December 04, 2008
Scrap import removed from computerized clearing system in Pakistan
Dawn reported that Pakistan’s Federal Board of Revenue has decided to stop clearance of all categories of scrap through computerized system of Customs Administrative Reforms and put it back for physical examination at Model Customs Collectorates.
Mr Munir Qureshi chief collector of customs under the FBR directives issued orders for deleting scrap from clearance at CARe and putting it back to physical examination at Model Customs Collectorate Karachi and Port Qasim. As a result of the change in the clearance method of all sorts of scrap, the importers will now have to file Goods Declaration instead of Customs Registration Number.
Mr Qureshi further directed that all shipping agents will have to declare scrap consignments in the Bill of Lading and Carrier Declarations. The scrap consignments should be declared as non Pakistan Automation Computerized Customs System so that they could be processed under ‘One Customs’ or Model Customs Collectorate.
Officials of customs authorities said that rampant corruption and mis declaration at CARe had been causing revenue loss worth millions of rupees because many items were being cleared under the garb of scrap. They added that “You name it, from steel sheet, complete engines, plant and machinery stuffed under the scrap in containers which were being cleared through auto system of CARe.”
As per report, large scale wrong declarations were being done by commercial importers with the connivance of customs staff and huge quantities of not only dutiable goods but also banned items were cleared under the garb of scrap. Since containers were not examined under the CARe system, it becomes easy for customs staff to make under hand deals to clear such consignments.
The objective of CARe was to clear goods from port areas in a minimum possible time to cut cost and make trade competitive but unfortunately the entire computer system was either being tampered through different methods, such re routing and filing of entries at a time of shift over in the system.
