PCA is ‘functionally weak with less strength’: Chief Collector Customs

KARACHI: The Chief Collector of Customs Appraisement South, Jamil Nasir, has challenged the credibility of the Directorate of Post Clearance Audit (PCA), describing it as “functionally weak with less strength”.

Speaking at a press conference at Customs House Karachi on Tuesday, Nasir said that they wanted to strengthen PCA, which is currently weak with less strength, defending the performance of theFaceless Customs Assessment (FCA), system.

The post-clearance audit reportedly accused the faceless system of facilitating tax evasion, under-invoicing, and money laundering activities. However, Nasir firmly disputed these claims, stating: “the findings of money laundering and under-invoicing in the post-clearance audit are not correct.”

The Chief Collector emphasised that his department has not yet received the audit report and will provide an appropriate response once it is formally submitted.

Despite the audit concerns, Nasir expressed complete satisfaction with the FCA system’s operational performance, citing significant improvements in customs clearance efficiency.

Under the FCA system, 95 percent of Goods Declarations (GDs) are now being processed and cleared on the same day, a substantial improvement from previous manual processes.

The Central Customs Appraisement Unit has extended its operational hours from 8:00 AM to midnight, processing between 1,500 to 2,000 GDs daily; hearing are now being conducted virtually, saving considerable time for importers and clearing agents, while laboratory samples receive same-day processing.

The physical examination completion rates for Red Channel GDs have been increased dramatically from approximately 50 percent to 90 percent. Single-item GDs and those filed at off-dock terminals are achieving nearly 100 percent same-day completion rates.

Nasir candidly acknowledged internal opposition to the FCA system, adding that there are deliberate attempts within the customs system to undermine the faceless system and other reforms.

“There are efforts being made to make this system fail within customs,” he said, describing the reforms as creating a “paradigm shift in customs culture” that inevitably produces both supporters and opponents during the transformation process.

Addressing specific concerns about vehicle clearances under expatriate Pakistani schemes, Nasir clarified that all processes are being conducted within existing legal frameworks and import policy conditions. He emphasised that no revenue loss is occurring and that clearance procedures remain consistent under the FCA system.

The customs chief announced additional trade facilitation measures currently in development, including Direct Port Delivery and Decoupling of Payment from GD filing. These initiatives are expected to further reduce port congestion and alleviate liquidity constraints for importers.

“There is no question of their rollback,” Nasir said, emphasising that the faceless system and associated modernisation reforms will continue as planned.

Copyright Business Recorder, 2025