Cross-border goods via PSW system: FBR directs govt depts to apply new ‘IRMS’

ISLAMABAD: The Federal Board of Revenue (FBR) has directed the government departments having trade controls on import, export and transit goods to apply a risk management system on all cross-border trade consignments being cleared through Pakistan Single Window (PSW) system.

The FBR has issued Pakistan Single Window Integrated Risk Management System Rules, 2023 on Monday.

According to the SRO.1728(I)2023, the new procedure shall apply to all government agencies that apply trade controls on import, export and transit goods cleared through the PSW system whether through scanning or other forms of non-intrusive inspection technology, physical inspections, withdrawing of samples, detailed examinations or documentary controls in the form of licences, permits, certificates and other documents in accordance with the regulatory requirements of the government agencies.

There shall be an Integrated Risk Management System (IRMS) implemented through the PSW system for the purpose of applying trade controls, management procedures and risk mitigation measures on imports, exports and transit goods in a coordinated manner to ensure equitable balance between ensuring compliance and trade facilitation to reduce the time and cost of doing business.

The IRMS shall apply to all cross-border trade consignments being cleared through the PSW system. All goods shall be assigned to risk channels by the IRMS on the basis of risk criteria defined by the government agencies in the system.

The clearance process thereof may involve scanning or other forms of non-intrusive inspections, physical inspections, detailed examination, drawing of samples, laboratory tests and laboratory reports; scrutiny of documents and request for additional documents; provisional release with further controls to be applied at the importer’s premises after release from the customs area and clearance as per declaration.

The Governing Council (GC) shall constitute an inter-agency Risk Management Committee for providing strategic direction, principles, policies, guidance and oversight for the IRMS, ensure collaboration amongst government agencies for the implementation of the IRMS and review outcomes and effectiveness of risk activities and impact on compliance levels in addition to other tasks assigned by the GC.

The operating entity shall establish a centre of excellence (COE) to operate and maintain the IRMS, receive and process change requests, monitor performance of the system and support IRMS related training and capacity building initiatives. The COE shall also be responsible for extracting, analysing and sharing IRMS related data and feedback with the risk management committees and other relevant stakeholders, the FBR added.

Copyright Business Recorder, 2023