Customs plans to expand technology-based inspections, strengthen risk management and streamline clearance procedures to tackle cargo backlogs at Karachi terminals.
KARACHI: Chief Collector Customs Appraisement Wajid Ali has assured the business community that newly installed scanning facilities will be used to reduce physical examination of cargo, speed up clearance and prevent recurring backlogs at Karachi’s terminals.
Speaking at an interactive meeting at the Karachi Chamber of Commerce & Industry (KCCI) on Wednesday, Wajid Ali said the primary purpose of the scanners was to minimise physical examination wherever technology-based inspection was available.
He said Customs was coordinating with the Federal Board of Revenue (FBR) to avoid unnecessary physical examinations and improve the movement of legitimate cargo through Karachi’s ports.
The Chief Collector stressed that stronger coordination between Customs, terminal operators and the business community was essential to achieving effective trade facilitation.
Customs to strengthen risk management
Wajid Ali said Customs would strengthen its risk-management system to prevent cargo backlogs, particularly at Karachi International Container Terminal (KICT).
He said Customs would review operational arrangements with terminal operators and business representatives to identify bottlenecks and improve cargo clearance.
The official also stressed the importance of direct engagement with the business community, saying many day-to-day operational problems could not be identified through internal meetings or official directives alone.
While appreciating KCCI for presenting its concerns in a professional and precise manner, he said the timely resolution of genuine issues would benefit businesses while improving clearance times, revenue collection and overall trade facilitation.
Customs processes need clear timelines
The Chief Collector agreed that Customs procedures should have clearly defined timelines and measurable performance benchmarks, in line with international best practices.
He acknowledged that statutory deadlines were often strictly applied to businesses, while corresponding timelines were not always available for processes requiring action from Customs.
He said the issue required consideration at the policy level.
On the Alternative Dispute Resolution (ADR) mechanism, Wajid Ali said the relevant law had been amended and a broader committee headed by a retired judge had been constituted, with representation from Customs and the business community.
He stressed that the mechanism needed to become fully operational to reduce litigation and provide faster resolution of disputes.
Wajid Ali assured traders that Customs would continue examining issues relating to valuation, classification, physical examination, laboratory reports and other operational bottlenecks.
He said the objective remained to facilitate legitimate trade while protecting government revenue.
KCCI calls for greater automation
Former KCCI president Zubair Motiwala, who participated in the meeting via Zoom, appreciated the Customs leadership for its responsiveness but stressed that defined timelines and greater automation were necessary to eliminate remaining bottlenecks.
He called for modernisation of the duty-calculation process, saying routine calculations should be handled through automated systems without repetitive approvals or unnecessary human intervention.
Motiwala said automation could reduce processing times, minimise human error and provide businesses with greater predictability.
He also appreciated the Green Channel mechanism and called for further strengthening of technology-based facilitation for compliant businesses.
KCCI highlights Customs concerns
KCCI President Rehan Hanif welcomed the Chief Collector and praised Wajid Ali for his responsiveness to business concerns.
He said KCCI had no major complaints regarding Customs operations under Wajid Ali’s supervision, although the chamber was presenting several proposals aimed at further improving the system.
Referring to the recent backlog at KICT, Hanif said the Chief Collector had responded promptly after being contacted and convened a meeting with KICT and business representatives the following morning to address the issue.
He also appreciated the accessibility of senior Customs officials and their prompt response to concerns raised by the business community.
Hanif urged Customs to increase the number of Additional Collectors of Customs (ADCs), arguing that the shortage was placing excessive workloads on available officers and forcing businesses to approach senior officials for matters that could be resolved at the ADC level.
He also called for a mechanism to ensure that examination assignments were completed without unnecessary delays when officers were transferred or rotated.
He suggested that once an examination had been assigned, it should preferably be completed by the same officer or formally handed over to another officer to ensure continuity.
Business community calls for ADRC activation
The KCCI president also called for the Alternative Dispute Resolution Committee (ADRC) to be made fully operational, with appropriate representation from Customs and the business community.
He said an effective ADR mechanism would allow disputes to be resolved through consultation rather than prolonged litigation.
Hanif further urged Customs to ensure that Classification Committee decisions are uploaded online promptly, providing businesses with greater transparency and certainty.
He also requested reconsideration of the discontinuation of small-vessel and launch operations for exports, particularly as such vessels could provide an alternative during any future regional disruption to conventional maritime operations.
The meeting was attended by KCCI Senior Vice President Muhammad Raza, Senior Vice President Arif Lakhani, Chairman Customs & Valuation Subcommittee Junaid Mehmood, former presidents Zubair Motiwala, Tariq Yousuf, Shamim Ahmed Firpo and Iftikhar Ahmed Sheikh, as well as members of the KCCI Executive Committee.