Afghan importers expressing serious concern over 6000 transit containers stuck at Karachi Port have requested the Ministry of Commerce and the Federal Board of Revenue (FBR) to take immediate steps to clear cargo for transit to Afghanistan.
Sources told Business Recorder that the issue of Afghan containers stuck at Karachi port was discussed during a recent meeting between Pakistani customs authorities and Afghan importers at the Customs House Karachi. Afghan delegation informed the meeting that they had considered Bandar Abbas (Iran) as an alternate route but due to higher costs their preference was Pakistan as the transit country.
Due to recent changes made by FBR, a large number of containers are stuck at Karachi port and some transit cargo is being diverted to Bandar Abbas and other ports in Iran. Afghan delegation further said that 2010-11 has been the worst year for Afghan transit trade due to floods in Pakistan and other issues. Apart from the above, Afghan traders are facing problems of delayed clearance of pending consignments at Karachi and Amangarh.
To ensure speedy clearance of transit containers, National Logistic Cell (NCL) promised to lift 30 containers per day on its own vehicles. NCL promised to come up with a work plan for lifting of containers on Custom licensed bonded carriers. The Model Customs Collectorate (MCC) Appraisement will provide list of bonded carriers and registered vehicles to NCL. Moreover, Pakistan Customs assured speedy processing of filed GDs/ATs at Karachi port and at Port Qasim. As far as clearance at Amangarh is concerned it was observed that the matter may be taken up with FBR Chief Collector North. The Customs Clearing Collectorates will ensure inspection/examination of Afghan Transit cargo on priority basis, without delay.
On the issue of computerisation of "Jawaznama", it has been decided that Afghanistan government was revisiting the issuance of jawaznama and a project of computerised jawaznama was under process. The consulate-general of Afghan in Karachi will provide assistance for determination of authenticity of jawaznama if questioned by Pakistan Customs.
The meeting also discussed provision of data as requested by FBR for verification of commercial goods in transit to Afghanistan from January 1, 2007 to December 15, 2010. Afghan delegation argued that data requested by FBR through Foreign Ministry has already been provided. However, it was observed that complete data was still awaited. Afghan delegation was requested for early provision of the data to FBR, sources added.
The representative of the Ministry of Commerce informed the meeting that Pakistan and Afghanistan are parties to Afghan Transit Trade Agreement, 1965. A new agreement, Afghan Pakistan Transit Trade Agreement, 2010 has, also been inked, which was to be implemented from February 12 this year, but has been delayed due to outstanding mechanism/ modalities, etc. The Ministry assured Afghan delegation that it would solve the current problems related to stuck cargo and would take up the matter with all stakeholders, so that grievances of Afghan traders were addressed.
An NLC official informed the meeting that NLC extends full co-operation and service whenever Government of Pakistan requests it. In 2002, ECC asked NLC to lift Afghan transit cargo. In 2006, when ports were badly choked with Afghan containers, NLC was asked to clear the backlog. Since then NLC has been doing the job very well and at no point of time was there any issue of choking of ports. NLC has the capacity to provide transportation for Afghan transit goods. Currently, NLC has around 700 vehicles in its own fleet and 300 more are being procured. NLC takes full responsibility of safe transportation of Afghan transit goods and if any goods are pilfered, then NLC will be responsible for that. If Customs provides a list of bonded carriers and registered vehicles then a working plan can be formulated for lifting more containers, the official added.
An official of Pakistan Railways informed the meeting that as per Afghan Transit Trade Agreement, 1965, Pakistan Railways (PR) is the prime transporter. The PR has always been doing this job efficiently. However, due to financial problems of PR, the availability of trains is reduced. PR is ready to enhance its capability once again. Within coming 6 months, Pakistan Railways will enhance its capacity to run trains and lift Afghan cargo.
According to the customs authorities, Pakistan Railways was primarily responsible for transportation of transit goods but due to increase in transit traffic, NLC was also assigned the task of transportation. As both carriers could not cater to the increase in cargo, congestion at the ports led to the decision to allow NLC to lift the cargo through HMTs on one time basis. This practice has continued since then and Board was also informed regarding this practice. As new Afghan Transit Agreement envisages transportation through bonded carriers, therefore, in the intervening period and till the operationalization of APTTA, Pakistan Railways, NLC and NLC through Customs licensed bonded carriers have been given the role for transportation of Afghan Transit goods.