KARACHI: The Federal Board of Revenue (FBR) of Pakistan has announced that Afghan transit goods that arrived at Pakistani ports between October 3 and November 16, 2023 will not be subject to the 10 percent processing fee that was imposed on certain categories of imports. The FBR issued a notification on Monday to clarify the exemption period for the fee, which was introduced on Tuesday through an SRO.1380(I)/2023.

The processing fee applies to five major categories of Afghan transit commercial goods that are imported into Afghanistan via Pakistan. These are confectionaries/ chocolates, footwear, machinery (mechanical/electrical), blankets/home textiles and garments. The FBR said that the fee was imposed in response to the proposals of the Ministry of Commerce, which highlighted the misuse of the transit facility by some businessmen from both sides due to the low customs duty in Afghanistan compared to Pakistan. The fee is intended to prevent the smuggling of these goods back into Pakistan and protect the local industry.