Islamabad, December 24, 2025 – The Federal Board of Revenue (FBR) has issued a notification introducing a special procedure for customs clearance of imported goods at the Sost Dry Port, aiming to streamline trade and facilitate businesses operating in the Gilgit-Baltistan (GB) region.
The notification, issued as SRO 2488(I)/2025, seeks to provide clear guidelines while inviting feedback from stakeholders within seven days to finalize the procedure.
Under this special procedure, the FBR outlined specific conditions for duty exemptions on imports through the Sost Dry Port, which lies along the historic Silk Route. Importers can benefit from non-levy of sales tax, income tax, and federal excise duty provided that the goods fall under the specified PCT Codes listed in the notification. Additionally, the FBR clarified that these exemptions will only apply to firms and companies solely owned by individuals holding a domicile of Gilgit-Baltistan.
To maintain fiscal discipline, the cumulative non-levied taxes under this scheme are capped at Rs. 4 billion per fiscal year, as monitored through the Customs Computerized Clearance System. The notification also emphasizes a “First Come, First Serve” approach for extending exemptions within the allocated quota, while imports beyond the quota intended for consumption in Gilgit-Baltistan will be subject to applicable taxes.
The government of Gilgit-Baltistan is responsible for ensuring that all goods imported under this procedure are used exclusively within the territory of GB. In cases of disruption, such as road blockades or protests affecting customs operations, the Collector of Customs, in consultation with the GB government, has the authority to suspend exemptions temporarily.
Moreover, the FBR has granted the Collector of Customs authority to disallow exemptions in cases of mis-declaration or if goods are removed from GB’s jurisdiction. The Chief Collector of Customs (Enforcement) will monitor compliance to prevent diversion of goods.
The notification further mandates periodic review of the listed PCT Codes and outlines that all provisions of the Imports and Exports (Control) Act, 1950, Import Policy Order, and Customs Act, 1969 will apply to goods imported via Sost Dry Port. The Board will also devise procedures to differentiate and track goods imported through Sost for Gilgit-Baltistan from those destined for other parts of Pakistan, ensuring effective customs management and trade facilitation.
This move by the FBR is expected to enhance trade efficiency along the Silk Route, support local businesses in GB, and ensure proper monitoring of tax exemptions, while maintaining national revenue safeguards.