A deliberate attempt has been made to hamper 24/7 operations at Torkham border and create hurdles in smooth clearance of imports and exports between Pakistan and Afghanistan.
Sources told Business Recorder Thursday that since 24/7 operations at Torkham border in September 2019, major increase in both the quantum of imports/exports as well as revenue collection has been witnessed. The increase in customs clearances from Torkham was so much that now the government is considering replicating the same system at Chaman, Kharlachi, Ghulam Khan and Taftan crossing points.
However, organized and deliberate attempts were made to stop such smooth clearance of imports and exports between Pakistan and Afghanistan through the said border area, said the sources.
Senior officials said that the customs department would not spare anyone involved, either from customs department or customs intelligence, in this conspiracy or organized attempt to hamper imports and exports. An inquiry has already been launched against the involved persons specifically within the department, if any, they added.
In light of the vision of current government to facilitate trade activity and ensure ease of doing business, Pakistan Customs has sped up its efforts to achieve the goals towards effective public service delivery and optimum revenue generation. One such step was the operationalisation of Customs Station Torkham on 24/7 basis by the Prime Minister on September 18, 2019, which sped up the quantum of trade across the border manifolds.
With the operationalisation of Customs Station Torkham on 24/7 basis, Torkham has gone through a sea change. The customs clearances are available round the clock including off-days (Saturdays and Sundays) and despite acute shortage of staff, customs staff is performing 12 hours shift duties to ensure smooth flow of trade across the border and facilitate business community. The results are robust and very positive, they said.
A comparative analysis of the pre and post 24/7 operations at Torkham revealed a marked increase in both the quantum of imports/exports as well as revenue collection. On the import side, during the period from September 2019 to January 2020 after the station was operationalised on 24/7 basis, the total value of imports increased to Rs 203.65 million from Rs 172.89 million during the corresponding period of the last financial year, showing an increase of 18%.
Likewise, the amount of duty taxes collected during the same period increased to Rs 4,484.82 million from Rs 3,279.68 million collected during the corresponding period of the last financial year, showing an increase of 37%. The total number of trucks, used in imports, increased from 20,463 to 28,828 showing an increase of 41%.
On the exports side, during the aforementioned, the total value of exports increased to Rs 237,81 million from Rs 207,52 million during the corresponding period of the last financial year, showing an increase of 15%. The foreign exchange remitted during the period through exports from Torkham also increased by 40% to $44 million.
With the operationalisation of Customs Station Torkham on 24/7 basis, transport charges have also been reduced substantially. It has been observed that about 25 % of the trade component has been shifted to night clearance, ensuring great facilitation for the traders. The dwell time of the consignments has also gone down sharply (reduced to 2-3 hours or even less).
During the period from July to December 2019, about 94,277 vehicles, carrying import/export cargos, were cleared by customs which averages out to around 525 vehicles (approx) daily which is a very high number to be handled by a limited number and resource-less customs staff, performing their duties diligently in severe weather conditions around the year.
Sources said that handling such a huge trade volume at Torkham, no doubt, demands extra efforts as well as facilities i.e. examination and container storing sheds, vehicle parking areas, 24/7 online software connectivity, uninterrupted electricity supply and a host of other such facilities. However, the working conditions in Torkham, as observed, are such that one has to appreciate the customs staff for performing their duties within the scarce available resources at their disposal.
While there are no properly marked examination sheds, the examination of containers is carried out in open fields (without any boundary walls), demarcated as such to be the examination yard. There is neither any storage facility for import/export/transit containers nor for proper parking of cargo vehicles, which ply in hundreds on daily basis.
The concerned terminal operator at Torkham, operating for the last many years, has failed to properly fence and gate the terminal. Absence of a proper terminal paraphernalia (as is the case in Karachi e.g. PICT, KICT, AICT) is a major risk which leads to pilferage and theft of cargo, the officials said.
Nevertheless, in spite of the issues mentioned above, it is a fact that the opening of Customs Station Torkham on 24/7 basis has been a positive step taken by the current government which has facilitated the business community and has increased trade flow across the Pak-Afghan border.
After successful 24/7 operationalisation of Torkham crossing point, the government is now contemplating to replicate the same at Chaman, Kharlachi, Ghulam Khan and Taftan border points.
A high-level meeting of the stakeholders was also recently chaired by Advisor to PM on Establishment Arbab Muhammad Shehzad who is taking keen interest in replicating the same at the abovementioned stations.
The government is, however, advised to gear up its customs department by providing it necessary facilities and resources alongside improving the infrastructure in these stations to meet the requirement of business operations on 24 hours basis.