FPCCI Endorses Innovation, President Praises Customs' Efforts
In a significant move towards promoting transparency and curbing mis-invoicing, the Pakistan Customs Department held a high-profile orientation session on the Linking International Value (LIVE) System on Friday. The event, hosted by the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) at its Karachi headquarters, attracted prominent figures from the country’s trade and industry sectors.
The FPCCI president Atif Ikram Sheikh praised the efforts made by customs, particularly those of the Directorate of Valuation, Karachi, which, under the direction of Member Customs Operations, Dr. Fareed Iqbal Qureshi, has been instrumental in fostering an atmosphere that is favourable to commerce and industry.
LIVE System: A Shield Against Mis-invoicing
The session, addressed virtually by Member Customs Operations, Dr. Fareed Iqbal Qureshi, focused on the LIVE System’s features and benefits. Dr. Qureshi highlighted the system’s effectiveness in combating mis-invoicing practices, including under-invoicing and over-invoicing, since its launch in December 2022. He emphasized the system’s transparent and dynamic nature, ensuring a predictable environment that fosters economic growth.
Innovation Framework Drives LIVE System Development
Mr. Fayaz Rasool Maken, Director of the Directorate General of Customs Valuation, Karachi, elaborated on the system’s development under the Prime Minister’s Strategic Roadmap. He explained how the LIVE System’s innovation framework is built on strong leadership vision, high workforce standards, a belief in organizational capability, and agile management practices.
Expanding Coverage to Combat Mis-invoicing
Following Member Customs (Ops) directives to diversify international publications for mis-invoicing control, the Directorate of Valuation has linked over 150 commodities, valued at PKR 2,280 billion, to renowned publications like LME, Public Ledger, and Platts. This covers sectors like steel, food items, paper, yarn, and chemicals.
Ambitious Target for Increased Coverage
Mr. Maken revealed plans to cover PKR 3,030 billion worth of Pakistan’s imports by September 2024 through Valuation Rulings (VRs) and Post Valuation Rulings (PVRs). To achieve this, Customs is exploring robust databases like QY Research and Factiva to determine accurate good valuations as mandated by the WTO Valuation Agreement.
VRs to PVRs: Streamlining Trade Facilitation
Mr. Aman Paracha, VP FPCCI, expressed hope that the LIVE System’s implementation would lead to replacing VRs with PVRs for imports valued at Rs. 850 billion. This transition would not only optimize revenue collection but also minimize trade/valuation disputes and expedite clearances, fostering trade facilitation.
Interactive Session and Ongoing Support
The session concluded with a LIVE System demonstration, followed by a question-and-answer session. The FPCCI offered continued support to the Pakistan Customs Department in implementing such crucial initiatives for the nation’s trade, industry, and economic prosperity.