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The business community has raised a serious objection on SRO 450(1)/2001 Customs Rules, 2001 sub rule 664(q) which, according to the community, has opened the floodgates of corruption.

The Secretary Revenue Division and the Chief Collector of Customs (Enforcement) Port, without taking main stakeholders—the business community, into confidence—has in close collusion with shipping agents totally bypassed/evaded international laws such as the Carriage of Goods by Sea, The Hague Rules, the Contract Act, the Hamburg Rules, the United Nations Conventions on the Carriage of Goods by Sea.

The amended customs rules 2001 have given a free hand to shipping agents to collect suspected unlawful charges. Questionable Customs Rule 450(1) 2001 sub rule 664(q) change the course of law, escape and supersede entire international shipping rules.

The Hague Rules is a set of international rules for the international carriage of goods act in maritime law. In international code, the Hague Rules define the rights and liabilities of a carrier. They also define the whole of the operation and services undertaken or performed by or on behalf of the Carrier in respect of the goods, Ocean Freight and other charges provided by the carrier’s applicable charges, etc.

The carrier shall be entitled to sub-contract terminal operators in connection with the performance of any or all of carrier’s obligations under the Bill of Lading and charges shall be deemed fully earned on receipt of the goods by the carrier.

The Bill of Lading (Contract Act) defines the following: “Freight including all charges payable to the carrier in accordance with the applicable tariff. In case of inconsistency between Bill of Lading and Applicable Tariff, Bill of Lading shall prevail”.

The United Nations Convention on the Carriage of Goods by Sea 1978 (Hamburg Rules) states that “Any stipulation in contact of carriage of sea, in bill of lading or in any other documents evidencing the contract of carriage by sea is Null & Void to the extent that it derogates directly or indirectly from the provisions of this Conventions.

The nullity of such a stipulation does not affect the validity of the other provisions of the contract or documents of which it forms a part. A clause assigning benefits of issuance of goods in favour of the carrier or similar clause is null & void”.

But the shipping agents conveniently bypass international laws; without approval from licensing authority, they publish their own fabricated tariff and collect accordingly— delivery order charges, late D/O charges, equipment management fee, ISPS, Destination Delivery Charges, Gate Pass, THCD charges, Container Services Charges and other ancillary charges.

Mehdi Hasan (Karachi)

Copyright Business Recorder, 2024

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