KARACHI: The faceless assessment system, designed to streamline customs procedures, is facing criticism for being artificially successful. The system has turned the yellow channel into the green channel, with 99% of Goods Declarations (GDs) in Appraisement South now processed through the green channel. Approximately 50% of imports are already processed through this channel, while the remaining 50% are assessed via the yellow and red channels.
Sources reveal that out of 5,000 GDs at the Faceless Customs Assessment (FCA), only 53 were sent for examination. To monitor the work, collectors from Appraisement East, Appraisement West, and SAPT are required to spend two hours each day at the FCA. Similarly, the Chief Collector of Appraisement South also dedicates two hours daily to oversee operations.
The 55 appraisers at the FCA are under strict supervision to prevent them from calling for documents or marking GDs for examination. They are reportedly advised to accept the declarations and duties/taxes as stated by the importers. Senior Customs officers have criticized the FCA, calling it a ridiculous system with an artificially cleared backlog. They question the sustainability of having chief collectors and collectors monitor appraisers for two hours daily, especially given the appraisers’ 12-hour shifts and three-hour commutes.
Sources indicate that Customs employees who previously benefited from smuggling and corruption were receiving 5-10% of the gains, while importers and clearing agents benefited by 85%. In an attempt to curb 15% corruption, authorities have inadvertently given importers and clearing agents a free hand, leading to 100% corruption.
Additionally, FCA staff cannot access emails or mobile phones, further complicating operations. An official stated that the FCA cannot function effectively under these conditions and should operate in shifts. The new system has eliminated the need for consignments to move to dry ports, providing a legal cover for imported consignments.
The bulk cargo clearance has come to a standstill due to the non-clearance of the into-bond Goods Declaration (GD). Consequently, the cargo remains undischarged from the vessel. This delay is causing the importer to incur substantial demurrage fees, while the port is accruing significant charges from the shipping line.
Customs intelligence has been effectively paralyzed, and the Research and Development (R&D) departments of collectorates have also been deactivated. Critics argue that the high-ups are more focused on proving the system’s success rather than considering government revenue.
Importers and clearing agents, however, are satisfied with the new system, as it has freed them from being blackmailed by Customs staff and paying speed money. Senior Customs officers suggest that if all imports are to be processed through the green channel, the 55 appraisers should be reassigned to the Post Clearance Audit (PCA), Examination, and R&D departments to allow for random examination and scrutiny of consignments.