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pAkISTAN’S fIRST INDEpTH NEwSpApER oN cUSToMS

Daily

Vol 1 Issue No. 224

Karachi, Wed November 4, 2015

ISLAMABAD

NAEEM ULLAH TARIQ www.customsbulletin.com

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he Federal Tax Ombudsman (FTO) has directed the Federal Board of Revenue (FBR) to conduct an inquiry into the matter of issuing defective National Tax Number (NTN).

Sources told Customs Today that the

FTO, while expressing concerns over misuse of authority by the FBR Sield ofSices staffers, directed the board to investigate the issuance of defective NTN by RTO/PRAL, Faisalabad. The FTO passed the directions after completing investigations into an alleged matter of issuing defective NTN in the name of a Lahorite, Ali Mansoor Khan.

Defective NTN was formulated and op-

Price Rs. 14.00

erated by the Faisalabad Sield ofSice, the complainant identiSied in a plea submitted to the FTO. Ali also submitted that the NTN was issued unilaterally by the FBR ofSicials and thereafter certain amendments were made too. The FTO, in its inquiry, also found that Ali was showed as an associate of Faisalabad based Al-Khawan Enterprises by formulators of defective NTN account.

New DG Intelligence, Investigation Imtiaz Ali assumes charge

Majid Yousfani’s Appraisement-East undergoes renovation

Quick money transfer : Sindh Bank partners with MoneyGram

Lutfullah Virk’s tireless efforts for Customs Intelligence to be remembered

Brazil ready to help Pakistan in energy, agriculture sectors

DG Customs Intelligence Imtiaz Ali will assume the charge on 3rd Nove, 2015 | SEE pAgE 02 |

The renovation and rehabilitation work at the MCC Appraisement East | SEE pAgE 03 |

Sindh Bank and MoneyGram have signed an agreement to provide money | SEE pAgE 04 |

OutgoingDGCustomsIntelligence(IandI) LutfullahVirkhasgivenhisprecious34years | SEE pAgE 12 |

Brazil is the 7th largest economy of the world with lot of experience | SEE pAgE 09 |

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293,000 tax returns filed online in October: RTO-III addl commissioner Wednesday, November 4, 2015

National

KARACHI: The Federal Board of Revenue (FBR) has collected Rs 223 billion during the month of October, 2015. While Rs 183 billion were collected during the same period of previous fiscal year.

Additional Commissioner Regional Tax Office-III Malik Mumtaz told Customs Today that 293,000 tax returns are filed online. The FBR collected Rs 814 billion from July to October during current Fiscal Year, while Rs 725 billion were collected during the same period of last year. He said that the ratio of tax collection is less, but they are optimistic that they will definitely achieve revenue target by the end of current Fiscal Year.

New Intelligence, Investigation Dg Imtiaz Ali assumes charge

LAHORE

ISLAMABAD

MUHAMMAD NAwAZ

M fAIZAN

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he Customs Appellate Tribunal (CAT) heard 40 cases on Monday and not a single case has been decided. Tribunal chairman and member judicial bench-I Ghulam Murtaza Bhatti heard one case of PEL versus customs Lahore in single bench. The two member divisional bench comprising Chairman/member Judicial Ghulam Murtaza Bhatti and member technical Khawaja Omer Mehdi heard 39 cases. Divisional bench heard the cases of Fas Tub Mills versus customs Lahore, CM Pak, S Mehmood and Furruk Mehmood versus customs Lahore, Ahsam Mehmood versus customs Lahore, Bert and Quien versus customs Lahore, Malik Zaheer, Jamshed Iqbal versus customs Lahore, Jamshed Iqbal versus customs Lahore, Wateen wimax versus customs Lahore, collector customs Faisalabad versus Muhammad Ahmed, director intelligence and investigation versus Rozi Khan, Shafqat Ali versus customs Lahore, Baber Ijaz versus customs Lahore, , Sakhi Dad versus customs Faisalabad, First Look Ent versus customs Faisalabad, Salman Aziz versus customs Faisalabad and other cases on Monday.

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ew Director-General Customs Intelligence and Investigations Imtiaz Ali Khan will assume the charge on 3rd November, 2015 (today). The notiSication of his appointment was issued on 31st October, 2015. A government vehicle is already dispatched to Lahore to bring new Director-General.

Sources told Customs Today that Imtiaz Ali Khan is well-reputed official of Pakistan Customs who is among one of most senior officials of Pakistan Customs. After assuming the charge of his new post, he will be briefed about different cases such as TCS, Smart Zone, Ayyan Ali money laundering case and other cases of important nature. A briefing note is already prepared in this effect.

It is pertinent to mention here that new Director General Intelligence and Investigation is very much a disciplined person, like his predecessor Lutfullah Virk.

He is used to dispose off cases on priority basis.

Meanwhile, Imtiaz Ahmed Khan, a BS-21 ofSicer of Pakistan Customs Service, has been transferred and posted as Director General, Directorate General of Intelligence & Investigation, Islamabad with imme-

customs Appellate Tribunal hears 40 cases on Monday

diate effect.

The notiSication of the ofSicer’s transfer was issued despite ofSicial holiday on Saturday. The notiSication was issued before Federal Board of Revenue Chairman Tariq Bajwa’s departure for Dubai to at-

tend a meeting with IMF. Imtiaz Ahmad Khan, who was posted as Director General, Directorate General of IPR, Lahore, has a good reputation as an honest ofSicer.

According to the notification, the officer if drawing performance al-

lowance, he will continue to draw this allowance on the new place of posting. The officer has been directed to relinquish/assume charge, using online HRMS facility made available to FBR or by using his IJ P logins.

LHC asks police to present record in drug smuggling case LAHORE

MUHAMMAD NAwAZ www.customsbulletin.com

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he Lahore High Court (LHC) has ordered the police to present all the record against accused Akbar Ali in a drug smuggling case as the appellant has Siled a bail application in the court.

According to details, a two-mem-

ber bench comprising Justice Abdus Sami Khan and Justice Shehram Sarwer conducted the hearing of the bail application of the suspect.

The counsel for accused, Nadeem Ahmed Nadeem, argued before the court that on July 27, 2015 the police of Tarkhani District Faisalabad arrested the suspect and registered a case of drug smuggling against him. The counsel argued that Additional Sessions Jugde Summandri Irfan Saeed heard the case and declared the accused as a culprit. The

counsel added that Sive other cases had been lodged against Akber Ali and the trial court disposed of the bail application of the accused without seeing the record against him.

The counsel asked the court to accept the bail application and order his release. After hearing the arguments, the court asked Investigation OfSicer Abdul Qayyum for the record of other Sive cases against the accused. The investigation ofSicer stated that he is unaware of the other Sive cases.

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Customs Intelligence seizes 40mt cloth from Peshawar PESHAWAR: Director General Customs Inelegance and Investigation (I and I) Peshawar has confiscated 40 metric tons cloth and other contents worth of millions of rupees from different warehouses in bus terminal area of Peshawar.

On the directives of Director General Customs I and I Lutfullah Virk, the Customs intelligence raided various locations and confiscated non-duty paid items i.e. generators, bicycles chassis, LCDs etc .According to the sources, DG Lutfullah Virk has appreciated the efforts of the officials who took part in raids in which Customs seized a large number of non-duty paid material.

faisalabad customs confiscates smuggled pine nuts worth Rs 10.21m

Wednesday November 4, 2015

National

Renovation work at Majid Yousfani’s Appraisement-East begins

FAISALABAD

NAEEM SHEIkH

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he Customs Intelligence and Investigation (I and I) Faisalabad has seized 15,218 kg of smuggled unprocessed pine nuts worth Rs 10.21 million. Sources told Customs Today that Customs Faisalabad received credible information through Additional Director Azmat Tahira that pine nuts is being smuggled from Afghanistan and transported from FATA into Lahore. Following the information, Customs Faisalabad raided Pensra city jhang road Faisalabad and found smuggled pine nuts. Accused who was identified as Amin Khan, son of Dameen Khan, is a resident of Kingar Jan Bahadar Tehsil and District Bannu.

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RTo-III issues notice to Inland Revenue inspector KARACHI

ZULfIQAR kUNBHAR www.customsbulletin.com

he office of the Chief Security Officer, Regional Tax Office-III (RTO-III), has issued a notice to Akhlaq Ahmed, Inspector of Inland Revenue (IR), RTO-III Karachi to explain his absence from official duty from October 19, 2015. The said official failed to join the duty in his office after his transfer from CCIR Office order 2096 of October 19, 2015. He was asked to reply why he was not able to resume his duty w.e.f October 19, 2015 since his absence is being marked from the same date. Chief Secretary Officer mention in letter that the non-serious attitude of the said employee towards official duties is ‘misconduct’. He said that the RTOIII is providing him an opportunity so that the necessary legal/disciplinary action may not be taken against him, the notice added.

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KARACHI

AfTAB cHANNA

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he renovation and rehabilitation work at the Model Customs Collectorate MCC Appraisement East has been started, while the ofSice of Collector Majid Yousfani and his staff is changed, Customs Today learnt.

The MCC Appraisement East has been located on the ground Sloor at rear side of the Custom House building and the ofSice of Collector Appraisement East is established on the Sirst Sloor.

The renovation/rehabilitation work has been started two days ago because the ofSice was small and it did not get any proper care and rehabilitation since long, sources told Customs Today. The sources informed that the ofSice of Collector MCC Appraisement East has been shifted to a smaller room for quite sometime while the renovation is in full swing that would be completed soon, sources concluded.

Moreover, the ofSice of staff to Collector MCC Appraisement East and the conference room are also under renovation process.

Meanwhile, With an aim to extend maximum facilities to the taxpayers, Collector Model Customs Collectorate MCC Appraisement East Majid Yousfani has introduced concept of ‘Golden Chair’ of the Malaysian Customs.

During an exclusive interview

with Customs Today, the ofSicials of Pakistan Customs are duty bound to facilitate the taxpayers and provide maximum cooperation and support to resolve their genuine issues on the spot, if possible, the collector said.

“When I was in Malaysia on a training a few years ago, we were informed that there was a Golden Chair at Malaysian custom where a taxpayer used to sit and gets his issues resolved. The idea clicked my mind and I strongly instructed all

Appraisement-East is located on the ground floor at rear side of the customs House building and the office of Appraisement-East collector is established on the first floor.

Customs officials deny pressurising Ayyan’s witnesses ISLAMABAD

M fAIZAN

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uper model Ayyan Ali said in her plea for acquittal in Customs Court that she is falsely being indulged in money laundering case. Sources told Customs Today that in her plea Ayyan Ali said her witnesses including Najeeb Ha-

roon, Mumtaz Hussain and Mohammad Awais are being pressurised to issue different statements.

Customs ofSicials denying all these allegations said that Customs Preventive did not have any authority to Sile a case so how can they pressurize people who are already in Dubai. Customs authorities said that arrest warrants of these people were issued by Customs Court.

They also said that Airport Security Force have a right to arrest persons involved in any illegal activity and

hand over them to relevant department. On the other hand, Ayyan Ali adopted the stance that she was waiting for her brother in departure lounge and she wanted to hand over the amount to her brother. She said that she possessed a valid visa and air ticket for travel to Dubai.

Authorities are also determining the arrival of his brother as there was no Slight coming from Islamabad that night. Due to these reasons, her application may be declared invalid.

the staff of the MCC Appraisement East to facilitate the taxpayers”, Collector Majid Yousfani added.

According to Collector Majid Yousfani, the top ten taxpayers during the month of September 2015 are Fauji Fertilizer with Rs 1.761 billion taxes paid, Indus Motors with Rs 1.469 billion, Engro Chemicals Rs 1.369 billion, Pak Suzuki Rs 981 million, NTDC Rs 916 million, International Steel Rs 892 million, Dera Ghazi Rs 671 million, Sadiq Feed Mill 690 million.

Faisalabad Excise to transfer some staff xcise and Taxation (ET) Faisalabad has decided to transfer some of its employees to other departments. According to administration officer Shahid Mehmood Gilani, Exise and Taxation Faisalabad, that due to shortage of staff in other departments it has decided to transfer some staff of Excise Faisalabad to other departments.—CB Report

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Cotton exports up 10% in Q1 of FY16 Wednesday, November 4, 2015

Business

KARACHI: The country’s raw cotton exports registered a 10 percent growth during the first quarter of current fiscal year (FY16) because of lower commodity prices in the domestic market and higher demand on the international front. Exporters told that domestic cotton prices were on the lower side in the initial months of crop arrival that attracted the foreign buyers for cotton procurement.

They said India, Indonesia and Vietnam were leading buyers of Pakistani cotton, while Bangladesh also procured some commodity during the first three months of this fiscal year.

kSE gains 44pts as last session witnesses volatility KARACHI

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he Karachi stock Tuesday shed some early gains but remained in green zone as the benchmark KSE-100 index gained 44.45 points to take the tally to 34270.57 points level.

The market recorded the highest trading level of 34332.55 points and lowest level of 34226.12. Total volume of market remained

Lpg price raised by Rs 8/kg ISLAMABAD

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he LPG marketing companies on Monday announced an increase of Rs 8 per kilogram in the price of liquefied petroleum gas (LPG) citing increase in taxes, high international prices and rupee depreciation as the main reason for the hike. “This is just a small increase and if the government failed to reduce taxes on the import of LPG, the rates will go abnormally high,” warned Secretary LPG Distributors Association of Pakistan.

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81,986,130 shares, having value of Rs4.685 billion. Out of total 342 companies, 156 remained up, 165 down and 21 were unchanged.

The three top traded companies

were TRG Pak Ltd with a volume of 13,793,500and price per share of 37.75 (0.10), K-Electric Ltd with a volume 12,222,500 of price per share of 7.69 (0.03) and Jah.Sidd

Co with a volume of 11,204,500 and price per share of 21.71 (0.37).

Earlier, the Karachi Stock Exchange regained the overnight losses as benchmark 100-index gained 78.99 points to reach 34305.11 level, with the total volume of 31,929,960 shares till midday. On Monday, the KSE-100 index lost 35.49 points to close at 34,226.12 points as compared to 34,261.61 of the previous session.

The KSE-30 Index added 15.25 points and closed at 20,432.64 points against 20,417.39 points of the last closing.

US company running Nandipur plant, not gencos’ experts ISLAMABAD

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he much-touted Rs58 billion Nandipur power plant that witnessed many upheavals in becoming operational is at present not being run by the human resources working in the public sector Gencos, rather it is the US-based company General Electric and its subcontractor Albario Engineering

Private Ltd is currently running the plant, a well-placed senior ofSicial at the Ministry of Water and Power told The Customs Today.

A two-man expert team and skilled labour has been provided by the GE and its contractor to run the plant till the selection of the O&M contractor through transparent process is made, the ofSicial said, denying the impression that manpower that is working in different public sector Gencos are running the project. The project is right now generating 210MW of electricity that keeps on oscillating between

200MW and 450MW because of the constraints of Fuel Oil Treatment Plant (FOTP). However, the GE and Albario will charge from management of Nadipur for the experts and labour that both the private sector entities have extended for making the project operational. The existing FOTP’s capacity to treat the furnace oil stands at just 60 percent owing to which the Nandipur power plant is unable to produce 425MW round the clock. However, the plant will continue to produce the average price of almost over 300MW per day in the eight months period.

Quick money transfer: Sindh Bank partners with Moneygram KARACHI

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indh Bank and MoneyGram have signed an agreement to provide money transfer services in Pakistan, enabling the customers to pick up funds from friends and family members around the world at more than 225 Sindh Bank locations in 111 cities across Pakistan. The venture would extend MoneyGram's network in Pakistan to almost 4,300 locations across the country. According to the World Bank, more than 90% of the population of Pakistan is currently unbanked, and many residents depend on money transfers from family members to pay for everyday life essentials.

"MoneyGram's agreement with Sindh Bank offers customers more choices when they need to pick up funds," says MoneyGram's Senior Regional Director for MEPA countries Maher Haddad. "Adding Sindh Bank to our agent network in Pakistan aligns with our strategy to deliver access to financial services to unbanked and under-banked customers in Pakistan."

MoneyGram's Country Manager for Pakistan Reza Samad said the company's mission is to connect family, friends and loved ones through reliable, 10-minute transfers.

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oil prices up in Asia ahead of US crude inventories report SINGAPORE

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il prices rebounded in Asia Tuesday, buoyed by bargain hunting ahead of the release of US government data that will gauge crude demand in the world´s biggest economy.

Analysts expect the data to be released Wednesday by the US Energy Department to show that

commercial crude stockpiles rose in the week to October 30 which typically means weaker demand in the world´s top oil consuming nation. Despite occasional rallies, oil remains generally bogged down by a global crude supply glut that has outpaced demand and depressed prices for more than a year.

"Expectations of more US stockpiles restrained oil bulls," said Bernard Aw, market strategist at IG Markets in Singapore.

A global economic slowdown led by China has hammered demand for the commodity and highlighted worries that there may not be enough economic activity to soak up excess supplies as output levels from oil producing nations remain high.

China´s official purchasing managers index for the manufacturing sector showed activity shrank in October for the third straight month. Russian oil production

broke a post-Soviet record in October, climbing to 10.78 million barrels per day, according to Bloomberg News.

At around 0310 GMT Tuesday, US benchmark West Texas Intermediate for delivery in December was up 16 cents at $46.30 and Brent crude for December was trading 11 cents higher at $48.90 a barrel.

At around 0310 GMT Tuesday, US benchmark West Texas Inter-

mediate for delivery in December was up 16 cents at $46.30 and Brent crude for December was trading 11 cents higher at $48.90 a barrel. Prices dipped on Monday after data showed China´s manufacturing output continued to contract and Russian oil production hit a new record high.

Current price levels are more than 50 percent lower from their peaks in June 2014 when a barrel of oil was selling at over $100.

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co customs f o l e d o M s 3069.43 Multan R ve be es ha sales tax e set t h against t lion mil 2059.88 f octob month o yea c economi

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MULTAN

IMRAN ALI www.customsbulletin.com

he Model of Customs Collectorate Multan has made a net collection of Rs 3383.67 million during the month of October in the on-going fiscal year 2015-16.

Almost Rs 3069.436 million sales taxes have been collected against the set target of Rs 2059.88 million during the month of October in current economic year 2015-16. MCC Multan attained the 149 percent target in October due to their effective collection. Sales tax collection raised high in October and it has been achieved almost 149 perecent in October. The MCC upsurges the sale tax collection with the passage of time during the current fiscal year.

In October 2015, the MCC has effectively collected customs duty of Rs e t a 284.276 million. ollector According to n 36 millio the current d

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cte een colle Rs target of the n during t rren ber in cu 6. ar 2015-1

Wednesday, November 4, 2015

statistics, the Customs collectorate has collected Rs 2185 million customs duties during the first four months of the previous FY 201415. Multan Customs collection witnessed the shortfall of Customs duty in the corresponding year last year.

Nearby Rs 13.54 million of federal excise duty has been collected by Multan Customs in October this year. So far MCC has collected revenue of Rs 33.606 million federal excise duties during the first four months of economic year 2015-16. The Customs Collectorate has collected withholding taxes of Rs 16.42 million and department managed to collect Rs 92.128 million throughout the first four months of FY 2015-16.

Meanwhile, Collector Sarfraz Ahmad Warraich Model of Customs Collectorate (MCC) Multan has met with President Multan Chamber of Commerce and Industry along with members at the Customs House Multan.

MCCI President Fareed Mughees Sheikh has visited the MCC Multan Office to discuss the various issues of local industry relating Customs department. Almost 16 members from MCCI including President Fareed Mughees , senior vice president Mian Atta Shafee,Tanvir Sheikh ,Vice President Muhammad Tariq ,Mian Mughees Ahmad Sheikhm Malik Israr Ahmad

Awan,Khawaja Muhammad Usman and other members were present in the meeting with Collector along with Additional Collector Ghulam Mustafa and Deputy Collector Farhat Ali from Multan Collectorate .

Business Community also raise challenges that they are facing in the process of import and export from newly built Multan International Airport. Fareed Mughees Sheikh informed Collector that MCCI Multan have adopted very strict policy at the Multan International Airport due to which business community face multiple issues. We are trying to facilitate the passengers as well as business community of this region by adopting standard procedures required to ensure monitoring at the newly built Airport. Airport has connected this South Punjab with the business world and this newly built cargo terminal at the MIA will flourish the industry of this region very soon Collector expressed. He told that possibility of mango export and other vegetables from MIA upswing a lot which would benefit the national export and import in future.

Collector Sarfraz Ahmad Warraich told them that his doors are always open for them to resolve any concern regarding his department and he would try his level best to facilitate the business community of this region.

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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

why cpEc is important

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World Bank report projects the expected increase in the foreign investment in Pakistan to 15.4 percent of the gross domestic products by 2017 after the completion of the projects related to the energy and infrastructure development under the ChinaPakistan Economic Corridor (CPEC).

According to the report, various businessmen in Canada, the United States, Australia and European Union have shown their interest in launching business ventures in Pakistan in collaboration with their local counterparts.

Though a recent World Bank report shows that Pakistan has shed 10 points in the world ease of doing business index, the government has multiplied its efforts to attract maximum foreign direct investment after the signing of CPEC projects with China. Under the landmark CPEC project, Gwadar port will be connected to the Chinese city of Kashgar and will emerge as new business and trade hub after the revival of the Silk Road. The 2,100-kilometre-long corridor project, costing $46 billion, will entail special economic zones, road and rail network as well as airports.

The world is changing at a fast rate and countries are coming close to each other.

However, despite close friendship between the governments of Pakistan and China, people are generally foreign to each other due to cultural, language and geographical barriers. As Gwadar is a new gateway of China to the Arabian Sea, the two nations are trying to walk into the future together.

China has already built a new section of Karakorum Highway with a hope that the ambitious corridor project will complete in time despite hostilities from India and some other countries. It is hoped that the United States will also involve itself in the project as a partner and not as a rival.

Afghanistan and the countries of the Central Asia should also join the corridor to open the opportunities of development, investment and prosperity. After completion of the project, the Chinese goods would easily find a way to the markets in Africa, the Middle East and Europe through the saltwater port of Pakistan.

The revival of the centuries-old Silk Road, connecting China with the Middle East and the rest of the world will usher in an era of economic development not only in Pakistan and China, but also in the region.

Pakistan can also facilitate the SAARC countries, a home of three billion people, to market their goods in Afghanistan and central Asian states. The corridor has the potential not only to reduce the cost, but also time of transportation. It is the time the South Asian countries should forget the bitter past and look toward a bright future.

construction sector as driving force I

LAHORE

DR AfTAB AfZAL

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n its latest report, Standard and Poor’s, an international rating agency, has referred to the construction sector of the country as one of the components essential for the growth of the economy. The agency projects the economic growth of the country at 4.5 percent from 2015 to 2018 provided the Slow of remittances continues at the current rate, electricity supply is improved and foreign investment are increased.

The agency also points out another issue that is related to the budget deSicit and it can only be achieved if the government takes austerity measures. Due to drop

in the prices of crude oil in the international market, inSlation is likely to remain at Sive percent.

The agency has maintained Pakistan’s rating at B and B- with a positive outlook.

Earlier, while keeping the rating of Pakistan’s foreign bonds in B3 category, the agency had warned against slow-pace of economic growth in the country.

However, it also said that ChinaPakistan Economic Corridor (CPEC) will boost economic growth and increase foreign investments. The project will also improve transport and energy sectors in Pakistan. The B3 rating reSlects moderate economic strength with a supply-constrained economy that has been resistant to structural change. De-

spite having a large scale of economy, the country has one of the lowest per capita incomes in the region. It is hoped that the economic corridor will attract foreign investment in transportation and power generation sectors.

It is unfortunate that the government has started deducing withholding tax even on small saving schemes. The agencies also pointed out lack of cooperation between institutions which create obstacle in continuance of the policies. As a matter of fact, the consumer price index, risk ratings and composite numerical Sigures help understand the state of the economy. The government should also take the security issue seriously as terrorists activities are continuing across the country de-

spite tall claims of the government that operation against terrorists bears positive results. It is said that actions speak louder than words. The government should have to stop lip service and should do some serious homework to stop terrorist activities.

As the Standard and Poor’s pointed out, the construction sector of the country can be a driving force for the overall development of the economy as middle class of the country is growing with leaps and bounds.

New housing colonies are being established in every city of the country, giving impetus to various industries associated with the construction sector. However, the government has to concentrate on security issues.

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RCCI organises first Made-in-Pakistan exhibition in Dushanbe RAWALPINDI: The first Made-in-Pakistan exhibition was held in Dushanbe (Tajikistan) to introduce local Pakistani products in Central Asian Markets.

The three-day exhibition was organised by the Rawalpindi Chamber of Commerce and Industry (RCCI) from Oct 29 to 31st. The exhibition started with opening ceremony at State Complex Kokhi Borbad followed by Business Forum for entrepreneurs of Tajikistan and Pakistan. Thirty exhibitors from leather, Paint, Pharmaceutical, food, logistics, IT, Textile, furniture, Kitchen ware, handicraft and surgical items sectors displayed their products. On the occasion a MOU was signed between Rawalpindi Chamber and Chamber of Commerce and Industry of the Republic of Tajikistan to share business information, technical assistance and arrangement of business meetings.

LccI to prepare report on ‘Ease of doing business in pakistan’

Wednesday November 4, 2015

Chambers

Brazil ready to help pakistan in energy, agriculture sectors B

ISLAMABAD

cUSToMS BULLETIN REpoRT www.customsbulletin.com

he Lahore Chamber of Commerce and Industry started work to prepare a report on “Ease of doing business in Pakistan”.

The objective of this initiative is to identify the hurdles coming in the way of businesses and to suggest doable solutions to the government.

The decision was made by the LCCI senior vice president Almas Hyder and endorsed by the LCCI president Sheikh Muhammad Arshad and vice president Nasir Saeed.

The project is being spearheaded by the LCCI senior vice president Almas Hyder who has sufficient command over the challenges being faced by the business community. This great imitative would help raise Pakistan’s competitiveness at global market place. The LCCI office-bearer said that the economic signals are not as good as being portrayed. A recent report has revealed that Pakistan has further slipped down as far as ease of doing business is concerned.

“Ease of doing business in Pakistan averaged 107.63 from 2008 to 2015, reaching an all time high of 138 in 2015 and low of 85 in 2009 according a World Bank Report”, they said.

The Lahore Chamber of Commerce and Industry was holding meetings with trade and industrial associations to gather the challenges being faced by them and their impact on economic activities.

The LCCI president Sheikh Muhammad Arshad said that cost of doing business is one of the major hurdles hampering the growth of all sectors of economy whether it is manufacturing or agriculture. —CB Report

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razil is the 7th largest economy of the world with lot of experience and expertise in various fields and it was ready to cooperate with Pakistan in overcoming its problems in energy, agriculture and other sectors, observed Claudio Raja Gabaglia Lins, ambassador of Brazil while addressing business community at Islamabad Chamber of Commerce and Industry. He said Brazil has annual bilateral trade of US$ 78 billion with China, US$ 11 billion with India and now it was interested to improve trade volume with Pakistan as Pakistan was a potential country for business. He said Pakistan and Brazil have been negotiating since long for setting up of a Pak-Brazil Chamber of Commerce and desired that its establishment should be expedited that will help in promoting business linkages and improve bilateral trade between the two countries.

He said Brazil was going to host the Olympics next year and it was a good opportunity for Pakistani busi-

nessmen and people to visit Brazil for exploring business and peopleto-people contacts. He assured that embassy of Brazil will facilitate Pakistani entrepreneurs in visiting his country. In his welcome address, Atif Ikram Sheikh, president, Islamabad Chamber of Commerce and Industry said that despite existence of a bilateral trade agreement between Pakistan and Brazil since 1982, the volume of bilateral trade was not in commensurate with the available po-

tential. Its main reason was that both countries were doing trade in a limited number of items and stressed that both should focus on more items to improve two-way trade. He said many Pakistani products including handmade carpets, towels and bed linen, quality onyx handicrafts, Basmati rice have good potential in Brazilian market. He said both countries could increase bilateral trade in many other areas including meat products, agriculture machinery &

Dubai Chamber to open 2 African offices next year

D DUBAI

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ubai Chamber of Commerce is to open two new ofSices in Africa next year – its third and fourth as the emirate seeks to forge closer trade links with the continent. The two ofSices will be in Nairobi, Kenya and Maputo, Mozambique, Arabian Business can reveal.

Deals have been signed to open the ofSices in the Sirst quarter of 2016.

Kenya is the Sifth largest economy in Sub-Saharan Africa and the chamber said it believed there are opportunities for closer integration between the two countries in sectors including tourism, ICT (information and communications technology) and logistics.

In particular, Emaar Properties and Jumeirah Group are among Dubai developers that have invested

in Kenya’s hotels sector.

A spokesperson from Dubai Chamber of Commerce said of the Nairobi opening: “We are looking forward to opening our new ofSice in Africa, in Kenya, in Q1 2016.

“Kenya is an important trade and investment partner for us as it is strategically located and a member of the East Africa Community and [trading bloc] the Common Market for Eastern & Southern Africa (COMESA).

“It is also the Sifth largest economy in the Sub-Saharan Africa with good economic growth and a dynamic market. We believe there are a lot of synergies between Kenya and Dubai in various sectors, such as tourism, ICT, and logistics, and this ofSice will help us strengthen our footprint in the country and the wider region.

“At the same time, it will help businesses from Kenya to take ad-

vantage of the opportunities that Dubai has to offer.”

On the Mozambique ofSice, the spokesperson added: “With a 500 percent increase in trade between 2004 and 2014, Mozambique is an important trade partner for Dubai with numerous opportunities for mutual cooperation.

“Our decision to open an office in Mozambique is reflective of our aim to increase our footprint in the country and to give the businesses the chance to capitalize on the 250 million strong consumer base as Mozambique will open doors to the wider Southern African Development Community (SADC), for us.”

Dubai Chamber of Commerce already has representative offices in Addis Ababa, in Ethiopia, and Accra, in Ghana.

The Ethiopia office opened in 2012 and the Accra office in January this year.

products, spices, juices, tea, coffee, auto parts, textiles, leather goods, granites, sports goods, fans and wood handicraft. He urged for frequent exchange of trade delegations to explore new areas of mutual cooperation. Sheikh Pervez Ahmed, senior vice president and Sheikh Abdul Waheed, vice president ICCI said Brazil should reconsider its high duty structures and strict regulations for import of health and other products so that more Pakistan.

fpccI election campaign at its peak he different groups have speed up their campaign for annual election of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI). In this regard, the core committee of United Business Group has visited Multan and Bahawalpur. Trade Development Authority Pakistan Chief Executive SM Muneer, who is also patron-in-chief of United Business Group (UBG), enjoying 85 percent overwhelming majority in FPCCI, said that the best of the best dedicated candidates, enjoying the highest degree of integrity especially the educated youth, would fielded against the one seat of Senior Vice President and 10 Vice Presidents including one woman with consensus in a democratic manner, he added.—CB Report

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Chinese Customs confiscates string players’ rosin Wednesday November 4, 2015

World

BEIJING: It has been reported that three string players have had their rosin confiscated when travelling to and from China in recent months.

In mid-October violinist Daniel Hope said that his rosin was confiscated when departing from Shanghai Pudong International Airport, after giving a concert at Shanghai Concert Hall.

Hong Kong-based cellist Trey Lee also claimed that his rosin was seized when leaving Shanghai airport, while a similar third incident was reported.

According to Klassikom, rosin is considered to be an explosive in both Shanghai and Guangzhou.

Malaysia customs seizes illegal cigarettes worth RM240k cUSToMS BULLETIN REpoRT www.customsbulletin.com

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Lebanon court charges Saudi prince over drug smuggling case rosecutors in Lebanon have charged a Saudi prince and nine other people with drug smuggling, a week after a record seizure at Beirut’s airport. The prince was not named, but he and four other Saudis were arrested after two tonnes of Captagon pills were found in cases being loaded on a private jet. The others charged in the case three Lebanese and two Saudis are at large.

Captagon pills, which typically contain amphetamine and caffeine, are consumed widely in the Middle East. The drug has helped fuel the conflict in Syria, generating millions of dollars in revenue for producers inside the country as well as being used by combatants to help them keep fighting.—CB Report

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SAN JUAN

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PASIR MAS

ustoms ofSicers seized 15,000 cartons of contraband cigarettes worth RM240,000 from a lorry in Setiu, Terengganu.

Kelantan Customs Department deputy director Mohd Nasir Yusof said the cigarettes were believed to have been smuggled from a neighbouring country.

A team of enforcement ofSicers seized the contraband about 12.30pm. Mohd Nasir said earlier, the team had trailed the lorry from Jelawat, Bachok in Kelantan and forced it to a stop in Kampung Fikri, Setiu. “At that juncture, the driver abandoned the vehicle and Sled,” he told reporters in Rantau Panjang.

Meanwhile, The Malaysian Timber Industry Board (MTIB) reported timber sector exports of RM10.46 billion (approx. US$ 3.77 billion) in the Sirst half of the year. Wooden furniture exports accounted for the biggest share of wood product exports at RM3.33 billion (31.8% of the total).

US customs seizes hazardous toys at port of San Juan

Plywood exports ranked second at RM2.25 billion (21.5%) followed by sawnwood exports at RM1.47 billion (14.0%). Log exports comprised just under 10% of all wood product exports at RM998 million in the Sirst half of this year.

Exports of wooden furniture were mainly from manufacturers in Peninsular Malaysia. Furniture exports from Sabah and Sarawak combined contributed barely 1% to total furniture exports.

On the other hand, Sarawak is the biggest exporter of plywood (918,286 cu.m or 72% of Malaysia‘s

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total plywood export) and exporters in Sabah shipped 248,500 cu.m accounting for another 20% of total plywood exports. Plywood mills in Peninsular Malaysia shipped 102,280 cu.m or 8% of total plywood shipments.

Peninsular Malaysia was the leading exporter of sawnwood at 636,340 cu.m followed by Sarawak 276,080 cu.m and Sabah 107,000.

Companies in Sarawak dominated the log export trade by Malaysia shipping around 1,388,900 cu.m or 88.7% of total log exports in the Sirst half of this year.

Australian dairy export grows ustralian dairy exports have grown in value by almost 10 per cent so far this Sinancial year, according to the latest statistics from Dairy Australia (DA). DA’s export report for trade to the end of August shows the total volume of exports grew 10 per cent and the value 9.6 per cent. The increased volume came mainly from skim milk power,

with exports up 34.7 per cent. Increased volumes of whole milk powder, milk, cheese and other dairy products were also exported. But there have been declines in the amount of whey products, butter and mixtures exported. The biggest increase in value was in whole milk power up 47.3 per cent compared with the same time last year.—CBReport

S Customs and Border Protection (CBP) ofSicers at the Port of San Juan recently seized hazardous toys in four different shipments which arrived between August and September, 2015, with a combined estimated domestic retail value of over $100K. The toys were found to contain hazardous substances that could represent a risk for children.Toys with hazardous substances can represent a risk for young children Working closely with U.S. Consumer Product Safety Commission (CPSC) compliance investigators, CBP ofSicials detained several ship-

ments of toys from China on 4 separate incidents between the months of August and September of 2015.

All of the toys were seized in October 2015, after CPSC laboratory analysis determined that they contained lead in excess of the limit which may be harmful to the health and safety of children.

Children’s products, including toys, which are designed or intended primarily for use by children 12 years of age or younger, must not contain a concentration of lead greater than 0.009 percent (90 parts per million) in paint or any similar surface coatings. “Import safety is a priority trade issue for CBP,” stated Edward Ryan, San Juan Assistant Director of Field Operations in the area of Trade.

Hong kong customs seizes batch of electronic goods worth $2.2m

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ong Kong Customs yesterday detected a suspected case of smuggling at Lok Ma Chau Control Point and seized a batch of electronic goods with a total value of about $2.2 million. Customs ofSicers intercepted an outgoing lorry, declared to contain plastic toy accessories, for Customs clearance at Lok Ma Chau Control Point yesterday.

During inspection, ofSicers found a batch of electronic goods, namely about 142 200 integrated circuits, 900 mobile phone motherboards, 400 pieces of computer random access memory and 6 100 USB Slash drives, mingled with the manifested cargo. The 53-year-old male driver was arrested. He has been released on bail pending investigation. Under the Import and Export Ordinance,

the maximum penalty for attempting to export unmanifested cargo is a Sine of $2 million and imprisonment for seven years. Meanwhile, Mainland customs ofSicials seized about 6,000 Hermes, Prada and other luxury-brand goods worth about HK$440 million from suspected members of syndicates who used Hong Kong as their transshipment point. The groups bought the luxury handbags overseas and asked the sellers to deliver them to Hong Kong warehouses through courier service, according to a Metro Daily report.

From there, the groups employed young and pretty ladies to take the luxury items across the border, each time carrying only one or two items so as not to arouse the suspicion of customs inspectors.—CB Report

Uk begins work on first permanent military base in Bahrain

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LONDON

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he United Kingdom has started construction of its Sirst permanent Middle East military base in Bahrain, a sign that it is fortifying its military presence in the region. The base, in the Mina Salman Port in Bahrain, is the Sirst perma-

nent British presence in the region after the country formally withdrew in 1971, ceding independence to the Gulf states. The new military station will host ships such as destroyers and aircraft carriers, according to ofSicials. The ground breaking ceremony for the naval base was done on October 31, Bahrain’s news agency BNA reported.

British Foreign Secretary Philip

Hammond, who was on the ground to Slag off the event, later tweeted that the new royal navy base is a “symbol of UK’s enduring commitment to Gulf security”. Bahrain’s Foreign Minister Sheikh Khalid Al Khalifa said that the new base would further cement the partnership between both countries and help the troops to carry out their duties effectively.

British ships have had a temporary presence in Mina Salman Port, which is also home to the United States Navy’s Fifth Fleet.

The military navy base will be built at a cost of $23m (Dhs 85m).

The majority of the sum will be funded by the Bahrain government, while the UK government will pay ongoing costs, according to an earlier report.

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Gujarat ports asked to hoist cyclone warning signal-II AHMEDABAD: As a depression over the Arabian sea off Mumbai coast intensified into a cyclonic storm, the Gujarat Meteorological Centre on Thursday asked the authorities of all the ports to hoist warning signal-II, though the storm is not likely to have any impact on the state’s coast. At present the cyclone, named ‘Chapala’, lays centred in the east-central Arabian sea, about 1,090 km from Mumbai. According to Meteorological norms, Distant Warning signal No. II (DW II) is hoisted when the system gets intensified into a storm but remains at sea. “Yesterday’s depression over east-central Arabian Sea and adjoining areas has today intensified into a cyclonic storm ‘Chapala’ and lay centred over east central and adjoining west central Arabian sea, about 1,090 km southwest of Mumbai.

global notebook shipments grow 11.1% to 43.17m units in Q3 ccording to analysis by the global research firm TrendForce, global notebook shipments grew above expectations by 11.1% quarterly to 43.17 million units in the third quarter. However, this figure also represented a 5.7% year-on-year drop.

Meanwhile notebook demand remained strong in the U.S. and started to pick up in China. The stabilization of currency exchange rates has also resulted a gradual turnaround in the European notebook market. Anita Wang, TrendForce notebook analyst, said that notebook brands will continue to expand their shipments in the fourth quarter. Besides introducing new models carrying Windows 10, vendors will also lower their prices to generate sales.—CB Report

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china’s Huawei smartphone shipments jump 63% in Q3 hina’s Huawei Technologies Co Ltd said third-quarter smartphone shipments jumped 63 pct yearon-year, helped by stronger sales of higher-end handsets as it seeks to shed its image as a budget device maker and challenge Samsung Electronics Co Ltd and Apple Inc. Shenzhen-based Huawei, the world’s third-biggest smartphone supplier by volume, shipped 27.4 million smartphones globally in the quarter ended September 30, the company told Reuters on October 27. Deliveries climbed 81 percent and 98 percent in China and Europe respectively from a year ago. About a third of the quarterly shipments were mid- to high-end models, it said, up from 25 percent a year earlier. Huawei doubled its China smartphone revenue in the first half of this year, defying a slowdown in the world’s biggest handset market.—CB Report

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Ports & Shipping

chinese port looks to Dubai for business development

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hina’s Ningbo port is looking forward to have cooperation with Dubai as part of its business development, said Jiang Wei, secretary of the board of Ningbo Port.

While talking on the sidelines of an Asian media trip to Ningbo Port, organised by China Daily, Jiang said there are shipping lines with Dubai, but no business cooperation has been started yet.

“Dubai is emerging fast as one of the leading ports and Ningbo is eagerly waiting for developing business relations with Dubai. We hope that would happen soon,” he said.

Consisting of various port areas including Zhenhai, Beilun, Daxie, Chuanshan and Meishan, Ningbo Port has most-large and super-large deep water berths in China, he added. One of the most ancient ports in China with more than 7,000 years of history, Ningbo Port’s history of opening up started 1,200 years ago with three vessels from Japan arriving at the port.

At present, the port already has business relations with over 600

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Morocco plans to build 5 major new ports by 2030 to boost infrastructure orocco is planning to build vive major news ports by the 2030 in an attempt to boost infrastructure. The Oxford Business Group (OBG), a global publishing, research, and consultancy firm, said that Morocco has “the right ingredients for future growth,” pushing ahead with the country’s effort “to dramatically improve and expand its regional port infrastructure.”

In its 2015 report, the Oxford Business Group discussed Morocco’s strategy to build new ports in an attempt to drive regional economic development. In its strategy to spur wider economic growth and improve trade, Morocco plans to construct five major new ports by the end of 2030. Under the framework of the “Stratégie Nationale Portuaire 2030,” launched in late 2012, Morocco aims to expand the number and improve the efficacy of its ports, which will enable it to enhance trade with its key trade partners and place itself as an economic gate to the African continent.

The same source said that Morocco is “investing substantially in its port infrastructure,” as “around 98% of Morocco’s external trade currently takes place via ports – equivalent to more than 100m tons per year,” with maritime ties between the country and its economic partners growing significantly. “The strategy, which includes upgrades of associated logistics and industrial hubs, seeks to build major new port facilities at Nador, Kenitra, and Dakhla, as well as commodity-focused ports.—CB Report

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ports across the world. In 2014, cargo throughput of Ningbo Port exceeded 526 million tonnes, which is ranked third in mainland China and fourth in the world. Similarly, cargo throughput surpassed 18.7 million TEU which is third in mainland China and Sifth in the world.

Wang Haijuan, director of the Information OfSice of the Ningbo Municipal People’s Government, said the city has opened doors to innovators and entrepreneurs in an extensive stride to achieve its developmental goals. Ningbo Week of Talent, Science

and Technology is one among the many moves taken by Ningbo in this regard. Started in 2006, the fair now sees more than 280,000 people from various countries visiting Ningbo.

More than 24,000 talents including overseas Chinese professionals are associated with the programme.

Liu Jun, who is heading the fair, said nearly 1,000 overseas talents shifted to Ningbo with their projects as a result of the programme. With the government offering subsidies, 168 companies set up business in Ningbo.—CB Report

Zhuhai port Holdings shares jump by 10.07%

ort infrastructure company Zhuhai Port Holdings Group Co Ltd has pulled off a coup of sorts by bagging a 6.5 billion yuan ($1.02 billion) construction order from China Overseas Port Holding Co, a Stateowned company which operates the Gwadar port in Pakistan. Zhuai Port shares jumped 10.07 percent on

Wednesday November 4, 2015

Thursday, the highest intraday gain in a month, after the development.

Gwadar, the Sirst foreign port in China’s Belt and Road Initiative, aims to link China with Africa, Europe and Southeast Asia for common development.

The Chinese company inked the deal ahead of the 2015 Guangdong 21st Century Maritime Silk Road Interna-

tional Expo, which kicked off on Thursday. According to Wu Yuping, business manager of China Overseas Port Holdings, the project will not only boost economic development in Balochistan province where the Gwadar port is located, but also connect Xinjiang Uygur autonomous region and other western provinces in China.—CB Report

port of Newport receives $2m grant from government

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NEW YORK

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he Port of Newport has received its Sirst grant toward rehabilitating its international shipping terminal. The $2 million grant from the federal Department of Transportation will be used to leverage more money from state sources to Sinish a shipping facility,

port ofSicials said. The international terminal is one of three deep-water ports in Oregon, with the entrance dredged to 40 feet deep. The new terminal, though, has not drawn much business since it reopened in 2014. While there are pending upgrades to Highway 20, the terminal doesn’t have convenient access to them. The $6.5 million shipping facility project would connect the ocean port with the Co-

lumbia River and highway. The pricetag includes money to develop a wetlands mitigation site, grade the property and then create a 10-acre area with asphalt, fencing, a small work shack, storm water collection, extension of water and sewer lines and transportation improvements to Southeast Bay Boulevard. “This is the Sirst step in obtaining Sinancing to complete the shipping facility,” said Newport Port General Manager

Kevin Greenwood. “This award shows that this is a serious project and that we now have cash to leverage against other grant opportunities.” Since the Port of Portland lost almost all its container shipping business earlier this year, agricultural exporters are looking for cheaper and more efSicient solutions to getting their products to ports in Seattle, the Bay Area or to Los Angeles.

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ANF foils attempt to smuggle heroin at Islamabad airport ISLAMABAD: The Anti-Narcotic Force (ANF) has foiled an attempt to smuggle heroin to Abu Dahbi at Benazir Bhutto International Airport (BBIAP) Islamabad and arrested the accused on the spot.

According to details, the ANF has recovered 120 capsules from Wahdat Khan which were eaten by the accused during searching at BBIAP Islamabad. The ANF sources added that the ANF team during checking of passengers of private airlines Flight no. NL-551 inquired from the accused as the team got doubted.

Wednesday, November 4, 2015

CUSTOMS BULLETIN

Lutfullah Virk’s tireless efforts for customs Intelligence to be remembered for long time ISLAMABAD M fAIZAN

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utgoing Director General Customs Intelligence and Investigation (I and I) Lutfullah Virk has given his precious 34 years to the government.

In his career, he is known as honest and punctual ofSicer who never indulged in any kind of wrongdoing. He has not taken any illegal beneSit from his department and he has maintained department’s discipline.

He spent his last year of government service as Director General Customs Intelligence (I and I). Last year of his service will be remembered for a long time in Federal Board of Revenue ((FBR), as he put his entire attention and efforts to curb smuggling from the country. He has directed to conduct number of crackdowns/operations in his tenure.

He punished corrupt ofSicers and awarded the honest ofSicers of the department. In his efforts against smuggling, he has done solid operations against Iranian diesel smugglers and curbed the smuggling. In a recent single raid, he conSiscated more than 500,000 liters of smuggled Iranian diesel. Pakistan State Oil (PSO)

has awarded him for his countless efforts to stop smuggling of Iran diesel.

He got fame from Noshera raid, where the Customs had impounded a

container loaded with explosive material which could possibly be used for terrorism.

Director General (DG) Inter-Ser-

vices Intelligence (ISI) has also praised his services, especially impounding of container loaded with explosive material. Now after the re-

tirement, he is not willing to do more government job but has decided to provide his expertise for government of Pakistan whenever needed.

DC Zakir Mohammad to ensure resolution of issues at Peshawar Dry Port PESHAWAR

NADIR kHAN

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he newly-appointed Deputy Collectors Peshawar Dry Port Zakir Mohammad has assured customs agents association and business community to resolve their problems and remove their reservations regarding parking of re-conditioned vehicles at the dry port.

Talking to a delegation led by

vice chairman, Customs Agents Association, the deputy collectors said that customs agents and business community is playing active role in the promotion of export through Peshawar Dry Port and it is responsibility of the government to provide all available facilities to the community to promote their business. He said that from the last several years the old modal reconditioned vehicles parked in Peshawar Dry Port has created multiple problems in parking area, due to which exporters are facing multiple problems.

Addressing on the occasion,

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vice chairman Customs Agent Association Ziaul Haq Sarhadi congratulated the newly appointed deputy collector and appraised him of the problems of the business community and customs agents. He said that around 305 reconditioned vehicle have been parked for the last two years which hamper the work of exporters and importers.

He said that due to lack of interest of Pakistan Railways export goods are being loaded on private trucks and after reaching Karachi for GD Siling, it is being export to foreign countries.