KARACHI: In a rapidly escalating situation, the customs assessment issue in Karachi has reached a boiling point as clearing agents have taken to the streets in protest. The catalyst for the unrest was the recent cancellation of licenses for 45 agents, a move that has left the customs agents fraternity in turmoil. Sources indicate that additional licenses may also face suspension.
In response to the cancellations, the customs agents fraternity has announced plans to hold a press conference to voice their grievances. The agents allege that they are being blackmailed by customs officials into paying “speed money” to expedite the clearance process and avoid undue demurrage and detention. The agents are demanding action against the extortionist customs staff, claiming that no measures have been taken to address the issue.
The controversy began with what some have called a baseless First Information Report (FIR) lodged against an appraising officer and several customs agents. According to sources, the problem extends beyond a single appraiser, with multiple officers allegedly receiving speed money in exchange for speeding up clearance processes. While this practice is undoubtedly unethical, it does not directly impact government revenue.
Sources also suggest that certain elements within the customs agents’ ranks may be causing significant losses to government revenue in collusion with customs officers and importers. Authorities have focused on eliminating speed money through the implementation of Faceless Customs Assessment, but critics argue that insufficient attention is being paid to securing government revenue. Despite the increasing value of imports, tax collection remains stagnant.
The chaotic nature of consignment clearances has contributed to revenue losses, with many consignments cleared through the “green channel” and the primary beneficiaries being importers and agents. Although authorities are now prioritizing examination processes to streamline operations, 60% of consignments continue to be cleared through the green channel.
Adding to the mounting challenges, customs officers stationed at Karachi’s Central Assessment Unit (CAU) have voiced concerns about their prolonged working hours. Officers report enduring 12-hour shifts, with an additional two hours spent commuting, resulting in effective duty hours of 14 hours daily. A previous attempt to introduce shift-based assignments for appraising officers was short-lived, and the officers are once again facing lengthy shifts without any additional compensation for what they describe as “inhumane” working conditions.
The officers also highlighted inadequate provisions for food, restrictions on movement, and unsanitary toilet conditions. Terminal operators, who are responsible for providing customs officers with benefits such as utility payments and vehicles, have obtained a stay from the High Court, leaving assessment staff and other officers without the promised amenities. While senior officers receive benefits from terminal operators, lower-ranking staff remain without support.
As the crisis deepens, all eyes are on the upcoming press conference, where customs agents are expected to unveil further details and demand urgent action from authorities to address their grievances and restore order to the customs assessment process.