The Federal Board of Revenue (FBR) has unveiled a new module within the WeBOC (Web-Based One Customs) system. This online Customs clearance system is designed to specifically cater to the needs of small and medium enterprises (SMEs), aiming to streamline their operations in the realm of international trade.
The FBR, in an official statement, highlighted the development as part of its ongoing drive to embrace digital solutions for improved efficiency and transparency. The automated facility introduced in the WeBOC system is tailored to empower SMEs involved in the export sector by facilitating their acquisition of imported input goods from a Common Export House for subsequent exports, aligning with the Export Facilitation Scheme, 2021.
A Common Export House, as defined by the FBR, is a warehouse authorized by the Collector of Customs for the import, warehousing, and supply of input goods to small and medium export enterprises. Notably, these transactions are conducted without the payment of customs duty, sales tax, federal excise duty, and withholding tax, providing a financial advantage to the entities involved.
The FBR had previously issued a comprehensive procedure outlining the steps for obtaining authorization to operate as a Common Export House through SRO 957(I)/2021 dated July 30, 2021. This initiative opens the doors for public warehouses already functioning under Customs warehousing rules to apply for operating as a Common Export House simultaneously.
The key features of the newly introduced automated facility in WeBOC include online application filing for authorization to operate as a Common Export House, the authorization process by the regulatory collectorate, and the filing of import Goods Declarations (GDs) for input goods by the authorized user of the Common Export House acting as the importer.
This automated system holds the potential to revolutionize the supply chain for SMEs, as it not only simplifies the authorization process but also expedites the filing of import-related documentation. Moreover, the system is designed to facilitate the supply of input goods to SMEs and other authorized buyers within a stipulated period of two years from the date of importation.
The introduction of this WeBOC module tailored for SMEs underscores the FBR’s commitment to creating an enabling business environment, leveraging technology to cut red tape, and encouraging the growth of the SME sector. The move aligns with broader government initiatives to promote digitalization and improve the overall business climate in Pakistan, ultimately contributing to economic growth and job creation. As the system becomes operational, stakeholders will closely monitor its impact on facilitating smoother customs clearance processes for SMEs involved in international trade.
