Category: Pakistan Customs

  • Prevailing Customs tariff for fiscal year 2019/2020

    Prevailing Customs tariff for fiscal year 2019/2020

    KARACHI: Federal Board of Revenue (FBR) has issued updated Customs tariff for fiscal year 2019/2020, which have been imposed from July 01, 2019.

    According to the FBR the following documents to ascertain the prevailing customs tariff:

    Fifth Schedule to Customs Act w.e.f July 01 2019

    First Schedule Customs Act w.e.f July 01 2019

    Pakistan Customs follow the HS Code (Harmonized System Codes) or PCT Codes ( Pakistan Customs Tariff Codes) for Classification of Goods, these code consist of eight digits where first two represent Chapter and second two represent Sub- chapter and after decimal place four digit represent code of item.

    Find PCT Code or HS code by Description of Goods

    Find Description of Goods by PCT Code or HS code

    International Classification of Goods in Harmonized System

  • Customs foils bid to smuggle explosive material in garb of toys consignment

    Customs foils bid to smuggle explosive material in garb of toys consignment

    KARACHI: Customs authorities have foiled a bid to smuggle explosive material into Pakistan in the garb of toy consignments, a statement said on Saturday.

    According to details Model Customs Collectorate (MCC) Port Muhammad Bin Qasim foiled the bid to smuggle into Pakistan a consignment of explosive filled fireworks/firecrackers in the garb of toys and fun fair items.

    M/s. Abrar Traders, Lahore, through his clearing agent A R Logistics has filed the goods declaration for clearance of imported assorted toys and fun fair items.

    However, upon detail examination scrutiny by the collectorate staff, fireworks and fireworks crackers guns were found willfully concealed within the cartons of assorted toys.

    The explosive/firecrackers are restricted items as per Import Policy Order and prone to smuggling under Section 2(s) of the Customs Act, 1969.

    Accordingly, the collectorate seized the consignment and lodged an FIR. Further investigations are underway.

    Mumtaz Ali Khoso, the collector of customs, appreciated the examination staff for detecting the case and reiterated the resolve not to allow any illegal activity at Port Qasim by unscrupulous elements.

  • Customs launches ‘authorized economic operators’ program for business entities

    Customs launches ‘authorized economic operators’ program for business entities

    ISLAMABAD: Pakistan Customs has launched Authorized Economic Operators (AEO) program for business entities in order to provide maximum facilitation the trade and industry.

    A statement on Friday said that the federal government has launched first trade facilitation program of its kind under the name and banner of AEO.

    The program has been chalked out in line with best international practices and in accordance with World Customs Organization (WCO) security standards.

    Under the said program, the government will certify trustworthy business entities which could demonstrate that they are credible, secure and have a clean history of compliance with national laws and, in return, a policy of maximum facilitation will be adopted by all government departments toward such trusted entities so that they could concentrate on the growth of their businesses.

    To highlight the spirit of AEO Program, Chairman FBR and Member Customs (Policy), convened a meeting in FBR Headquarters of all government departments and border agencies who were taken on board on the said Program that will substantially reduce the cost of doing business for the trade and industry.

    Shabbar Zaidi, Chairman FBR informed the participants that AEO Program was a great step towards traders facilitation and ease of doing business as “red tapism” of government departments will be replaced with “red carpet” for the trustworthy business entities, and will provide enabling environment for the business community to achieve their maximum potential.

    Muhammad Javed Ghani, Member Customs (Policy) requested the participants from all government departments to come forward for feedback to chalk out an attractive AEO Program that could meet maximum aspirations of the trade and industry.

    The representatives from government departments i.e., Ministry of Foreign Affairs, Anti- Narcotics Force (ANF), Engineering Development Board (EDB), Ministry of Industries, Home Department Sind & KP, Pakistan Nuclear Regulatory Authority, Pakistan Quality Standards & Quality Certification Authority (PSQCA), Climate Change and PEMRA appreciated the AEO initiative and agreed that it was the first initiative of its kind which aims at recognition of trusted business partners at Federal Government level and entails benefits from all government departments.

    Such unique initiative, the participants added, has great potential to boost businesses which are the backbone of national economy.

    Chairman FBR briefed the participants that initially, AEO Program will be implemented on export stage that will not only boost national exports, but will also play vital role in jobs creation.

    Subsequently, ambit of AEO Program will be extended to other sectors of the economy for maximum facilitation and priority treatment by all government departments.

  • US experts train Pakistan Customs officers

    US experts train Pakistan Customs officers

    KARACHI: US law enforcement experts have trained probationary officers of Pakistan Customs on enforcement topics such as contraband smuggling, human trafficking, investigative methods, and evidence collection.

    In support of the United States’ ongoing commitment to strengthening Pakistan’s law enforcement organizations, Acting Consul General Jack Hillmeyer today joined Customs Chief Collector (Enforcement-South) Dr. Wasif Ali Memon for the closing ceremony of a U.S.-sponsored training for new probationary Customs officers.

    The two-week program brought U.S. law enforcement experts to Karachi Customs House to train on customs enforcement topics such as contraband smuggling, human trafficking, investigative methods, and evidence collection.

    Speaking to the 32 probationary officers—including 12 women officers—Acting Consul General Hillmeyer said Customs officers are “Pakistan’s front line in preventing smuggling of narcotics and other illicit goods through your land borders, airports, sea ports, and coastline…We are proud to support Customs with training and equipment to assist in your mission to enforce Pakistan’s customs laws.”

    This training was made possible through a partnership between U.S. Department of State’s Bureau of International Narcotics and Law Enforcement (INL) and the U.S. Department of Homeland Security (DHS).

    INL has provided over $1,531,000 (Rs238.83 million) in support to Pakistan Customs since 2001 through the provision of training and the donation of vehicles and other equipment to support Customs’ efforts to protect Pakistan’s borders and prevent illicit smuggling.

    The United States Department of State’s Bureau of International Narcotics and Law Enforcement Affairs works in more than 90 countries to help countries combat crime and corruption, counter drug-related offences, improve police institutions, and promote laws and court systems that are fair and accountable.

  • New policy to eliminate tariff rate gap between commercial, industrial importers

    New policy to eliminate tariff rate gap between commercial, industrial importers

    ISLAMABAD: The gap of duty and tax rates between commercial importers and industrial importers will be eliminated under newly proposed tariff policy.

    The National Tariff Policy 2019-2024 has proposed following measures for enforcement:

    (i) These policy recommendations will be implemented in a period of five years starting from the Budget 2020-21;

    (ii) The tariff slabs will be simplified based on the principle of cascading;

    (iii) The tariffs on raw materials, intermediate and capital goods will be gradually reduced;

    (iv) The additional customs duty and regulatory duties will be gradually reduced;

    (v) The difference in the rates of tariff for the commercial importers and the industrial users of raw materials, intermediate and capital goods will be eliminated to reduce misuse of such differentials and to provide access to such essential materials for SMEs.

    (vi) The nascent industry will be provided time-bound protection, which will cover the payback period of financing and investment. The protection will be phased out gradually to make the protection regime predictable and facilitate the investment decisions. Such protection levels will be provided through Investment Policy.

    (vii) In order to implement these policy recommendations, the following arrangement will be instituted:

    a. A Tariff Policy Board (TPB) chaired by the Commerce Minister/Advisor, with Minister for Industries & Production, Secretary Finance, Secretary Revenue, Chairman FBR, Secretary Commerce, Secretary Board of Investment, and Chairman NTC as its members shall be created. Secretary Commerce shall be the Member/Secretary of the Board. The TPB shall be responsible for formulation, amendment and implementation of the National Tariff Policy.

    b. A Tariff Policy Centre shall be created in the Ministry of Commerce, which will serve as the Secretariat of the TPB.

    c. All proposals for levy, amendment or removal of tariffs including regulatory duties and customs duties shall be examined at the Tariff Policy Centre and after approval of the Tariff Policy Board shall be submitted by the Commerce Division to the Cabinet or Parliament, as the case may be, for approval.

    (viii) Any policy impacting tariffs or having tariff-like impact shall be formulated through the process mentioned at (vii) above.

  • Customs seizes huge quantity smuggled diesel oil in deep sea operation

    Customs seizes huge quantity smuggled diesel oil in deep sea operation

    KARACHI: Customs authorities have foiled an attempt to smuggle large quantity of Iranian diesel oil into Pakistan, officials said on Thursday.

    The officials said that Pakistan Customs Preventive Marine Section had conducted an operation against smugglers near Gwadar.

    The customs authorities intercepted two boats in deep waters for search, which resulted in discovery of 22,000 liters of Iranian diesel oil, which was meant to smuggle into Pakistan.

    The total value of diesel oil has been estimated at Rs2.1 million.

    The customs authorities seized the diesel oil as well as both the boats. The value of seized boats has been estimated at Rs30 million.

    The preventive officials said around 32.1 million worth diesel oil and boats were seized in the operation.

  • FBR appoints appraising, valuation officers

    FBR appoints appraising, valuation officers

    ISLAMABAD: Federal Board of Revenue (FBR) has appointed appraising and valuation officers (BS-16) in the Customs Department.

    A notification issued on Thursday, the FBR said that consequent upon the recommendations of Federal Public Service Commission (FPSC), Islamabad vide letter No.F.4-180/2018-R-FS-I, dated 17.10.2019 and having accepted the terms and conditions of appointment contained in the offer of appointment letter No.2(9)/2015-Cus-III, dated 22.10.2019, the following candidates are hereby appointed as Appraising/ Valuation Officer (BS-16) in the Customs Department and their services are placed at the disposal of Customs field formations mentioned against each:-

    01. Raafeh Nasar Chattha, Model Customs Collectorate (Appraisement) Lahore.

    02. Haris Bukhtiar Khan, Model Customs Collectorate (Appraisement) Lahore.

    03. Muhammad Ibrar Ibrahim, Model Customs Collectorate (Appraisement) Lahore.

    The FBR said that their inter-se-seniority will be maintained in order of merit assigned by Federal Public Service Commission (FPSC) and in accordance with the Civil Servants (Seniority) Rules, 1993.

    Other terms and conditions of their appointment will be the same as already conveyed vide FBR letter dated October 22, 2019.

    3. They are advised to join the concerned Customs field formation immediately but not later than 06.12.2019.

  • FBR starts air travelers’ monitoring to detect money launderers, drug smugglers

    FBR starts air travelers’ monitoring to detect money launderers, drug smugglers

    ISLAMABAD: Federal Board of Revenue (FBR) has launched passenger profiling system at international airports to curb money laundering and drug smuggling.

    A statement on Thursday said that Pakistan Customs, a wing of the FBR, has launched a specialized Risk Management System for passenger profiling at all major international airports in Pakistan.

    This exercise is part of the Customs Border Management Initiative (BMI) recently approved by the prime minister.

    The Passenger Profiling System, “Global Travelers Assessment System” (GTAS) is now operational at seven major airports of the country for which Customs staff has been adequately trained.

    Moreover, World Customs Organization (WCO) and US Customs and Border Protection (US CBP) have provided Technical assistance for deployment and implementation of the project.

    The system is capable of carrying out passenger profiling and targeting through Advance Passenger Information (API) and Passenger Name Record Information (PNR) for interdiction of suspected travelers, drug smugglers and money-launders etc. while adhering to the requirements of FATF action plan.

    It will also help in creating profiles of passengers travelling to and from Pakistan and generate risk indicators in advance using a proactive methodology for effective border management.

    According to Chairman FBR Syed ShabbarZaidi, the GTAS will also enable Customs to achieve the “Invisible Customs approach” with least presence at airports while facilitating the genuine passengers.

    The Chairman has also directed Member Customs Operations to ensure adequate training sessions for customs officers while initiating data sharing with border agencies which will serve as a targeting portal for all law enforcement agencies at Pakistan Customs National Targeting Centre.

  • Privileged personnel allowed duty, tax free car import

    Privileged personnel allowed duty, tax free car import

    KARACHI: Federal Board of Revenue (FBR) has granted duty, tax free import of cars to privileged personnel on first arrival in Pakistan.

    According to Customs Rules 2001 the expression “privileged personnel” means all foreign experts, consultants or technicians visiting and resident in Pakistan under a proper Aid Agreement in which provision for the application of these Customs concessions has been made.

    The expression includes only such personnel as are either directly in the employment of the foreign aid giving Government or Agency or who serve in Pakistan under contract or agreement with such Government or Agency and whose salaries and travelling expenses to and from Pakistan are paid by the foreign Government or Agency.

    It does not include personnel in the employment of the Federal or Provincial Government.

    The following customs concessions shall be extended to the privileged personnel, namely:-

    Import free of custom duty and sales tax of articles for the personal use of the privileged person or members of his family forming part of his personal and household effects including one car per family on his first arrival in Pakistan.

    The time limit for import will be six months, extendable by the Collector of Customs for a maximum period of 25[eighteen] months from the date of the arrival of the person concerned;

    In addition to the above, a privileged person shall be allowed to import on payment of duty and taxes foodstuff and consumable stores including liquor and tobacco up to a C&F value of two hundred U.S.$ per month but the value of liquor will not exceed one hundred U.S.$ per month.

    However, import of alcoholic beverages shall be subject to Import Policy Order.

    Note: The privileged personnel may import the monthly quotas prescribed in clauses (a) and (b) of rule 39, for a maximum period of six months at a time.

    Articles imported customs-duty and sales tax free shall normally be re-exported and shall not be sold or otherwise disposed of within Pakistan except with the prior approval of the Government or in terms of the regulations prescribed by the Government.

    If any other durable articles such as air-conditioners, refrigerators, deep freezers, VCR ,DVD, washing machines, etc., are disposed of in Pakistan, customs-duty and sales tax, etc., shall be payable on the original value at the rate applicable to the goods in question at the time of import.

    The privileged personnel shall be responsible for the payment of customs-duty and sales tax and other charges before parting with the articles; provided that no customs-duty and sales tax shall be payable if sold after three years from the date of import.

    In order to avail of the concessions under this chapter , a privileged personnel shall furnish to the Customs authorities a certificate duly signed by the Administrative Ministry of the Government of Pakistan concerned both in respect of personal and household effects, etc., imported on first arrival and subsequent monthly imports of foodstuffs, consumable stores, liquors, and tobacco in accordance with the prescribed quotas.

    The Administrative Ministry concerned shall verify that the conditions in the rules have been satisfied before issue of the certificate.

    The Administrative Ministry shall also be generally responsible to ensure that all the other conditions as per this chapter have been satisfied between the time of arrival and departure of privileged personnel:

    Provided that a foreign employee of an industrial venture shall be entitled to import free of customs-duties and other taxes food stuff (excluding alcoholic beverages) upto C&F value of one hundred US $ per month subject to the condition that he shall produce a certificate from his employer to the effect that he has been employed in his industrial venture in Pakistan for a specific year.

    The monthly quota may be imported for a period of six months at a time.

  • Customs directed to verify seized vehicles carrying smuggled goods

    Customs directed to verify seized vehicles carrying smuggled goods

    ISLAMABAD: Syed Shabbar Zaidi, Chairman, Federal Board of Revenue (FBR) has directed customs authorities to launch verification of seized vehicles carrying smuggled goods.

    A statement issued on Monday, the FBR chairman directed the customs field offices to identify smuggled items and take strict action against offenders.

    On the instructions of Syed Shabbar Zaidi, Chairman FBR, Customs Wing has issued instructions to all its field formations to verify the genuineness of all seized conveyances being used to transport smuggled goods through verification from Forensic Science Laboratory, Registration Database of Excise & Taxation Department and Customs Clearance documents.

    The field formations have been further instructed to initiate separate legal proceedings in case such conveyances are found to be smuggled or with tampered chassis number.

    These instructions will greatly help in dismantling the smuggling network being used to transport smuggled goods.

    In line with the recommendations of the Prime Minister’s Steering Committee on Anti-smuggling, Pakistan Customs being the country’s lead Anti-Smuggling Organization has accordingly stepped up enforcement actions in coordination with other Law Enforcement Agencies.