Despite huge flaws in Pakistan Customs Computerised System (PaCCS), the Federal Board of Revenue (FBR) has planned to expand it to all dry-ports and airports across country. Sources told Business Recorder on Friday that the project was launched in March 2005 in order to revolutionise customs clearance process.
However, after elapsing three years, all the claims have been exposed as mere hype without any substance while the government also suffered losses worth billions of rupees as evasion through PaCCS.
The sources said developers of the system had claimed that it would make customs clearances quick, simple and corruption-free while all information for traders would be available at their fingertips. Contrary to these statements, the system has failed to deliver any fruitful result.
They further apprised that the Automated Customs Clearance System (ACCS) had failed to perform its task. However, developers claimed that the system covers entire spectrum of customs functioning - from the arrival of the vessel to clearances, adjudication, seizures, refunds and auctions.
Before the introduction of PaCCS, Goods Declarations (GDs) were filed manually where almost every consignment was examined. However, after computerisation of custom clearance process, a certain percentage is released by the Risk Management System (RMS) without any assessment or examination and out of total consignments, fewer are actually sent for physical examination, they said.
The sources said that the system provides safe passage to traders for clearing their mis-declared goods causing to raise short-payment of customs duties and taxes.
They said that Pakistan Revenue Automation Limited (PRAL) was established with substantial resources in order to facilitate FBR in fulfilling its IT needs besides resolving other issues. But, the FBR has acquired the assistance of Agility Logistics, a UAE based company in resolving software problems, they added.
Assignment of such an important task to a foreign company is being questioned, especially in view of the fact that the company will have complete access to all sensitive and confidential data, the sources said.
They said that no step had been taken yet to eliminate flaws in the system as around 70 percent imports and exports were being cleared through an incomplete and defective system, causing immense losses to national exchequer.
The sources revealed that FBR has planned to install PaCCS in all other ports as well. For that purpose the board has received two bids from M/s Agility Logistics and M/s Crimson Logic, a Singapore-based company. Both the companies have shown interest to invest more than $75 million to develop the software and infrastructure. In return contract winner would be given the right to collect service charges from all importers and exporters for the coming 15 years, they concluded.
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