Karachi, September 12, 2025 – The Federal Board of Revenue (FBR) has accelerated efforts to roll out its flagship Cargo Tracking System (CTS), a digital initiative aimed at boosting revenue, curbing smuggling, and improving trade documentation.
The system is being designed to transform how goods move across Pakistan by replacing outdated manual methods with a seamless, technology-driven platform.
The FBR, as Pakistan’s apex revenue body, is responsible for tax collection and policy enforcement. Within its structure, Pakistan Customs plays a critical role in regulating international trade, ensuring compliance, and preventing illegal movement of goods. However, the absence of a centralized cargo monitoring framework has long resulted in inefficiencies, revenue leakages, and unnecessary administrative burdens for both traders and enforcement agencies.
To address these gaps, the FBR has invited proposals from consultants to design and implement the CTS integrated with the e-Bilty mechanism. Under this system, each journey will be assigned a digital consignment note, linked to electronic databases, and supported by IoT devices for real-time monitoring. By enabling end-to-end tracking of goods, the CTS will minimize physical inspections, reduce pilferage, and discourage the transport of non-compliant consignments.
The initiative draws inspiration from international best practices. China’s RFID-enabled container system, Brazil’s electronic transport document framework, and India’s E-Way Bill system are notable models that improved transparency, sped up clearance times, and enhanced enforcement. Pakistan’s version will build on these experiences to ensure greater accountability in both imports and domestically manufactured goods.
Currently, manual checkpoints managed by Customs, Police, Excise, and other agencies often create bottlenecks, causing delays and higher logistics costs for compliant traders. The absence of digital tracking also fuels opportunities for smuggling and tax evasion. By digitizing the issuance of the Bilty and linking it with electronic invoices and customs declarations, the CTS will not only streamline processes but also strengthen the government’s ability to enforce compliance.
Each vehicle carrying cargo will be issued a digital ID, along with an active transponder for automated identification during transportation. This will give law enforcement agencies instant visibility into consignments, while also providing traders and recipients with assurance about the security of their goods. The system will be flexible and interoperable, allowing integration with Pakistan Single Window (PSW), NADRA, motor registration authorities, and future initiatives such as the Customs Targeting Center.
In addition to improving compliance, the CTS will lower administrative burdens, reduce the misuse of fake invoices, and bring uniformity across agencies. By offering real-time tracking, the system will ensure supply chain security, strengthen investor confidence, and promote fair competition by eliminating the advantages currently exploited by smugglers.
The FBR envisions a phased implementation of the project, with clear milestones and governance structures. Once fully operational, the cargo tracking platform is expected to transform Pakistan’s trade and taxation landscape, positioning the country closer to global standards of efficiency, transparency, and digital governance.