LAHORE: Soon after the government imposed an import ban on several finished goods, there has been a significant surge in smuggling, as well as resurgence of transshipment cargo replacement. The foreign exchange starved country is taking harsh measures to arrest the widening current account as well as trade deficit including ban on certain imports.
The import ban has failed to stop the influx of the very goods, which are now been smuggled into the country. However, in this practice, the burden is not on country’s official forex reserves. Smuggling is not always in US dollars, it is in local currency as well as barter. The clans inhibited across the border have equal influence and relations in the bordering countries as they have in Pakistan.
Quite recently, I&P Cell of MCC Appraisement Lahore lodged an FIR against SMJ International for replacing goods from transshipment cargo during the transit. Similar FIR was lodged by Customs Sambrial against M/s Rizwan Traders, M/s Enirates Logistics, Banaras Khan and others for replacing the goods from a transshipment cargo.
Information was passed through Chief Collector Faiz Ahmed to respective collectors regarding replacement of transshipment cargo during transit. Acting on the information, Customs formations caught two transshipment consignments, wherein cargo was being replaced. Sources said the goods which were being replaced with low-value goods comprised mostly of the items, which were banned. An official said smuggled had increased significantly and non-duty paid goods were coming in through all channels. The official said there could be even more surge in smuggling going forward. He said goods which ever switched to smuggling from legal channels, never come back.
A trader said banning imports was not a solution, and ban on vehicles’ import under baggage scheme was totally unnecessary because no foreign exchange is transferred abroad against vehicles’ import instead the duty/taxes are paid in forex.
A businessman said imposing a time table on the markets was unjustified as most of the businesses only operated during late hours such as restaurants and food shops.