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Daily

Vol 1 Issue No. 223

Karachi, Tue November 3, 2015

ISLAMABAD

M FAIZAN

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mtiaz Ahmed Khan, a BS-21 ofOicer of Pakistan Customs Service, has been transferred and posted as Director General, Directorate General of Intelligence & Investigation, Islamabad with immedi-

ate effect. The notiOication of the ofOicer’s transfer was issued despite ofOicial holiday on Saturday. The notiOication was issued before Federal Board of Revenue Chairman Tariq Bajwa’s departure for Dubai to attend a meeting with IMF. Imtiaz Ahmad Khan, who was posted as Director General, Directorate General of

Price Rs. 14.00

IPR, Lahore, has a good reputation as an honest ofOicer. According to the notiOication, the ofOicer if drawing performance allowance, he will continue to draw this allowance on the new place of posting. The ofOicer has been directed to relinquish/assume charge, using online HRMS facility made available to FBR or by using his IJ P logins.

Deputy Collector Mueed Kanjo assigned new job at Multan Customs

Three-day workshop for BS-20 officers held at Customs House

Economy improving due to govt's prudent policies: Dar

Customs Quetta impounds 20 vehicles during 22 days of October

LCCI stresses for branding, marketing to win global market

Collector Multan Mueed Kanjo has been assigned the charge of MCC Multan | See pAge 02 |

Customs Training and Research held a three-day training workshop | See pAge 03 |

Ishaq Dar has said PML-N gove, has focused on overcoming energy crisis | See pAge 04 |

DG Customs Intelligence (I and I) Quetta has impounded 20 vehicles worth millions | See pAge 12 |

Because of lack of awareness about the branding and marketing techniques | See pAge 09 |

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Washed, cleaned Tax House gives totally fresh look Tuesday, Novemberer 3, 2015

National

LAHORE: The Federal Board of Revenue (FBR), Regional Tax Office Lahore, has been cleaned totally on the orders of chief commissioner of Regional Tax Office-one (RTO-I), Chief Commissioner RTO-I has cancelled the holiday of sweepers in order to clean all the floor of the Tax House. Sweepers have done their work efficiently and washed, cleaned all the items of the tax offices i.e tiles, washrooms, basins, cabins, mirrors, files, tables, desks, lifts and all others. The damaged items were also removed and replace with new. Commissioner RTO will do general checking on Monday.

Dc Mueed kanjo assigned new job at Multan customs headquarters

MULTAN

IMrAN ALI

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he Federal Board of Revenue (FBR) Regional Tax Office Multan has suspended the performance allowance of three inspectors for failing to do the assigned tasks. The Regional Tax Office Multan is observing performance of employees closely in given role from Federal Board of Revenue. Sources told Customs Today that the performance of employees is evaluated in order to accomplish assignments given by the FBR for the fiscal year 2015-16. During the assigned tasks, a few employees were found involved in serious professional negligence during the monitoring of their performance in the first quarter of the economic year 2015-16. The commissioner took notice against three inspectors due to their unsatisfactory performance. The authorities have decided to punish them by discontinuation of their performance allowance. Three inspectors Waseem Khan (Multan), Naveed Asghar (Layyah) and Saeed Farooqi (Muzaffargarh) have been punished for their low tax revenue from first quarter of economic year 2015-16.

eputy Collector Model of Customs Collectorate Multan Abdul Mueed Kanjo has been assigned the charge of MCC Multan Headquarters. Collector Sarfraz Ahmad Warriach assigned the new task to Deputy Collector Abdul Mueed Kanjo, MCC Multan Headquarters. Deputy Collector Farhat Ali was performing duties at DC Headquarters before her transfer to Customs Adjudication. Deputy Collector Abdul Mueed Kanjo is also carrying out his charge in the Anti-Smuggling Organization Multan and now Collector MCC Multan has given him the new role after observing his outstanding performance. He is one of the few competent officers at the MCC Multan who performs his assigned tasks attentively for the accomplishment of the given goals. Meanwhile, Deputy Collector Abdul Mueed Kanjoo has released the seized blankets and cosmetics on the direction of Order –inOriginal of Customs Adjudication. Deputy Collector Saima Ayyaz issued an ONO in the seizure of 30 blankets and eight cartons of cosmetics during the hearing. Cosmetics items were consisted of various perfumes brands, fairness creams

Multan rto suspends performance allowance of three inspectors

and other skin brands. After hearing of the seizure case Deputy Collector gave directions for the release of said items after assessment of the seized items. Owner Hakeem Muhammad resident of Chicha Watni has been imposed Rs 3000/-as penalties for the release of seized items. The ONO directed Deputy Col-

lector ASO for release of seized goods after the payment of customs and penalty to Customs. Meanwhile, The Customs Anti Smuggling Organization (ASO) impounded two non-duty paid vehicles in an operation in Multan on Friday. As per details, ASO teams intercepted two vehicles and asked the drivers to produce documents

showing legal import and lawful possession of the vehicles but the drivers could not produce the required documents so the customs officials confiscated both of the vehicles under the Customs Act, 1969. The impounded vehicles are Pajero jeep and Toyota Passo car. It is learnt that the value of the vehicles has been estimated at Rs 2 million.

Gwadar Collectorate seizes goods worth Rs 28.36m in October KARACHI

AFtAB chANNA

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odel Customs Collectorate (MCC) Gwadar has been making all out efforts to ensure smuggling of non-duty paid and contraband items are completely uprooted in the area of its jurisdiction.

In order to curb the menace of smuggling, the officers and officials of the Collectorate stay alert 24/7. As a result of this strategy in the month of October, 2015, the Collectorate has seized smuggled goods and diesel worth Rs.28.36 million, Tausif Aman Gurchani, Assistant Collector (Preventive) MCC Gwadar said. On credible information, the Collector, MCC Gwadar constituted a team of officers and offi-

cials, who on 11.10.2015 at 1300 hrs in coordination with Maritime Security Agency launched a successful operation in the open sea near Pishukan and seized two (02) Launches carrying 31,500 litres of smuggled HSD market value Rs.2.5 million. The value of Two Launches is Rs.8.0 million. Total value of HSD and Launches in this case comes to Rs.10.52 millions. Three (03) smugglers were also arrested in the case. FIR has

been lodged and further progress in the case is underway. In another operation, on 21-102015, an attempt to smuggle large quantity of foreign origin Liquor from Baluchistan to Karachi City through land route on Land Cruiser Vehicle was foiled near Ormara Station and Customs staff seized 1,209 Bottles worth Rs.4.3 million and the value of Vehicle is Rs.0.80 million. Total value of vehicle and foreign origin liquor comes to

Rs.5.1 million. The Collectorate further seized 08 non duty paid vehicles, which worth Rs.7.2 million. Furthermore, in different operations, the Collectorate also seized contraband / smuggled goods i.e., HSD, Cigarettes, Rani Juice, Chocolate Candy etc. worth Rs.5.56 million. Therefore, total market value of seizures made by MCC Gwadar during the month of October, 2015.

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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.

FIA arrests illegal money changer, human traﬃcker from gujranwala SIALKOT

Tuesday November 3, 2015

National

three-day workshop for BS-20 oﬃcers held at customs house

ZAFAr MALIk

Participants imparted on tax, WeBOC, public policy, terrorism and other issues

he Federal Investigation Agency (FIA) has registered separate corruption cases against three officials of the Regional Passport Office Gujranwala, as the FIA team has arrested the arrested accused on corruption charges. The FIA has also arrested a money changer Ghulam Abbas for doing illegal business of remittances and money exchange in DaulatnagarGujrat during a special raid there. The FIA also recovered 1,000 UAE dirhams, Rs 250,000 in cash, laptops and record of illegal money transactions abroad.

M hAYAt

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excise forms teams for recovery of property tax ISLAMABAD

ShAhID MINhAS

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he Excise and Taxation Rawalpindi has constituted teams for the recovery of property tax as the 5 percent concessional rate date has already expired on Saturday. According to sources, the Excise and Taxation Department had announced 5 percent concession on property tax till October 31, the department appealed to the property owners to avail the benefit of concession and pay their tax. Sources added that the challan (PT10), which was earlier issued to the owners, was valid until October 31. While after this date, the non refundable surcharge will be imposed on the property tax. On the other hand, sources said that the department also constituted teams for the recovery of property tax.

LAHORE www.customsbulletin.com

irectorate of Customs Training and Research held a three-day training workshop for the Customs ofOicers of BS20 at the Customs House Lahore. At least 20 ofOicers were trained on mandatory capacity building, including Collector of Customs Lahore Preventive Mukarram Jah Ansari, Director Customs Investigation and Intelligence Saud Imran and Multan Collector Sarfraz Waraich, Collector Symbriyal Dry Port Ahmad Reza Khan, Faisalabad Collector Ch ZulOiqar, Director Mirza Mubashra Baigh, Collector Adjudication Asif Mehmood Jah and others. Imtiaz Ahmad Khan Director General Intellectual Property Rights, Lahore delivered lecture on Land Port Authorities: challenges and opportunities, while PPRA rules effective public procurement was delivered by collector, of Adjudication Ali Raza Hanjr. The ofOicers were also given training on withholding tax and Oiling of return, public policy analysis, innovation in organizational operations, war on terror and security of public ofOicers, WeBOC for supervisory ofOicers and public and professional ethics. The training was supervised by

Directorate of Customs Training & Research director ZulOiqar Younis. Meanwhile, The 20th meeting of Customs Liaison Border Committee (CLBC) between Pakistani and Indian Customs authorities will be held on October 15 in Lahore Customs House to discuss issues and resolve them to further facilitate the bilateral trade. “In order to speed up trade between the two countries data ex-

Imtiaz Ahmad Dg Intellectual property rights, Lahore delivered lecture on Land port Authorities: challenges and opportunities, while pprA rules effective public procurement was delivered by collector, of Adjudication Ali raza hanjr

84 Faisalabad Customs oﬃcials assigned duties for LB polls FAISALABAD

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n order to conduct the local bodies elections in Faisalabad, at least 84 ofOicials of the Model Customs Collectorate Faisalabad have been assigned duties at different polling stations by keeping them away from the basic anti-smuggling

and tax collection duties. The ofOicials, including deputy superintendent, superintendent, inspectors, sepoys and head clerks, performed duties during the LB polls till November 2, 2015. According to the details, seven superintendents (BS-16) namely as Mukhtar Hussain, Muhammad Javed Mehmood, Safder Iqbal, Zahid Raza Bukhari, Masood Afzal Khan Lodhi, Javed Hussain Sherazi, and Muhammad Boota, while two examiners (BS-16) named Muhammad Jamil Ahmad and

Shafqat Rasool were assigned task for elections. However, 39 inspectors named as IfOitkhar Ahmed, Muhammad Yousaf, Muhammad Ramzan, Ghulam Murtaza Anjum, Baber Hussain, Mehar Ameer Ali, Nadeem Iqbal Bhatti, Asif Hussain, Muhammad Afzal Awan, Ghulam Muhammad, Muhammad Afzal, Muhammad Akram, ZulOiqar Ali, Abaydullah, Qazi Muhammad Shoaib, Mansoor Alam, Muhammad Iqbal Khan, Ansar Saleemi, Irfan Idrees, Muhammad Khalid, Bashir Ahmad.

change methodology will be the central point as Indian IT experts will also accompany the customs commissioners,” collector of customs Mukaram Jah Ansari told Customs Today. Earlier, 19th CLBC met in Amratsar to expedite bilateral trade through Wahga border. The customs authorities of both sides proposed to their respective governments to establish IT based data transfer system between the two sides.

FBR to put names of 110 tax defaulters on ECL ederal Board of Revenue (FBR) has decided to nab tax defaulters who caused losses to the national kitty by not paying taxes. According to details, FBR has put the names of 110 tax defaulters on Exit Control List (ECL) who have not paid taxes in 2012, 2013, and 2014. FBR has decided to put the names of only those who are defaulters of above Rs 5 million.—CB Report

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Greek banks must find up to 14.4b euros after ECB stress test Tuesday, November 3, 2015

Business

FRANKFURT - Four major Greek banks must find up to 14.4 billion euros ($15.8 billion) to survive potential economic shocks, the European Central Bank said Saturday after they underwent an in-depth financial health check. The figure was less than anticipated under recapitalisation plans agreed with Greece's partners. Greece's Alpha Bank, Eurobank, the National Bank of Greece and Piraeus Bank were all submitted to a health check by the ECB known as a "comprehensive assessment". If the economy takes a turn for the worse, the banks would have a capital shortfall of up to 14.4 billion euros.

kSe sheds 36 point to close at 34226 level KARACHI

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he Karachi Stock Exchange (KSE) benchmark 100-index lost the early gains, shedding 35.49 points or 0.10 per cent to close at 34226.12 points level. The stock market witnessed the highest trading level of 34396.49 points and lowest level of 34198.00 points. The total volume of the mar-

petrol price implications LAHORE

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eaders tend to worry when chronically slow growing and deficit prone economies become too dependent on exogenous factors. But not our leaders. They did not mind squeesing political mileage out of the international oil collapse when the dharna pressure had complicated domestic politics. And they did not, naturally, do much to structurally bolster the economy in a low input-price environment.

cDA takes anti-dengue measures ISLAMABAD

ket remained 69,813,170 shares, having value of Rs4,336,623,311. Earlier, the Karachi stocks, in a bid to recoup the previous losses, gained 58 points to reach 34319.56 points level, with the total volume of 38,641,940 shares till midday (12:20pm). On Friday, the KSE lost the early gains, by shedding 56.41 points to drop to 34276.02 points level. The stock witnessed the highest trading level 34464.25 points and lowest level of 34238.00 points. The total volume of market remained 119,546,550 shares, having Rs6,627,499,433 value.

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economy improving due to govt's prudent policies: Ishaq Dar ISLAMABAD

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inister for Finance, Senator Muhammad Ishaq Dar has said Pakistan Muslim League-N government, has focused on overcoming energy crisis, eradicating extremism, and ensuring a stable economy after coming into power. "Around 14,000 mega watt electricity would be added to national

apital Development Authority (CDA) is taking all possible measures to overcome the dengue fever in Islamabad as comprehensive steps have already been taken in this regard, CDA oﬃcials said yesterday. A meeting was held at CDA Headquarters to review the steps taken by the Authority to overcome the dengue during the current year. The meeting was chaired by the Chairman CDA Maroof Afzal, while Member Administration and Estate, Amer Ali Ahmed and senior oﬃcers of relevant formations of the authority were also present on the occasion. Director Health Services CDA informed the meeting that the Directorate had started preventive measures to cope with dengue threat right from February this year. He said dengue cases reported in Islamabad in the current year are nominal as compared to the other cities. He apprised the meeting that special teams were constituted in this regard which carried out inspection at 21513 places up till now and collected 16743 samples to detect the presence of dengue larva. He said first sample of dengue larva was found positive in July which was collected from a shop situated at Shaheen Market Sector I-10.

grid by 2018 and several power projects have also been launched including Dasu, Neelam-Jehlum, Basha-Diamer and up-gradation of Tarbeela Dam," he said while talking to a private news channel. Ishaq Dar said the government has increased tax net up to 33 percent, and added there is a dire need of tax reforms in the system to make it more effective. "Steps are being taken to make Federal Board of Revenue (FBR) tax-friendly in order to encourage the masses for paying their taxes", he added. The minister said inOlation had come down due to the prudent policies of the government, besides an

increase in foreign reserves. Ishaq Dar stressed the need for segregating politics from economy, and added economy ought to be the central point of politics. He said the international community now has a positive perception about Pakistan since its economy was improving. He said oil prices were lower as compared to India and other neighbouring countries. Replying to a question, he said Prime Minister Muhammad Nawaz Sharif had taken major national decisions in consultation with all political parties to further strengthen democratic process in the country.

400 MMcFD LNg terminal to contribute 5% to country's energy mix ISLAMABAD

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he imported LiqueOied Natural Gas (LNG) is not only a cheaper source to meet Pakistan's energy needs with saving massively to the national kitty but it will also prove a game changer as 400 mmcfd LNG terminal would add Oive percent to the country's primary energy mix. In the past,

three governments made Oive attempts over the 10 years to import LNG but they failed for adopting integrated approach where LNG terminal developer was also LNG supplier. The PML-N government resorted to un-bundled approach and the LNG terminal development was separated from LNG procurement, thus succeeding to provide the country with its Oirst LNG based gas within 20 months of its tenure, Federal Minister for Petroleum and

Natural Resources, Shahid Khaqan Abbassi said while addressing a recently held seminar on import of LNG. The government pursued a transparent process for developing a terminal and the Engro Elengy built the SSGC LNG regasiOication terminal in a record time as the contract was signed on April 2014 and Oirst gas Olow was ensured at March this year. Average regasiOication tolling fee was charged at $0.66 per MMBTU

which was the lowest in the world, adding most LNG contracts in the world were priced at direct linkage to oil and Pakistan LNG imports would also be linked to oil. The government was displacing oil products and LNG price at 15 percent of Brent index of $50 percent would be $7.5 per MMBTU. Since the country's natural gas production was stagnant at 4,000 mmcfd per day for 10 years and constrained demand stood at 6000

mmcfd with hydrocarbon resources fast depleting, thus he said government ventured into LNG import. If Pakistan had committed to LNG 10 years back, the country would not have any energy crisis, today. Pakistan needed to import natural gas through pipelines or LNG, but in fact Iran-Pakistan Pipeline of 750 mmcfd project was delayed due to international sanctions and the Oirst gas could not be available before end of 2017.

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he Federal Board of Revenue (FBR) has approved a new strategy to defend tax-related cases before the superior judiciary i.e. Supreme Court of Pakistan, provincial high courts and the Islamabad High Court. In this regard, Muhammad Tanvir Akhtar, Chief Management, FBR issued a notification on Friday to all the FBR Members, FBR/Chief Commissioner and Collectors to ensure strict compliance on the new legal policy. According to a notification available with Customs Today, Director General and Directors Law will act as coordinator between the field formations and advocates in defending the departmental cases in the Supreme Court and high courts. Director General and Director Law will maintain record of cases and

advocates while the performance of the advocates will also be evaluated in consultation with formations. Where the FBR is a direct party or issue directly relates to the FBR, the DG will inform in writing to the member concerned and member legal in the board. Proceedings and outcome of important cases must be reported to the Secretary Revenue Division/Members concerned in the board. DG/Directors will ensure that the data of Supreme Court and high courts cases is updated on Litigation Management System and a fortnightly discussion will be held between Member Legal and the DG in this regard. DG and Directors shall make sure that field formations/FBR have appointed AOR and ASC and in case of any deficiency, the matter is immediately reported to the board. DG Law will periodically visit the field offices to monitor and acceler-

ate better coordination between directors and field offices. A monthly report should be submitted to the Board with recommendations to improve the coordination and presentation of cases.

gard, FBr ad In this re Muhamm f e i h c t n e Managem khtar issued a l the tanvir A day to al i r F n o n io ief notificat s, FBr/ch to r e b m e s FBr m collector d n a r e n o h i commiss t compliance wit ric ensure st al policy g e l w e n the

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Tuesday, November 3, 2015

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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

Latest world Bank report

why cpec is important A

LAHORE

Dr AFtAB AFZAL

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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 China-Pakistan 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 2,100kilometre-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 for-

akistan has been facing very odd situations since its inception – most of the time self-made and self-inflicted. The present government claims the credit of all the positive signs appearing in the country’s economy, but ignores to accept responsibility of its failures in various other fronts. At a time when the world economies are open up to foreign investment, Pakistan seems to have adopted a reverse course of action and the latest World Bank report is a big question mark on the government’s performance, specifically Finance Minister Ishaq Dar’s who is on the driving seat of the Pakistani economy. In its report appearing on Tuesday, Pakistan has shed 10 points in ease of doing business to stand at 138th position among 189 economies of the world, thanks to the administrative failure at large. According to the report, almost all the indicators with regard to ease of doing business have shown bleak performance of the government institutions, from the benchmarks of getting an electricity connection for a business concern to paying taxes. The bank, in its report “Doing Business 2016”, measures the regulatory quality and efficiency of the government institutions, and estimates that the country incurs annual losses up to 34 percent due to power failure alone. The report says that it is very difficult to get electricity connection in Pakistan, dropping the country from 146th position last year to 157th position this year. On another note, India has improved its ranking, moving up 12 places to stand at 130 on the global ease of doing business index. It should be a point to ponder for the Pakistani policymakers who do not tired off eulogizing the performance of the government institutions. The report puts Pakistan at the sixth place among SAARC countries, below Sri Lanka, Maldives, Nepal, India and Bhutan. Sri Lanka has moved up from 113th position to 107th, Maldives stands at 125th from 128th, but Bangladesh came down at 174th from 173th whereas Nepal and Bhutan are the only South Asian countries which rank within the first 100. Pakistan ranks 171st on paying taxes and 157th on getting electricity. According to the report, cross-border trading and enforcing contracts also contribute to the lower ranking of the country in ease of doing business. The policymakers should give serious considerations to the reports from international agencies which bespeak flaws in government policies. The people are oscillating between hope and despair on such reports. The countries in the region have already started reforms programmes and the government should also follow the suit in the best interest of the nation.

eign 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. fter 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.

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Business community lauds govt, army response after earthquake KARACHI: The representatives of local business community Friday lauded the relief and rehabilitation work being done by Pak Army and government. Korangi Association of Trade and Industry’s (KATI) Patron-in-Chief, SM Muneer and President KATI, Zahid Saeed, in a statement, applauded the quick rescue operation and steady response of Pak Army to the post-earthquake challenging situation in the quake hit upper areas of the country. KATI’s other office bearers also praised the policy of government to rely on own resources for the relief and rehabilitation of earthquake victims. S M Muneer said that response of federal and provincial governments on this tragedy proved once again that Pakistani nation always stand united in difficult times.

LccI stresses branding, marketing to win global market ecause of lack of awareness about the branding and marketing techniques, Pakistani products are struggling to get a respectable place in the global market despite having quality edge over the other countries. In a statement issued here Friday, the LCCI President Sheikh Muhammad Arshad, Senior Vice President Almas Hyder and Vice President Nasir Saeed said that lack of branding and marketing strategy is one of the biggest reasons of decline in the country’s exports. They said that branding transforms an ordinary product into special one and promotes recognition of a business group. They said that a little focus on the capacity building of entrepreneurs could do miracles on the both the branding and the marketing fronts. The LCCI office-bearers said that at individual level, the private sector was doing the needful for the capacity building of its workforce but to attain the desired goals, the government would have to play a role. Elaborating his point, the Sheikh Muhammad Arshad, Almas Hyder and Nasir Saeed said that the government would have to join hands with the private sector to acquire the services of master trainers for the proper training of the workforce available in the country. “Keeping in view the ongoing tough competition in the global market, we need to promote branding culture which would remove all the ambiguities from the minds of the buyers thus a huge amount of foreign exchange could be earned by focusing on branding as Pakistani products are best of the best in the world”, the LCCI officebearers added. They said that private sector would have to work out a methodology to promote branding culture in Pakistan to wear off the intensity of economic meltdown being observed by the leading economies of the world.—CB Report

Tuesday November 3, 2015

Chambers

FpccI presidential candidate vows to work for resolving traders’ issues A

ISLAMABAD

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bdul Rauf Alam, the United Businessmen Group’s nominated Presidential candidate for the Federation of Pakistan Chambers of Commerce and Industry has vowed that if elected, he would work hard for resolving the key issues of country’s business community on priority. He said this while launching his election campaign at Islamabad Chamber of Commerce and Industry. A large number of business community including former Presidents ICCI were present at the occasion. Abdul Rauf Alam said the business community of the country was facing many problems due to which the economy of Pakistan was struggling for revival. He said if elected, he would work closely with the government for urgent redress of important issues of trade and industry. He said he has planned many initiatives for further effective role of FPCCI so that the apex trade body could play an important role in the economic development of the country. He especially thanked S.M.Munir,

Patron-in-Chief, Iftikhar Ali Malik, chairman and whole team of United Businessmen Group for nominating him as presidential candidate of FPCCI and resolved that he would try to deliver up to their expectations. He also thanked the local business community for their active participation in his election campaign and assured that he would make all possible efforts to address the key issues of the business community of Pakistan.

Speaking at the occasion, Atif Ikram Sheikh, president, Islamabad Chamber of Commerce and Industry said that Abdul Rauf Alam has already demonstrated great leadership qualities and hoped that he would take several initiatives in consultation with chambers and associations for better growth of business activities. He was optimistic that Abdul Rauf Alam would take further steps to make FPCCI more effective organization for serving the cause

extend deadline for filling tax returns: kccI

KARACHI

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resident of the Karachi Chamber of Commerce and Industry (KCCI), Younus Muhammad Bashir has requested the Federal Board of Revenue (FBR) to extend last date for filing income tax return from October 31, 2015 to November 30, 2015. In a statement issued, President KCCI pointed out that large number of KCCI members, while seeking assistance, stated that they may not be able to file their returns by October 31, 2015 due to Muharram holidays in which internet and mobile phone services were completely suspended while the main hub of Karachi city’s business and commercial activities was completely sealed by law enforcement agencies to ensure foolproof secu-

rity to Ashura processions. Therefore, for the larger interest of revenue collection and the business and industrial community, President KCCI requested the FBR to extend the last date of filing income tax returns up to November 30, 2015 while considering the Muharram holidays and complications in the income tax return form. Meanwhile, With a view to share the miseries and hardships being suffered by the affectees of recent earthquake which trembled many areas in Khyber Pakhtunkhwa and Punjab provinces, the Karachi Chamber of Commerce and Industry (KCCI) has donated two container-trucks carrying blankets, tents and sleeping bags which were handed over to Sindh government in an effort to supplement Chief Minister Sindh Relief Program for Earthquake Affectees.

Chairman Businessmen Group and former president KCCI Siraj Kassam Teli and vice chairman BMG Zubair Motiwala along with president KCCI Younus Muhammad Bashir handed over the two container-trucks laden with relief goods to Chief Minister Sindh Syed Qaim Ali Shah during a simple ceremony held at Chief Minister House. Senior Vice President KCCI Zia Ahmed Khan, Former president KCCI AQ Khalil, Chairman Special Committee for My Karachi Exhibition Idrees Memon and others were also present on the occasion. Chief Minister Sindh Syed Qaim Ali Shah warmly welcomed the goodwill gesture shown by BMG leadership and KCCI Office Bearers who promptly responded to the hardships being suffered by our brothers and sisters inhabiting in Punjab, KPK and other northern areas of the country.

of business community. He also thanked the management of United Businessmen Group for nominating Abdul Rauf Alam as Presidential candidate of FPCCI as he was the most suitable candidate for this distinguished role. He urged the trade bodies of the country to support Abdul Rauf Alam for his Presidential election and assured that ICCI would extend full support and cooperation for his success in forthcoming elections of FPCCI.

traders’ role essential for national development: FBr ederal Board of Revenue Chief Commissioner Tasneem Rehmani has said that the role of business community in national development and prosperity of the country cannot be ignored. Tasneem Rehmani said this during a meeting with regional tax committee comprising MNA Mian Abdul Mannan, Muhammad Aslam Bhalli, Haji Muhammad Abid, Abbas Haider, Rana Ikramullah and Aftab Butt. He said steps were being taken to resolve the problems of trader community. He assured all-out cooperation with business community and said that their problems would be resolved on priority basis.—CB Report

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UAE named top Middle East country for doing business Tuesday November 3, 2015

World

DUBAI: UAE has been named as the Middle East’s top country in the World Bank Group’s annual ease of doing business report. The UAE, which scored in the world’s top 10 for obtaining construction permits, connecting to electricity services and registering property was ranked 31st overall in the list. Bahrain (65), Qatar (68), Oman (70), Saudi Arabia (82) and Kuwait (101) completed the rankings of Gulf nations as reform activity picked up slightly in the Middle East in the past year. The report said a total of 21 reforms were implemented in 11 of the region’s 20 economies. Economies that undertook more than one reform included the UAE, Morocco, Tunisia and Algeria.

Macau’s first woman customs chief founds dead cuStoMS BuLLetIN report www.customsbulletin.com

Malaysian police seize 200kg ecstasy mix olice seized 200kg ecstasy mixture and nabbed 15 individuals in two separate raids in Jerantut, Pahang and Kuala Lumpur today. The raids were conducted by the Federal Narcotics Criminal Investigation Department and the Special Tactical Intelligence Narcotics Group (STING) between 4am and 6pm. Inspector-General of Police (IGP) Tan Sri Khalid Abu Bakar via his Twitter congratulate the team. “Congratulations Sting @PDRMsia seized 200kg ecstasy pills mixture and 5kg cocaine in illegal laboratory in Jerantut, nabbed 15 in Lembah Klang and Jerantut. Go PDRM Go!,” he said. —CB Report

HALIFAX

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MACAU

acau’s Oirst ever woman customs chief – whose body was found slumped in a public toilet on Friday – had suffered slash wounds to both her wrists and her neck, swallowed sleeping pills and had a plastic bag over her head, it emerged yesterday. The Macau authorities have classiOied the death of mother-of-two Lai Man Wa as suicide by asphyxiation, but it is unclear if and when both a postmortem and toxicology examinations were carried out. Details of how the 56-year-old died deepened the sense of shock in the city and prompted Macau’s secretary for security, Wong Sio Chak, to call a special meeting of customs staff to implement “emergency measures” to cope with what were described as “current matters being handled by the department”. A key matter – in which Lai was closely involved along with Macau Chief Executive Dr Fernando Chui Sai-on – was ongoing negotiations with senior mainland ofOicials over a

canadian authorities arrest 13 people in drug bust

historic expansion of the former Portuguese enclave’s maritime boundary. Yesterday’s meeting also pinpointed the Oight against illegal immigration as the target of the emergency measures. In a statement from his office, Wong said the meeting was also held to “help to improve the emotional condition of the personnel”. Last year, Lai stressed that Macau’s economy could benefit from a successful expansion of its marine jurisdiction. In December last year, President

Xi Jinping announced while visiting Macau, that mainland China and Macau had begun talks to ensure the “delimitation” of maritime sovereignty. Macau does not have jurisdiction over all of its surrounding waters. Government ofOicials believe that the new scheme could promote diversiOication of the region’s economy, while also boosting cooperation with Guangdong. Sources said Lai had appeared normal in the hours before her death and her behaviour did not suggest that anything was wrong.

US police seize 4kg cocaine worth $2m ndiana State Police recovered nearly 4 kilos of cocaine from a semi-truck during a trafOic stop on Interstate 70 here the other day. Indiana State Police say a routine trafOic stop led to the discovery of cocaine with a street value of about $2 million. Authorities say they stopped a semi-truck at about 4 p.m. Friday on

Interstate 70 near the line between Marion and Hancock counties. Girl Struck by Vehicle, Dragged While Trick-or-Treating A K-9 unit was called and detected the narcotics. There were approximately 4 kilos of cocaine. Authorities say legitimate household consumer products and shoes were also on board. —CB Report

ive Nova Scotians are among 13 people arrested in a Canada-wide drug bust where large amounts of marijuana and Oxycontin were seized along with weapons and several vehicles. As part of Operation Hagrid, RCMP in the province have been investigating this speciOic drug network for Oive months, with the help of RCMP in British Columbia. The men were arrested for both trafOicking and money laundering. The suspects had been smuggling the marijuana and large quantities of cash in checked baggage on commercial airlines. RCMP allege

they were conspiring to move “a signiOicant volume of drugs” across the country. Six residences in Halifax were searched on Wednesday, and eight residences in Lower Mainland, B.C., and 13 people were arrested as a result. The searches of homes in Halifax uncovered the following: Over $17,000 in cash – additional quantities seized still being counted Weapons – Taser and 16 Oirearms Various types of ammunition Over 70 pounds of marijuana Small quantity of hash oil Money counter machines Drug paraphernalia, including numerous sets of scales and vacuum sealers 2009 Toyota Camry 2011 GMC Yukon 2014 Acura IXL The searches in British Columbia uncovered the following: Over $100,000 in cash.

London, hong kong facing housing bubble risk, says uBS

ondon and Hong Kong are the cities most at risk of a housing bubble as real estate begins to look overvalued, according to UBS Group AG. The U.K. capital is now the second-least affordable of the 15 urban centers studied by UBS, trailing only Hong Kong, the report said. Price-to-income and price-torent values have surged to all-time highs even as real earnings have fallen 7 percent in London since 2007, UBS said. London risks a “substantial price correction should the fundamentals for estate investment deteriorate,” the report said. “We advise caution.” London house prices have surged 40 percent since the beginning of 2013 because of demand from overseas buyers, attractive rental yields

and population growth, the Swiss bank’s global real estate bubble index shows. The Bank of England has asked for more powers to regulate lending to so-called buy-to-let investors, who are attracted by rental yields of more than 5 percent compared with 1.8 percent for benchmark U.K. government bonds. “House prices have decoupled most from local incomes in Hong Kong, London, Paris, Singapore, New York and Tokyo,” Matthias Holzhey, an economist at UBS’s chief investment ofOice and wealth management unit, said. “Buying a 60-square-meter apartment exceeds the budget of most people who work even in the highly-skilled service sector.”—CB Report

customs seizes 6,000 hermes, prada bags worth hk$440m

HONG KONG

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ainland customs officials seized about 6,000 Hermes, Prada and other luxurybrand 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. The goods were then sold in shops in Shenzhen’s Futain district as well as on online platforms. Due to the high tax rates imposed on luxury items on the mainland, smuggling has become a lucrative business, the report said. One shop in Shenzhen selling smuggled luxury items has raked

in 270 million yuan (US$42.5 million) in just three years, a Shenzhen customs official said. At least 32 suspects were arrested on Oct. 16, when customs and other law enforcement units raided several stores and warehouses in a number of key cities including Beijing, Shanghai and Shenzhen. The operation was codenamed Justice 14.

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Ports may need up to $1b to update terminals LONDON: Port commissioners from Tacoma and Seattle adopted their ﬁrst budget for a new cargo alliance while warning they’ll have to spend hundreds of millions more to make the port facilities competitive with rivals. The $174.5 million included in the Northwest Seaport Alliance’s 5-year capital budget is “woefully inadequate to our needs,” asserted Tacoma Port Commissioner Don Meyer as the two commissions were preparing to accept the budget. Meyer predicted the alliance and the two ports will have to spend $800 million to $1 billion over the near future to equip the two ports to handle the new generation of megasized container ships.

transnet rises 6.4% to r32.2 billion in interim revenues ransnet on Thursday reported a rise in interim revenues, driven by higher volumes at ports, particularly in the bulk and break-bulk sectors. In the six months ended September 2015, revenue rose 6.4% to R32.2bn. The company said this had been achieved despite a sharp downturn in global and domestic economic activity had hampered its major customers. “The company bore the full impact of muted global economic activity on several of its lines, including export coal as mines reduced demand for trains. The biggest decline was in steel and cement, also on the back of lower prices, which culminated in the business rescue eﬀort of one of our biggest customers in the sector. “To mitigate the impact of declining volumes on revenue, freight rail prioritised high-yield commodities. —CB Report

u.S. ports receives $44.3m infrastructure fund he U.S. ports of Hueneme, Baltimore, Indiana, San Diego and Newport have received a combined $44.3 million infrastructure funding boost through the Transportation Investment Generating Economic Recovery (TIGER) scheme. After evaluating 627 applications, 50 of which were from ports, for the U.S. 2015 Transportation Investment Generating Economic Recovery (TIGER) grants, U.S. Department of Transportation (USDOT) Secretary Anthony Foxx announced 39 awards for $500 million in funding will be made. Of those, five awards totaling $44.3 million, or about 9 percent of total funding, are going to commercial seaports or to projects that directly aid the eﬃcient movement of goods to and from America’s ports. Another $61 million, comprising four awards equal to about 12 percent of the total funding, is going to freight-related projects around the country.—CB Report

Ports & Shipping

More truck drivers joine strike at Los Angeles, Long Beach ports

ore truck drivers joined a strike at the ports of Los Angeles and Long Beach on Thursday, one day after Teamsters President James P. Hoffa threw the support of the union’s 1.4 million members nationwide behind the effort. The truckers are protesting what the union calls unfair labor practices, including drivers “misclassiOied as independent contractors” rather than employees. An unspeciOied number of workers who claim they have been misclassiOied as contractors by Gold Point Transportation joined the strike Thursday, said Barb Maynard of the International Brotherhood of Teamsters. Maynard said previously that workers who are “misclassiOied as independent contractors” are “robbed of basic workplace protections like the right to minimum wage, overtime pay, and a safe and healthful workplace.” Calls made tonight to Gold Point Transportation were not answered. About 40 workers at the California Cartage warehouse in Wilming-

IDc sees 12.6% YoY decline in tablet sales in July-September lobal sales of tablet computers fell for a fourth consecutive quarter, as buyers put oﬀ replacement or looked to alternative devices, a survey showed Thursday. The report by market tracker IDC showed a 12.6% year-over-year decline in tablet sales in the July-September quarter, with 48.7 million devices shipped. IDC analysts said tablet owners are not replacing the devices as frequently as in the past. And some are shifting to large smartphones, or “phablets,” or to lightweight PCs, some of which have detachable keyboards. “We continue to get feedback that tablet users are holding onto devices upwards of four years,” said IDC analyst Ryan Reith. “We believe the traditional slate tablet has a place in the personal computing world. However, as the smartphone installed base continues to grow and the devices get bigger and more capable, the need for smaller form factor slate tablets becomes less clear. With shipment volumes slowing over four consecutive quarters, the market appears to be in transition.” Apple, which eﬀectively created the market with its iPad in 2010, led all vendors even though its market share slipped to 20.3% and the number of iPads sold slumped 19.7%, IDC said. South Korea’s Samsung held the number two spot with a 16.5% market share, even as the number of units sold slid 17% to eight million.—CB Report

ton also joined the strike Wednesday, according to spokesman Sheheryar Kaaosji. Port ofOicials said shipping terminals have remained open during the strike, which began on Monday. Port spokesman Phillip SanOield said Wednesday the strike had caused only minimal impact on port operations, adding that Los Angeles port police were on hand to ensure trafOic safety and that cargo continues to move. Meanwhile, Zacks upgraded shares of Genco Shipping & Trading

from a sell rating to a hold rating in a research note released, Marketbeat.com reports. According to Zacks, “Genco Shipping & Trading Ltd. is a ship owning company. It transport iron ore, coal, grain, steel products and other drybulk cargoes along shipping routes. The company owned Oleet of dry cargo vessels which consists of Capesize, Panamax, Ultramax, Supramax, Handymax and Handysize vessels. Genco Shipping & Trading Ltd. is based in New York, United States. “—CB Report

Smartphone shipments increase by 8.4% in Q3

he number of smartphone shipments reached 342.5 million in Q3, with a slowed yearon-year growth of 8.4 percent, according to estimates from Juniper Research. Apple posted another record-breaking quarter, with 48 million unit sales, compared to 39 million iPhones sold in Q3 2014.

Tuesday November 3, 2015

Samsung is beginning to turn its mobile unit around, with increased unit shipments and a 37 percent yearon-year increase in proOitability. Xiaomi sold an estimated 18.4 million smartphones, with the slowdown in China exacerbating the company’s troubles in the international market. This meant that

Huawei was the best performing Chinese vendor of the quarter, shipping 27.4 million devices, up 63 percent on shipments for this period last year. Despite a 32 percent year-on-year decline in shipments, Sony announced plans to open a new smartphone factory in Thailand.—CB Report

canada’s biggest investors duel for $5.7b Australian port, rail firm

OTTAWA

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wo of Canada’s biggest investors are battling for control of Australian port and rail assets in a duel that threatens to scupper the biggest foreign takeover proposal in Australia this year. A group including Canada Pension Plan Investment Board bought

a 19.99 percent stake in Melbournebased Asciano Ltd. in an attempt to thwart an A$8.9 billion ($6.3 billion) bid by BrookOield Asset Management Inc., Canada’s largest alternative asset manager. The contest reOlects demand for Australian assets, from ports to electricity grids and desalination plants, as Canadian Oirms are drawn by the nation’s relative stability, cultural similarity and almost quarter-cen-

tury of economic growth, said Evan Lucas, a market strategist at IG Ltd. Foreign acquisitions of Australian companies announced this year have jumped to A$69.9 billion compared to A$39.4 billion for all of 2014, according to data compiled by Bloomberg. “Canadian investors have always seen value and stable returns here, particularly in infrastructure, logistics and agriculture assets,” Lucas

said by phone from Melbourne. “It also gives them exposure to Asia, without some of the risks of having to be in Asia.” Meanwhile, Survey during construction of a new tanker series is a logical follow-up to the RS participation in the projects for construction of high-tech ships at the shipyards of the Republic of Korea. Since opening of the RS Design and Newbuilding Support Centre in Busan in March 2012.

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FBR to blacklist 25,000 defaulters by the end of 2015 KARACHI: The Federal Board of Revenue (FBR) has decided to blacklist over 25,000 sales tax defaulters in 2015. According to details, the FBR has shortlisted 25,000 sales tax defaulters in the ﬁrst quarter. Now the board has decided to send notices to them. Sources said that the FBR has made an estimate of around 70,000 sales tax defaulters till the end of the current ﬁscal year. The board is sure after sending notices to the defaulters, thousands of them will submit their tax returns.

Tuesday, November 3, 2015

CUSTOMS BULLETIN

Quetta customs impounds 20 vehicles during 22 days of october KARACHI wAQAr AhMeD ANSArI www.customsbulletin.com

he Directorate General Customs Intelligence and Investigation (I and I) Quetta has impounded 20 vehicles worth millions of rupees during the first 20 two days of October and in September. According to the sources, Customs Quetta has started a crackdown for the last few months to curb smuggling of imported goods. In the first 20 two days of October, the Customs Quetta has impounded 20 vehicles including five Jeeps, nine luxury vehicles worth millions. In a recent raid Customs Quetta impounded two luxury Branded Jeeps. Following the arrest of three accused that were later identified as Noor Zaman, Kamran Khan, and Muzmil Hussain. Customs Quetta revealed that above said accused are the members of smuggling group. Customs Quetta has started further investigation in this regard.

M/s Silk Noor served with show-cause notice for Rs 3.8m tax evasion KARACHI

AFtAB chANNA

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he Collectorate of Customs Adjudication-II has issued a show-cause notice to M/s Noor Silk for evading Rs 3.8 million on import of viscose rayon, filament yarn by claiming inadmissible benefit of SRO 1125(1)/2011 dated 31.12.2011. According to details, it has

been reported by the Directorate of Post Clearance Audit Karachi while scrutinizing import data found that M/s Noor Silk imported consignments of viscose rayon, filament yarn through Model Customs Collectorate Appraisement East and illegally availed the benefit of concessionary rates of sales tax and income tax. The concession offered vide SRO 1125(1)/2011 dated 11.12.2011 are only admissible to manufacturers of goods covered in five sectors only as highlighted in the conditions given

in the said notification. And where, on further analysis it transpired that the status of M/s Noor Silk as available online in the FBR website’s NTN inquiry, was that of an importers/exporters/service provider and the concern was not registered as a manufacturer at the time of alleged imports. Therefore, an amount of Rs 3,840,628 (sales tax amounting to Rs 3,802,602 and withholding tax amounting to Rs 38,026) had been short paid/evaded by the importers on account of paying concessionary rate of sales

tax and withholding income tax otherwise not admissible to them. And whereas, an audit observation was issued to the importer dated 29.9.2014 for explaining and clarifying the basis of claiming and availing concessions at the time of imports. The importers, however, failed to come up with any tangible evidence and were also unable to refute the charges leveled by the Directorate of PCA. Therefore, M/s Noor Silk violated the provisions of Sections 32(1), 32(2) and 32(3A) of the

Published by M S Raza Oﬀ# 42, 3rd Flr Gull Plaza M.A Road Karachi, Printed by Dhoom Printing Building No RY/A, 11/6,11/7, Mashoor Mahal,oﬀ I.I. Chundrigar Road, Karachi

Customs Act, 1969, Sections 3(1), Sections 3, 6, 7 read with Section 34 of the Sales Tax Act, 1990 and Section 148 of the Income Tax Ordinance 2001, punishable under clauses (1), (9), and 14 of Section 156(1) of the Customs Act, 1969, Section 33(5) and Section 7A of the Sales Tax Act, 1990 read with chapter X of the Sales Tax Special procedure Rules, 2007 (special procedures) for payment of Sales Tax the importer) and under relevant provisions of Section 148 of the Income Tax Ordinance, 2001.