integration, the country is drift-

ing toward polarization. There is no harm in political differences on issues, but opposition for the sake of opposition must be avoided for the sake of the country. India has restored to aggression on the line of control and its diplomatic missions are spreading false information about Pakistan in the world over. The politicians should avoid the politics of confrontation when it comes to national interests and must work for integrity and solidarity of the country. The government policymakers should also work sincerely for the betterment of the economy as they are answerable to the nation for misuse of authority and corruption. But it is

the main responsibility of the political leadership to work for the development of the economy.

Unfortunately, exports have declined, foreign exchange reserves are depleting and loans are piling up. The current government has obtained loans worth $45 billion since it assumed the office in 2013. Economists fear debt servicing could convert into a snow ball if economy failed to achieve higher rate of growth to its gross domestic product in the coming years. The Pakistan Muslim League-Nawaz government could not perform satisfactorily due to only one reason and that is the party failed to do homework during the time it was in the opposition.

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Values of porcelain, marble tiles: SHC reserves judgment KARACHI: The Sindh High Court has reserved judgment in two identical petitions filed by importers of porcelain and marble tiles.

As the petitions challenging the powers of the director general of Valuation Department came up for hearing, the petitioner’s counsel submitted that this very bench has reserved the judgment in petitions of identical nature. The appellate bench, comprising JusticeMunib Akhtar and Justice Mrs Asjraf Jahan, also reserved judgment in these petitions challenging violation of section 25-D of the Custom Act 1969.

customs can earn Rs6b thru clearance of 10,000 vehicles at karachi port

Tuesday March 6, 2018

National

Dg Valuation revises customs values of energy drinks vide VR No 1260/2018

KARACHI

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akistan Customs can earn more than Rs6 billion as duty and taxes through clearance of around 10,000 imported cars stuck at the port. These vehicles have been stuck at the Karachi port after the government had made it mandatory for the importers to pay duty and taxes in foreign exchange through production of bank certificate for Customs clearance. The Economic Coordination Committee (ECC) of the cabinet in its meeting on February 7 had reversed its decision, which was approved by the federal cabinet in a meeting held two days ago, and allowed the import of vehicles under the policy that prevailed before October 2017. Sources said that to implement the decision of the federal cabinet, the Ministry of Commerce would issue an amendment to the Import Policy Order –

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KARACHI

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wAQAR AhMeD ANSARi www.customsbulletin.com

he Directorate General of Customs Valuation has revised the customs values of energy drinks vide Valuation Ruling No: 1260/2018 under Section 25A of the Customs Act-1969.The Customs values of various brands of energy drinks from different origins were earlier determined vide Valuation Ruling No. 1203/2017 dated 22.08.2017. Director General Customs Valuation vide Order-inRevision No. 420/2017 dated 19.12.2017 directed to determine the customs value of non-carbonated energy drinks with brand name Carabao under section 25-A of the Customs Act, 1969. As a stop-gap arrangement, the customs value of Carabao non-carbonated energy drink was notiQied vide VDB No.247/2018 dated 1.1.2018. Since the previous Valuation Ruling was almost six months old, it was deemed expedient to re-determine values of Energy Drinks in line with the international price trends.

Hence, an exercise was initiated by

this Directorate General to determine the customs values afresh.

A meeting with stakeholders and importers of subject goods was held on 07.02.2018.The commercial importers contended that since the sub-

ject goods are mainly sold at super and general stores, therefore, a lot more expenses (breakage due to shifting from place to place, expiry, marketing expenses) etc. are incurred thus increasing their retail prices.

M/s IBL Operations, importer of Red Bull energy drinks from Austria contended that the values Qixed vide the existing ruling are already on the higher side and requested for the acceptance of their declared value.

court awards jail term to suspect in diesel smuggling case KARACHI

2016, which is expected this week or early next week. Under the Import Policy Order – 2016, commercial import of vehicles in new or used condition is not allowed. However, to facilitate overseas Pakistanis, the government has allowed the import of vehicles under personal baggage, gift, and transfer of residence schemes. The policy order imposed the condition of arranging payment of duty and taxes through foreign remittances for import and clearance of 1800cc and 4X4 vehicles brought under personal baggage and gift schemes.

However, through a SRO issued October 23, 2017.

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ustoms Court Judge Syed Faiz Rasool Rashdi has awarded 15 days imprisonment and a Qine of Rs 100,000 to a suspect, Khair Alam, who was booked for attempting to smuggle non-duty paid foreign origin 17,000 liters high speed diesel. During the hearing, the suspect appeared before the court along with his counsel and moved a petition for pleading guilty. After the arguments, the court framed charge against him who had left himself on the mercy of the court, therefore, court awarded him 15 days imprisonment as undergone period and a Qine Rs 100,000.

On last date of hearing, investigation ofQicer had submitted challan against arrested suspect and in-

formed the court that on a credible information a team of Anti-Smuggling Organisation intercepted a Hino truck and recovered 17,000 liters Iranian HSD Oil valuing Rs13,60,000. He further informed the court that during the raid, customs ofQicials asked suspect to pro-

duce lawful documents of said oil, however, he failed to produce any lawful documents, therefore, after formalities customs ofQicials arrested accused and seized said oil.

Earlier, Investigation ofQicer had said that prosecution needs further investigation from suspect therefore,

court may send back him to customs department. After his arguments, court had sent him to jail on judicial remand and had directed investigation ofQicer to submit charge sheet.

According to the prosecution, case was registered for violation of under section 2 (s) 156 (2) 157 (2) and 178 of customs act, 1969 punishable under clauses 8 & 89 of section 156 (i) ibid read with section 3 (1) of Import and Export Control Act, 1950.

Meanwhile, The Customs Court has given interim pre-arrest bail to suspect namely Muhammad Hanif, proprietor of M/s Getco Agencies, who was booked in three separates cases of fraudulent clearance of restricted goods in the garb of raw material for processing at Karachi Export Processing Zone (KEPZ). During the hearing, the suspect appeared before the court along his counsel and moved the bail petition.

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DG Valuation revises customs values of UPVC, CPVC, PPRC & Pipe Fittings Tuesday March 6, 2018

National Shc issues notices to Dg Valuation, others in tiles import case

KARACHI: The Directorate General of Customs Valuation has revised the customs values of UPVC, CPVC, PPRC Pipes and Pipe Fittings Valuation Ruling No: 1259/2018 under Section 25A of the Customs Act-1969.

Earlier the Customs values of UPVC, CPVC, C Pipes and Pipe Fittings were determined vide Valuation Ruling No. 1001/16 dated 2.2016. This Valuation Ruling along with Revision Order 349/2017 dated May 31, 2017 were set aside by the Customs Appellate Tribunal vide order No. K-695-698/2017 dated 15-9-2017.

fBR detects huge untaxed investment in islamabad real estate

KARACHI

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ISLAMABAD

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he Sindh High Court has issued notices to the DG Valuation and other respondents for Feb 27.

The SHC appellate bench, comprising Justice Munib Akhtar and Justice Mrs Ashraf Jahan, issued notices to the DG Valuation and others in three identical petitions filed by importers of tiles. Ashraf Traders, Euro Tiles and Amin Tiles filed the petitions challenging a circular issued by the DG Valuation. A lawyer representing the petitioners submitted that while Valuation Ruling is pending,, the respondents under Danish Jahangiri case decided by the apex court cannot deny the benefit of section 81 of the Pakistan Custom Act 1969. The denial of release is illegal and damaging to the petitioners, the counsel submitted.

The denial of release is illegal and damaging to the petitioners, the counsel submitted.

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fto reserves judgment on tax refund appeal he Federal Tax Ombudsman (FTO) has reserved a verdict on an appeal filed by the proprietors of M/s Faqeer Hussain against the Regional Tax Office (RTO-II) Lahore. During the proceedings of the case before Advisor Mian Munawar Ghafoor, the counsel for the appellant argued that the RTO-II had failed to release the sales tax refund to the appellant since two years. He said the RTO-II has been collecting excessive taxes from the company for the last two years. The petitioner approached the officials concerned several times for the release of refunds, but the RTO officials failed to address the complaint after the lapse of a reasonable time. –CB Report

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he Federal Board of Revenue has unearthed huge untaxed investment in real estate sector in the federal capital.

According to the FBR documents based on the Capital Development Authority data, as many as 6,348 rich individuals from across the country invested in 3,530 residential and 2,818 commercial properties worth over Rs106 billion from 2014 to 2017, as per DC rates. The real value at which these purchases have been made would be far higher.

Most of the people from Islamabad, Rawalpindi and Peshawar invested in real estate investments.

Details of the investors, and their transactions, were sent to 15 re-

gional tax ofQices around the country a few weeks ago, with instructions to issue notices and ask for source of income and taxes paid by each. lmost half of these people did

not even exist on the tax roll – meaning they have no national tax number. The residents of Islamabad topped the list in real estate transactions. As many as 3,617 people,

almost half of the total, have done transactions worth Rs56.8 billion in residential and commercial properties. The second highest transactions in real estate came from 935 residents of Rawalpindi, at Rs12.4 billion. From Peshawar, 667 residents invested Rs10.7 billion in 417 residential and 250 commercial properties. Fourth on the list is Karachi whose residents made transactions of Rs9.3 billion in 288 residential and 136 commercial properties. These cases have been sent to their respective RTOs of Karachi for further action – 212 cases to RTO III; 83 cases to Corporate RTO; 87 cases to RTO II; and 42 cases to the Large Taxpayer Unit (LTU). In Lahore, 329 people made transactions in 244 residential and 85 commercial properties worth Rs5.7 billion.

customs intelligence faisalabad impounds Mazda truck loaded with contraband tyres T

FAISALABAD

NAeeM Sheikh

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he Customs Intelligence and Investigation Faisalabad has seized foreign origin smuggling tyres of different brands and sizes worth Rs01.1million involving duty and taxes to the tune of Rs720000 during a successful raid. A mini Mazda truck valued at Rs500000 was also taken into possession. Customs Intelligence Director Rana Irfan Shouqat received a tip-off regarding the smuggling of tyres. He formed a team, comprising Superintendent Muhammad Tahir, Intelligence Officers Muhammad Nasrullah, Mansoor Nasir, Mohsin Raza Shah, Sepoys Muzamil Hussain, Zeshan Farooq, Shouqat Hayat, Muhammad Rafique and Abuzar Siddique, to foil the smuggling.

The intelligence team con-

ducted a raid near Shahkot Toll Plaza, Sheikhupura Road, Faisalabad and intercepted a Mazda mini truck bearing registration No: STF-4061 and recovered 30

China made tyres. The team asked the driver namely as Zafar Masoom son of Masoom Ahmed to produce the documents regarding the legal import of the

items. But he remained failed to do the same. The intelligence staff confiscated the tyres and registered a case against the accused smuggler.

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FBR receives 1.42m tax returns ISLAMABAD: Federal Board of Revenue (FBR) has received as many as 1.42 million annual income tax returns for the for the Tax Year 2016, revealed FBR’s Active Taxpayers List.

The FBR issues a fresh list on March 01 every year under which return filers for preceding tax year will be able to avail the reduced rate facility. The FBR is scheduled to release ATL for Tax Year 2017 on March 01, 2018. This list will allow only those taxpayers who filed their income tax returns for tax year 2017. The FBR introduced higher rates of withholding tax through Finance Act 2015 on various transactions to burden the non-filers of income tax returns. The scope of higher tax rates has been further expanded in subsequent years to increase the cost of transactions for non-filers.

2,000 liter iranian origin high speed diesel seized, two suspects arrested KARACHI

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ustoms Intelligence and Investigation (I&I) Anti-Smuggling Organization (ASO) has taken into custody a huge quantity of smuggled high speed diesel worth millions of rupees. According to the details, Customs ASO has registered a case against two suspects, Mohammad Ameen and Muhammad Hussain, who are involved in smuggling.

Source informed Customs Today that the Steel Town police station mobile, during a routine patrolling, intercepted a ten wheeler truck bearing registration no TTD-237 and recovered 2,000 liter smuggled Iranian origin diesel. The Senior Superintendent of Police Steel Town along with other officers contacted the ASO and handed it over the smuggled

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diesel as well as the suspects under section 550 Code of Criminal Procedure. The source has also informed that the ASO team registered the case as per their rules and regulations whereas the investigation has been started from the driver of the ten wheeler truck. The source also informed that the Iranian origin High Speed Diesel (HSD) was being transported through ten wheeler truck no: TTD-237 hidden in different compartments of it. The recovered Iranian Origin High Speed Diesel (HSD) have worth millions of rupees in the market. The source in the Customs has also informed that the culprits were transporting twenty five thousand liters of smuggled Iranian origin High Speed Diesel (HSD) in a truck at which the logo of the renowned company was used to avoid any checking at the check post connecting between the cities.

National

customs tribunal accepts appeal against collector customs house Lahore

customs posts 127% hike of St during seven months ISLAMABAD

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he MCC Islamabad demonstrated 127% growth in revenue collection of Sales Tax (ST) while it showed 76% increase under all the heads in first seven months and three weeks of February FY17-18 (July to 21 February) against an assigned proportional revenue target.

According to details given by Zulfiqar Ali Chaudhry, Collector Model Customs Collectorate (MCC) Islamabad, that the collectorate posted Rs 64% increase in revenue collection against an allocated proportional revenue target under all the heads while it displayed 28% growth of Customs Duty (CD), 33% as Income tax (IT) and 60% increase of Federal Excise Duty (FED) against an earmarked proportional revenue collection target for July to February 21, FY17-18. The Collector MCC Islamabad told CT that the collectorate earned Rs14213.90million under all the heads against an assigned proportional revenue collection target of Rs8684.50million for July to first three weeks of February FY 17-18. He added that the MCC generated Rs4799.73million of CD against an allocated proportional revenue collection target of Rs3764.46million.

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LAHORE

SAJiD NAwAZ

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he Customs Appellate Tribunal has accepted an appeal Qiled by the M/s A Z Apparel Private Limited against the Collector, Customs House Lahore.

Omer Arshed Hakeem, Member Judicial Bench-II, heard the appeal in detail and passed the impugned order being clearly hit by the bar of limitations on the touchstone of the Sub Section (3) of Section 179 of the Customs Act-1969 which is enforceable in law. The DTRE user M/s A Z Apparel Private Limited consumed nylon/ spandex dyed fabrics weighed 1,680 kilograms and DTRE user failed to consume 806 kilograms of nylon/ spandex dyed fabrics in the manufacturing of exported goods. After a show cause notice, adjudication proceedings were culminated and Order-in-Original passed with remarks that show-cause notice is established, and the department will recover the short-paid amount with default surcharge and penalty of Rs10000. Being aggrieved from the order, the appellant filed the appeal before the Collector of Cus-

Tuesday March 6, 2018

toms (Appeals) who upheld the Order-in-oOriginal and waive of penalty on the appellant. Being dissatisfied, the department filed an appeal before the Customs Appellate Tribunal on the grounds that the appeal before the Collector Customs (Appeals) was time barred

and appeal is liable to be set aside.

Appellant also produced the document regarding the illegality of goods. On the other side, the respondent denied all the allegations.

After hearing the arguments, the Customs Appellate Tribunal accepted the appeal.

fBR to send notices to over 85,000 property owners in punjab

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ISLAMABAD

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he Federal Board of Revenue (FBR) has identiQied over 85,000 potential non-Qilers and decided to send notices to them.

These non-Qilers were identiQied when the Punjab Police shared data of owners of properties collected through Tenants Registration System of Lahore Zone with the FBR. The Punjab’s Excise Department is also in talks with the FBR for sharing data of vehicle registration and property registration in computerised form so that it can be utilised for the purpose of broadening of tax

base on the basis of different cities of the largest province of the country.

The federal tax authority sorted out

117,339 valid CNICs of property owners out of which over 85,000 were found unregistered as they did

not possess National Tax Number (NTN) despite earning rented money while the remaining were NTN holders. Now the data of over 85,000 non-registered have been separated on the basis of posh localities like Defence Housing Authority (DHA), Cantonment, Gulberg, Model Town and many other afQluent areas of the city and the process of sending out tax notices was underway in a bid to broaden the narrowed tax base. The ofQicial sources said that on the basis of gathered data, the FBR has sent out 113 unregistered property owners from ‘DHA, Y Block, Phase-III’ and ‘Defence Raya Villas’ identiQied for issuance of tax notices.

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Saudi’s inflation jumps to 3% on VAT, fuel price hike

World Customs

RIYADH: Saudi Arabia’s annual consumer price inflation jumped to 3 per cent in January after the government introduced a 5 per cent value-added tax and hiked domestic gasoline prices at the start of the year, official data showed .

The figures suggested the new tax and more expensive fuel, part of a government drive to cut a big budget deficit caused by low oil prices, had a large impact on Saudi consumer spending power in some areas last month.

Consumer prices rose 3.9 per cent from the previous month in January.

Tuesday March 6, 2018

hong kong cosmetics retailer Rwandan coffee on sale in Netherlands festival pulls out of taiwan AMSTERDAM

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HONG KONG

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ong Kong’s largest cosmetics retailer Sa Sa International Holdings said it will shut all its shops in Taiwan after losing money for six consecutive years.

Sa Sa has 20 stores across the island according to its ofQicial website, and employs about 260 local staff. All the shops are expected to be closed by the end of March, the company said in a statement.

The retailer’s Taiwan operation has been a drag on the group’s business, with turnover decreasing by 11.5% to 154.3 million Hong Kong dollars ($19.7 million) during the 10 months ended in January.

“The group’s performance in Taiwan has been persistently weak, and the possibility of improvements is low into the foreseeable future,” said Simon Kwok, Sa Sa chairman

thailand Jan crude condensate imports jump 19% hailand imported 939,864 b/d of crude oil and condensate in January, rising 18.5% year on year, according to data released Thursday by the Customs Department. Crude imports in the month increased 24.3% year on year to 903,796 b/d, from 727,226 b/d in the same month in 2017. Major crude suppliers to Thailand in January included the UAE and Saudi Arabia.

Thailand imported 36,068 b/d of condensate in the month, down 45.1% year on year, mainly from Australia and Malaysia. In 2017, the kingdom imported 918,570 b/d of crude and condensate, up 5% from 2016. Thailand produced 141,248 b/d of crude oil last year, down 13.6% from 2016, with sharp declines seen from three oil fields in the Gulf of Thailand. –CB Report

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and CEO. The Hong Kong-listed retailer operates about 280 shops mostly in Hong Kong and mainland China and employees about 5,000 staff. It also has operations in Singapore, Malaysia and Macau.

Exiting the Taiwan market will allow Sa Sa to rationalize its resources to gear up for better opportunities in other markets and the development of e-commerce busi-

nesses, the statement said.

The company said it believed the retail market in mainland China, Hong Kong and Macau would benefit from major infrastructure projects linking the mainland and the two special administrative regions, such as the Guangzhou-Shenzhen-Hong Kong Express Rail Link and the Hong Kong-Zhuhai-Macau Bridge.

chinese football tax ends world-beating transfer boom

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hinese Super League after Chinese President Xi Jinping’s call for a football revolution prompted a surge in investment by local tycoons.

But the bad news for players, and the agents who stoke such speculation to drive up wages, is that the CSL’s worldbeating transfer boom is over for now after the introduction of restrictions on the import of footballers slowed the Qlood of spending to a trickle. Amid a wider crackdown on capital outQlows,

China’s government-controlled football association brought in a 100 per cent tax on transfers of more than Rmb45m ($7m) last summer. It has since implemented further curbs on the use of foreign footballers in China’s premier league to help the development of local players. “In the short term, the new regulations are going to impair, to a degree, the quality of the game,” says Hou Po, a partner at Deloitte, the consultancy. –CB Report

wandan coffee partners will show what the country does best during the Amsterdam Coffee Festival in Amsterdam, Netherlands next week.

The festival is an innovative subculture of fans in different countries to experience coffee trends. Participants enjoy coffee, tea, chocolate and food. According to the Embassy of Rwanda in The Hague, several Rwandan Coffee varieties will be tested during the event with the help of Rwanda’s coffee partners.

They include This Side Up, a commercial company that was founded to build trustful relationships with coffee farmers and give them the tools to connect to specialty roasters.

Emmanuel Ntabashwa, Manager of Rushashi coffee company in Gakenke district,

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told KT Press that Misozi, Rushashi and Coko coffee varieties will be tasted during the festival in Netherlands. “The festival is another big opportunity to sell Rwanda’s coffee brand internationally,” he said.

According to Ntabashwa, in the last season, his coffee washing station supplied 76,800 tones to the United States and 83,600 tones to Europe.

Meanwhile, Ntabashwa said their clients are demanding 180,000 tones. Our coffee is highly appreciated, reason why we were invited to exhibit. The problem is that we can’t meet this demand,” Ntabashwa toldKT Press.

Rushashi Arabica coffee is grown at an elevation of ranging from 1700-2000 meters above sea level and harvested from March to July. A report released last week by National Agriculture Export Board (NAEB) indicate that an annual coffee export revenues increased to $64.1 million (about Rwf55.3 billion) in 2017 compared to $58.5 million earned in 2016.

SAfrican poultry producers seek protection he stakeholders in the poultry industry held a special forum in Johannesburg and recommended that imports be reduced by 50 percent and local producers asking for protection against dumping.

The forum was attended by representatives from government, poultry producers, research institutions and civil society lobby groups in the poultry sector. It was revealed during the forum that the poultry sector faces high input costs (like grain feed) and large volumes of cheap imported chicken, mostly from the EU, Brazil and the US. It was said the imports from the EU

are highly subsidized. Imameleng Mothebe, director of agri-processing in the Department of Trade and Industry, said they are proposing some measures to make the poultry sector viable. These include trade measures, a review of technical tariff structures, competitiveness and a lowering of input costs. “The government is doing what it can, but the important thing is to ensure that the public is aware of the issues in order to pay allegiance to locally grown and produced products. This, in turn, will also assist the distressed poultry industry,” said Mothebe. –CB Report

Saudi Arabia extends foreign investment licences to 5 years

T RIYADH

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he kingdom has also introduced a broad set of reforms to its capital markets, to enhance its global investment appeal; the number of foreign investors in Saudi stock market has more than doubled over the past year alone”,

the Zawya article adds, quoting the chairperson of the exchange, Sarah Al Suhaimi. The Saudi Stock Exchange, known as the Tadawul, Qirst opened to foreign investors in June, 2015. Saudi Arabia has been in the throes of a major transformation known as “Vision 2030” for almost three years. It was begun in 2015 by crown prince Mohammed bin Salman, pictured left, who took over

the Kingdom’s No. 3 job in April 2015, and who is now in full charge of running the economy. Other changes that have been aimed at boosting the ease with which foreigners and foreign entities may invest in Saudi Arabia have included new legislation governing bankruptcies, franchising and mortgage pledges, and there are plans to implement a major reform of the legal

system. The downside for expatriates living in Saudi Arabia, however, is that many of the reforms have been aimed at ensuring that Saudi nationals replace foreign workers wherever possible, and that those non-Saudis who continue to remain in the country pay for the privilege, in the form of paying more for certain things, such as through the introduction of a value-added tax.

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Shipping activity at port Qasim KARACHI:Brisk shipping was recorded at the Port where six ships, Marie Delmas, Lowland Amster, Secon-7, Rainbow Island, YM Saturn and British Emerald carrying Containers, Coal, Palm oil, Chemicals and LNG were allotted berths at Qasim International Container Terminal, Multi-purpose Terminal, Port Qasim Electric Power Terminal, Liquid Cargo Terminal, Engro Vopak Terminal and Engro Elengy Terminal respectively during last 24 hours.

Meanwhile five more ships, Al-Soor-II, Meltemi, Red Eagle, Gas Esco and Amadeus carrying Diesel oil, LPG and Soya Bean seeds also arrived at outer anchorage of Port Qasim during the same period.

five ships take berth at port Qasim ive ships, MSC Heidi, Northern Magnum, Daranee Naree, Panorama and Contantinos scheduled to load/offload Containers, Cement, Soya bean seeds and Diesel oil were arranged berthing at Qasim International Container Terminal, Multi-purpose Terminal, Grain & Fertilizer Terminal and FOTCO Oil Terminal respectively on Tuesday. In the meantime gas carrier ‘Caspian Gas’ also arrived at outer anchorage of Port Qasim at night hours. Berth occupancy was managed at the port at 41% on Tuesday where a total of seven ships namely, MSC Heidi, Northern Magnum, Daranee Naree, Panorama, Golar Maria, Chemroute and Sun Contantinos are currently occupying berths to load/offload Containers, Cement, Soya been seeds, LNG, Palm oil and Diesel oil during last 24 hours. A cargo volume

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Ports & Shipping

BiMco releases 2018 shipping market outlook BIMCO

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IMCO has released its Macroeconomics assessment for 2018 based on current trends and events.

NEW YORK: The world’s largest international shipping association has advised that nations should foster a strengthened global economy by undertaking structural reforms to help unleash growth potential.

BIMCO referred to the International Monetary Fund’s (IMF) World Economic Outlook for January 2018, which showed it has revised its forecast for global growth in 2018 and 2019 — up by 0.2% to 3.9% for both years. While political events can undermine the development, BIMCO has predicted that 2018 may bring fewer economic growth “derailing” events compared to 2017. It found that disturbances may come from the US midterm elections in November, negotiations for both NAFTA and Brexit, and the stability of China’s

economy. BIMCO warned that the political deals resulting from these events need to decrease the number of trade barriers and ensure regulatory alignment to sustain economic growth. This will help to encourage potential growth as restrictive trade measures can discourage trade Qlows and have negative knock-on effects on economic growth and job creation. The WTO has asked all nations to resist adopting inward-looking policies and urged its members to

show leadership by committing to open and mutually beneQicial trade.

According to the most recent trade monitoring report this has been embraced. In the period from mid-October 2016 to mid-October 2017, 128 measures were implemented to facilitate trade, compared to 108 trade restrictive ones. According to the WTO, world merchandise trade has rebounded strongly as volumes grew by 3.6% in 2017 compared to 1.3% in 2016.

Tuesday March 6, 2018

iranian steel billet export offers rise ran Daily reported that Iranian steel billet exporters are now almost fully sold until end of April but expect higher bids for their next deals,. Khouzestan Steel Co.’s Sales Deputy Bahman Tajalizadeh told S&P Global Platts that “Our 50,000 tonne billet cargo recently was sold at USD 520 per tonne FOB but we had a USD 540 per tonne bid for slab now.” Mr Tajalizadeh added that “We still expect higher prices, I think USD 550 per tonne for late April or May-delivery will be practical within next ten days.” A trader said that “Only a few of exporters accept new orders now and most of them prefer to be out of the market maybe until the next Iranian year (beginning from March 21) and after the New Year (Norouz) holidays.” He added that “South Kaveh Steel is in the market and has recently opened an exporting tender.”

The company announced it is going to focus on export markets more than before. –CB Report

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iran eases border process for Afghan traders of 128,004 tonnes, comprising 97,658 tonnes import cargo and 30,346 tonnes export cargo inclusive of containerized cargo carried in 3,865 Containers (TEUs), (2,570 TEUs imports and 1,295 TEUs exports) was handled at the port during last 24 hours. Gas carrier ‘Golar Maria’ sailed out to sea on Wednesday morning, while Edible oil ship ‘Chemroute Sun’ and Container vessel ‘Northern Magnum’ are expected to sail on same day in the afternoon and night hours respectively. Five ships, Marie Delmas, Lowland Amster, Secon-7, Rainbow Island and British Emerald carrying Containers, Coal, Palm oil and LNG are expected to take berths at QICT, MW-4, PQEPT, LCT and EETL respectively. –CB Report

TEHRAN

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t the sixth Joint Economic Meeting between Afghanistan and Iran, ofQicials of both nations agreed that Afghan goods trucks can cross into Iran without having to present bank guarantee letters. In addition, border tariffs will also decrease.

Ministry of Commerce and Industries (MoCI) ofQicials on Monday said both sides recognize the need to implement the World Road Association agreement and to lower transit costs. According to MoCI ofQicials, the drop in tariffs will hopefully increase exports from Afghanistan to Iran and to India and Gulf countries. “It was a productive meeting and scrapping the bank guarantee (regulation) for Afghanistan’s trucks has been a big

achievement,” said MoCI spokesman MuaQir Quqandi. Statistics show that Iran has in recent times become a major trade partner to Afghanistan and that trade volume between the two countries has reached the $2 billion USD a year mark. Afghanistan Chamber of

Commerce and Industries spokesman Seyam Pesarlay said if border tariffs and processes are eased then Afghan traders will increase import and export trade through Iran. “We want to use International Road Transports (TIR Convention) for exportation to Iran,

some of Central Asian countries and some European countries,” said Pesarlay. According to economic experts, expanding trade ties with neighboring countries will increase Afghanistan’s exports and will help break the tradition of Afghanistan having to rely on only one or two countries for imports and exports.

The TIR Convention is a multilateral treaty that was concluded in Geneva in 1975 to simplify and harmonize the administrative formalities of international road transport.

The TIR Convention establishes an international customs transit system with maximum facility to move goods. The TIR system not only covers customs transit by road but a combination is possible with other modes of transport, including rail, inland waterway, and even maritime transport, as long as at least one part of the total transport is made by road.

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Amnesty scheme: expats to be charged 2, 4 pc tax Tuesday March 6, 2018

Business

ISLAMABAD: The federal government is likely to announce Declaration of Overseas Assets Amnesty Scheme after the Senate elections.

Sources said that resident and non-resident Pakistanis will bring their assets to Pakistan after declaring their bank accounts. They will pay only 2 percent tax to bring their assets to Pakistan and 4 percent tax in case they do not bring their assets to Pakistan. The sources said the government has somewhat agreed to tax amnesty for Pakistanis after declaration of their bank accounts on the demand of traders and chambers of commerce.

govt to make capital market competitive ISLAMABAD

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dviser to Prime Minister on Finance, Miftah Ismail has said that the government was endeavoring to make Pakistan’s Qinancial and capital market, among the most competitive in the world.

He was speaking during a meeting with high ofQicials of Securities and Exchange Commission of Pakistan (SECP) and Pakistan Stock Exchange (PSX) here. Terming the integration and prioritization of stock exchanges as a landmark achievement, the Adviser said that the reforms carried out during the last four years had paid huge dividends.

NBp exchange Rates KARACHI

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He said that foreign investment in Pakistan Stock Exchange (PSX) was welcome and efforts in this regard must continue. He appreciated the role of Chinese consortium in

SeZs under cpec to benefit all people across board: Mushahid

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reasury Management Division of National Bank of Pakistan (NBP) on Wednesday issued the following exchange rates. Selling Buying Buying TT & OD TT Clean OD/T.CHQ U.S.A 110.60 110.40 110.17 U.K 153.76 153.48 153.16 EURO 135.21 134.97 134.69 CANADA 86.59 86.43 86.20 SWITZERLAND 117.69 117.48 117.17 AUSTRALIA 86.14 85.99 85.76 SWEDEN 13.44 13.42 13.38 JAPAN 1.0318 1.0299 1.0272 NORWAY 14.04 14.01 13.97 SINGAPORE83.43.

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smooth transition of PSX, enhancing conQidence of foreign investors and paving way for attracting investment in Pakistan. Adviser said that the matters relating to election

of directors should be resolved by PSX in consultation with SECP as per the regulatory requirements.

Chairman SECP briefed the adviser on the regulators efforts to facilitate the development of strong capital market and said that the Commission maintains close contacts with all stakeholders to resolve various issues confronted by them.

He said that due to the implementation of major reforms, a strong enforcement and compliance regime was in place to guard against market manipulation and other unfair practices. Chairman PSX appreciated the role of SECP and continued support of government to the stock exchange. He stressed that PSX was committed to play pivotal role in strengthening fair and transparent capital markets.

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ISLAMABAD

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hairman of Parliamentary Affairs Committee on China Pakistan Economic Corridor (CPEC), Mushahid Hussain Syed has said that special economic zones (SEZs), Gwadar Port, hospitals and international airport’s construction under China Pakistan Economic Corridor would largely beneQit the people of all provinces.

The people living in GilgitBaltistan, Azad Jammu and Kashmir,

Punjab, Sindh, Khyber Pakhtunkhawa, and Balochistan would have opportunities and beneQits from CPEC projects initiated with the help and heavy investment of China, he said while talking to a news channel. “CPEC would alleviate poverty and unemployment from the country, “ he said. To a question, the chairman said Pakistan was availing the expertise of engineers, technicians, and other skilled workers from China in various projects initiated under the CPEC programme. Two power projects, producing over 2,000 mega

watt electricity, had been completed through CPEC plan, he added. To another question he said CPEC would not only connect the people but also improve cultural and business relations between the two countries.

Mushahid Hussain Syed said despite many challenges, China had made huge investment through CPEC projects which he added “Showed china’s full conQidence in Pakistan.” Replying to a question he said the people living in less developed parts of Pakistan would have beneQits besides job opportunities from the CPEC projects.

govt to consider suggestions of traders for Budget 2018-19 KARACHI

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tate Minister for Finance and Economic Affairs Rana Muhammad Afzal Khan has assured the business community that the government will consider their suggestions for the Federal Budget 2018-19. Speaking at a seminar on ‘Forthcoming Federal Budget 2018-19’ at local hotel here on Wednesday evening, the minister thanked the participants for the recognition of government’s achievements in the last four years.

The seminar was organised by the President of Pakistan Businessmen and Intellectuals Forum, Mian Zahid Hussain. Renowned businessmen, including former president FPCCI Zakria Usman, Saqib Fayyaz Maggon, Mirza Ishtiaq Baig, Zafar Iqbal and Arif Habib also addressed the seminar. They appreciated the federal government’s measures to overcome the major challenges of power shortages and law and order situation after coming into power in 2013. They also appreciated the federal government for putting the country’s economy in the right direction and for initiating various mega development projects, as well as the game-changer the China Pakistan Economic Corridor (CPEC) project.

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pak can achieve economic revival as transhipment hub for trade ISLAMABAD

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hina will likely be willing to offer more assistance to help its iron brother and strategic partner improve economic conditions, but the question is how to Qind an effective way. Pakistan’s economy is facing problems for many reasons, but the fact that Pakistan’s GDP grew 5.3 percent in Qiscal 2017 – the

fastest pace in a decade – can’t be ignored, according to an article published. The two countries will move ahead with the China-Pakistan Economic Corridor (CPEC), which has become a driving force for Pakistan’s economic growth. The question is how its investment-driven growth can be transformed into internal momentum for economic expansion. While the Qirst phase of the CPEC concentrated on infrastructure projects, the second part

should focus on setting up special economic zones and establishing mutual connectivity to support economic integration. Pakistan’s strategic location is a major attraction for companies to invest in and obtain lucrative returns. Now, the nation must give full play to its advantages.

The most important maritime trade route that China has now is through the South China Sea and the Strait of Malacca. The CPEC is designed to connect Gwadar Port

in Southwest Pakistan with China’s inland areas, offering another route for Chinese importers and exporters. Improvements in Pakistan’s trade-related sectors, such as warehousing, logistics, integrated services and e-commerce, can turn the nation into a new trans-shipment point for exports to China. Efforts to upgrade the bilateral free trade agreement will also help realize economic potential. Trade and fiscal deficits have

long been seen by some observers as the thorniest issues faced by the South Asian country. Making Pakistan a new trans-shipment point will help the nation boost exports and slash its trade deficit with China. This situation may also help Pakistan conserve its foreign exchange reserves. China is expected to continue to encourage outbound investment, but investors should also be reminded to exercise caution.

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Call for tax amnesty to promote property investment ISLAMABAD: A delegation of Real Estate Consultants Association, DHA, Islamabad led by President Col (R) Munawar Heral on Friday visited Islamabad Chamber of Commerce and Industry and apprised the ICCI office bearers of the problems being faced by the real estate sector.

Arif Jeewa, Chairman Association of Builders and Developers of Pakistan, Naveed, SVP and Nisar Mirza, Vice President ICCI, were also present on the occasion. Addressing the delegation, Sheikh Amir Waheed, President Islamabad Chamber of Commerce and Industry, said that real estate sector had the potential to promote investment , industry, economic growth and employment, however, government imposed heavy taxes on it in budget 2016-17 that have badly affected its growth.

icci for reducing power sector losses to save industry from loadshedding

Tuesday March 6, 2018

Chambers

govt urged to cooperate with private sector for youth entrepreneurship

ISLAMABAD

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he Islamabad Chamber of Commerce and Industry has called upon the government to take urgent measures for reducing power sector losses in order to save the local industry from the issues of loadshedding. Sheikh Amir Waheed President, Muhammad Naveed Senior Vice President and Nisar Mirza Vice President, Islamabad Chamber of Commerce & Industry said that with the efforts of the current government, energy crisis has been controlled that has provided good relief to the general public as well as the trade and industry. However, they said the losses of power sector were increasing rapidly and if

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urgent measures were not taken to cub them, loadshedding could return to the country in summer that would affect the business and industrial activities. They said as per statement of Awais Ahmed Khan Leghari, Federal Minister for Power, despite reduction of 1.2 percent in transmission and distribution losses, the annual power sector losses were poised to reach Rs.360 billion this year that should be a cause of concern for the policymakers. They said it was encouraging that Pakistan was now surplus in energy generation, but increasing T&D losses would pose new challenges to the country. They said in 2013, annual T&D losses in Pakistan were Rs.120 billion that have increased to Rs.360 billion which showed that power companies have failed to overcome these losses. They should government should pay urgent attention to this issue for remedial measures.

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uhammad Naveed, Senior Vice President, Islamabad Chamber of Commerce and Industry said that youth are the future of Pakistan and government should cooperate with private sector in promoting youth entrepreneurship that would help in reducing unemployment in the country.

He said entrepreneurship offered bright future to youngsters and with the cooperation of government, they could carve out successful careers in this Qield. He was addressing a delegation of Roots International School students who visited ICCI led by their teacher Ms. Irfa Aziz.

Muhammad Naveed said that millions of youngsters were entering the job market every year but were not Qinding good jobs due to which they were getting frustrated.

He emphasized that government should provide educated youth facility of easy credit so that they could start business ventures.

This way, they would not only become prosperous, they would create

jobs for others as well. He assured that ICCI in collaboration with various educational institutes would continue its efforts to promote entrepreneurship culture in youth so that they could become entrepreneurs and play more active role in the economic development of the country. He said ICCI would also strive to arrange internships for RIS

students in the local industry so that they could get opportunities of practical application of theoretical knowledge. Ms. Irfa Aziz, Roots International School teacher said that her school along with teaching books to students was also providing them opportunities to visit various organizations and get better knowledge of workplace environ-

Lcci flays misuse of discretionary powers by fBR LAHORE

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he Lahore Chamber of Commerce & Industry has expressed grave concern on new wave of raids at business premises by the staff of Federal Board of Revenue despite clear instructions of Lahore High Court.

In a statement, the LCCI President Malik Tahir Javaid and Senior Vice President Khawaja Khawar Rashid said that FBR staff has started again misuse of Section 38B and 40-B of Sales Tax Act, 1990 against the business community.

They said that Lahore High Court has barred Federal Board of Revenue from conducting raids at business centers but FBR staff has ruined the court’s order.

They said that businesses are al-

ready in a complicated state-ofaffairs while anti-business actions against business community are not only adding to the miseries of the business community but are also promoting trust deQicit between the government and the business community. The LCCI ofQice-bearers said that misuse of section 38 & 40-B is grinding the business community.

Prime Minister Shahid Khaqan Abbasi should take notice of the situation immediately otherwise FBR staff would cause huge damage, not only to the business activities but to the government’s reputation as well.

They said FBR staff is visiting markets and business premises to unjustiQiably harass the business people. The LCCI ofQice-bearers said that FBR should stop harassing Qilers as non-Qilers and ones outside the tax net are not accounted for at all which discourages businesses to

come into the tax net. Registered businesses are required to comply with various departments involving a lot of Qinancial and time resources whereas unregistered businesses are free from all such hassles.

They said that attaching bank accounts for recovery of outstanding dues is also hampering business growth and tarnishing the businessfriendly image of the government.

They said that bank accounts should not be attached without prior notice to the taxpayer and after seeking approval in writing of Commissioner in the light of reply submitted by the taxpayer. The recovery should be after the decision of the Tribunal and not before that. They said that instead of focusing on controlling under-invoicing, curbing smuggling and expanding the tax net, the FBR seems to be inclined to pressurize registered taxpayers.

ments. She hoped that the visit of RIS students to ICCI would increase their knowledge about how organizations work and help them in future planning about professional life. At the occasion, business community shared their business experiences with the students and provided them tips on how to become successful entrepreneurs.

foreign diplomats visit Scci 24-member delegation of foreign diplomats from different countries visited Sialkot Chamber of Commerce and Industry (SCCI). The foreign diplomats discussed in detail matters of mutual interest with exporters there. On the occasion, SCCI Acting President Abdul Waheed and Vice President Abid Ahmed Khawaja gave a detailed briefing about the achievements, targets, future goals of Sialkot exporters and Sialkot’s socioeconomic and human development on self-help basis. The Sialkot exporters told the visiting diplomats that “Sialkot represents an industrial setup producing specialised products that are supplied to top brands and buyers all over the world. We produce sports goods, surgical instruments, leather products, and gloves of all sorts, textiles items, sportswear.

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Customs Intelligence Sargodha impounds non-duty-paid Iranian apples FAISALABAD: The Field Investigation Unit (FIU) Sargodha of the Customs Intelligence and Investigation has seized non-duty-paid Iranian fresh apples worth Rs2.1million involving duty and taxes of Rs1.1million besides impounding a carrier Hino truck valued at Rs03million during a raid. Sources told Customs Today that Deputy Director Irfan Shouqat received secret information about non-customs-paid consignment traveling from Karachi to Mianwali.

Tuesday, March 6, 2018

CUSTOMS BULLETIN

Multan customs recovers cell phones & goods of Rs 3 million MULTAN iMRAN ALi

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he Customs staff deputed at Multan International Airport has thwarted an attempt of smuggling of cell phones and others of worth approximately Rs.3 million during their action.

Sources told Customs Today that Customs authorities received credible information from their source that huge quantity of foreign origin branded cell phones will be smuggled through various Qlights coming from Gulf countries at Multan International Airport. On the basis of the information Assistant Collector Omer Zafar Chatha constituted a team to thwart any attempts.”

Assistant Collector Omer Zafar Chatha directed customs staff to remain vigilant at the time of examination of goods to foil any attempt of smuggling and after the instructions of assistant collector inspection of coming goods were enhanced to avoid any sort of smuggling from Multan International Airport.

Customs teams recovered 26 branded I-phones, six various Ipads and one precious wrist watch from luggage of American citizen who was coming from

Dubai to Multan International Airport. Branded I-phones, Ipads and wrist watch were concealed in their cloths and Customs team took cell phones, Ipads and wrist

watch in their custody for nonpayment of their duty taxes. A passenger was identified as Muhammad Nabeel who was resident of vehari. Said passenger has Ameri-

can Passport along with Pakistani passport. The passenger was coming on private flight from Dubai and accuse tried to clear non-customs paid goods from Multan In-

ternational Airport but customs team’s detained said goods in their custody. Further investigations against recovered goods were still under way.

NAB raids paragon society office, seize Ashiana Society’s record LAHORE

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National Accountability Bureau (NAB) team has raided the Paragon Housing Society ofQice and seized the relevant record. However, a NAB spokesman said no one could be arrested during the raid.

Railways Minister Kh Saad RaQique is often attributed to the Paragon society, but he has denied owning

it. The National Accountability Bureau (NAB) on Thursday informed the Lahore High Court (LHC) that the arrest of former head of Lahore Development Authority (LDA) Ahad Khan Cheema in Aashiana-e-Iqbal housing scheme scam was done after meeting all legal requirements. A written reply, Qiled before a two-judge bench on behalf of the NAB Lahore DG, said, the Bureau had initiated an inquiry on complaints received about the provincial government’s housing project. Cheema being the then LDA director general was

summoned more than once but he failed to appear before the investigation team. The bench led

by Justice Ali Baqar NajaQi

adjourned further hearing of the petition till March 7 as the counsel for Cheema was not available due to his appearance before the Supreme Court in Islamabad.

The reply further stated that the NAB obtained physical remand of Cheema from an accountability court till March 5. It urged the court to dismiss the petition Qiled

by Cheema for being not maintainable as arrest could not be challenged during physical remand. The former head of the LDA had challenged his arrest through Advocate Azam Nazir Tarar with a plea that the NAB violated the re-

Published by M S Raza Off# 42, 3rd Flr Gull Plaza M.A Road Karachi, Printed by (Ibne Hassan Offset Printing Press, Shop No. 33 to 36 , Hockey Stadium, Karachi).

lated laws before his arrest.

The counsel previously argued before the court that the petitioner had provided all the required information to the NAB. However, he said the Bureau got offended with the petitioner’s response and arrested him. He said the petitioner was transferred from post of LDA director general on April 28, 2016 and record of the said project was not in his possession. He said the housing project was assigned by Punjab Development Company through an agreement on Jan 20, 2015 to the LDA when the petitioner was its director general.