Draft Amendments in Customs Rules, 2001 - Regarding Cross-Stuffing under Afghan Transit Trade
GOVERNMENT OF PAKISTAN
(REVENUE DIVISION)
FEDERAL BOARD OF REVENUE
****
NOTIFICATION
Islamabad, the 24th August, 2022.
S.R.O. 3 (I)12022.- The following draft of certain further amendments
in the Customs Rules, 2001, which the Federal Board of Revenue proposes to make
in exercise of the powers conferred by section 219, read with section 202B, of the
Customs Act, 1969 (IV of 1969), is hereby published for information of all persons
likely to be affected thereby and, as required by sub-section (3A) of the said section
219, notice is hereby given that objections or suggestions thereon, if any, may for
consideration of the Board be sent within fifteen days of publication of the draft
amendments in the official Gazette. Objections or suggestions which may be
received from any person, before the expiry of the aforesaid period, shall be taken
into consideration by the Federal Board of Revenue, namely:-
DRAFT AMENDMENTS
In the aforesaid Rules,-
(A) in rule 471, in sub-rule (1),-
after clause (ii), the following new clause (iia) shall be inserted,
namely:-
"(ha) "approved off-dock terminals" means the off-dock
terminals in Karachi and Gwadar which have been
approved for cross stuffing of Afghan transit cargo by the
Directorate of Transit Trade (Operations), Karachi,
keeping in view the adequacy of space, infrastructure,
equipment and over all preparedness for cross stuffing;"
and
after clause (x), the following new clause (xa) shall be inserted,
namely:-
"(xa) "cross stuffing" means transfer of goods from one
container to another container or any other mode of
transportation which is approved for TIR operations, in the
premises of the port or at off-dock terminal under customs
supervision and shall also include transfer of non-
containerized reverse transit cargo into open trucks of
approved transport operators at land border station;"; and
after rule 484Q, the following new rules shall be added, namely:-
(3)
"484R. Cross stuffing in Afghan transit cargo — general
(1) Cross-stuffing of containerized cargo under Afghan
provisions.-
transit trade shall be allowed both inside seaport terminal where cargo
arrived as well as at any approved off-dock terminals(ODT) at
separately demarcated areas.
At the time of filing of GD the Customs Computerized
(2)
System (CCS) shall provide the option for cross stuffing. In case it is
so opted, the trader or his representative shall be asked by CCS to enter
following information, namely:-
name of the seaports/ODT from a drop-down menu
for selection of one place;
marks and numbers of the new or empty container
along with name of the entity owning it (ODT,
logistic company/bonded carrier/clearing agent);
name of bonded carrier; and
vehicle number.
Cross-stuffing shall take place under Customs supervision
(3)
from one container to another container of the same size i.e., 20 feet
into 20 feet and 40 feet into 40 feet.
Cross-stuffing may also be allowed into boxed vehicles
(4)
approved for transportation of cargo under TIR.
(5) The cross stuffing of cargo mentioned below shall be
allowed inside seaports only:
non-containerized cargo;
controlled substances as listed in the prevailing
Afghanistan Pakistan Transit Trade Agreement
(APTTA);
heavy packages which cannot be stuffed in the
container; and
cargo of over-dimension, to be determined by
Assistant or Deputy Director (Examination), on case-
to-case basis.
The inter-port movement of cargo destined for ODT shall
be allowed through licensed bonded carriers.
The terminal operator shall be responsible for the integrity,
security and proper cross stuffing of the cargo.
The logistic companies, bonded carrier, clearing agents
and ODTs owning minimum of 25 containers compliant to Container
Safety Convention 1972, fitted with CSC plate, bearing maximum
weight carrying capacity and year of manufacture, can register with
customs for provision of empty containers for cross-stuffing of transit
cargo. The upper limit of tariff and allied charges etc with respect to
provision of this service shall be determined by a Committee
comprising of all Directors of Transit Trade in consultation with the
stakeholders and shall be notified by the Director, Transit Trade
(Operations), Karachi. Violation of tariff and allied charges so
ascertained shall result in de-registration of the entity.
Whenever, a trader opts for cross stuffing facility, the CCS
system will invariably send message to Drug Enforcement Cell (DEC)
of respective Enforcement Collectorate for carrying out drug check on
the empty container as well as on the cargo and feed its report in the
system.
Hereinafter the old container would mean the container
from which goods are to be cross stuffed and new/empty container
means the one in which goods have been cross stuffed.
Cross Stuffing of the reverse Afghan transit cargo will also
be allowed in designated areas, to be approved by the respective
Director of Transit Trade, of the land border stations as per the
procedure detailed in Rule 484-V
- Cross stuffing of forward transit cargo at seaports. —
In case trader or his representatives selects the option of cross
(1)
stuffing at seaport terminal, he will also provide information about old
container number(s), new or empty container number(s), name of
bonded carrier and the registration number of vehicle. The CCCS shall
generate three messages simultaneously for the specific GD alongwith
all the information provided by the trader:
import handling message to terminal operator to
release the container for cross stuffing;
message to a randomly selected examiner to supervise
the cross stuffing; and
message to Drug Enforcement Cell (DEC) of
(c)
respective Enforcement Collectorate for drug check on
the empty container as well as on the cargo and to feed
its report in the system.
The terminal operator shall arrange for the cross stuffing
of the transit cargo from the old container into the corresponding new
or empty container(s) in the afghan transit cross stuffing yard.
The cross stuffing shall be carried out in the presence of
the examiner to whom the GD is marked by CCS, an authorized
representative of the Afghan trader and staff of seaport terminal.
The examiner shall ensure that cargo is cross stuffed from
the same container mentioned in GD to the same new/empty container
the information for which would be available in the system.
During the course of cross stuffing, examiner shall
compare the items being cross stuffed with the packing list and also
take photographs of cargo.
After cross stuffing is done, examiner shall feed his report
in the CCS alongwith photographs of the cargo and also clearly stating
that the difference in weight if any, was within the allowable limit or
not. The PCCSS staff hereinafter mentioned as sealing staff will then
affix the post cross stuffing seal on the new container in which goods
have been cross stuffed. After feeding of the report the system will ask
the examiner about any discrepancy found. In case of Yes, the GD will
be routed to the Appraising Officer for further action as under the law
i.e., framing contravention in case of mis-declaration or rectification of
the mistake with the approval of concerned AD or DD. In case of No,
the GD shall be auto-assessed
After its auto-assessment the GD shall be routed to trader
OT his representative to accept or contest the auto-assessment. The time
to accept or contest will be 12 hours. In case of no action at their end
within 12 hours, the system shall auto processed to put the GD out of
charge. In case of any contest by the trader, the GD will be routed to
AD/DD for necessary action.
After completion of auto-assessment, the GD will be
pushed to the security officer for obtaining GD wise insurance
guarantee or one time revolving insurance guarantee.
The GDs, which will not be auto-assessed on account of
non-availability of matching valuation data in the system, will be
pushed to Assessment Officer (AO) for manual assessment.
After completion of customs formalities, the system shall
mark the GD to bonded carrier. Thereafter, the procedure prescribed in
Rule 473 (9) onwards of sub-chapter VII o f the chapter XXI of Customs
Rules 2001 shall apply.
The staff of terminal and Gate officer of Customs shall
ensure that after cross-stuffing, the empty containers shall be gate out
in the empty one door-off condition.
484T. Transportation of container from seaport to ODT for
(1) In respect of an afghan transit cargo index showing
cross stuffing.-
via port as an off-dock terminal the trader or his representatives may
select the option of cross stuffing at an ODT. He will also provide
information about old container number(s), new or empty container
number(s), name of bonded carrier and the registration number of
vehicle. The CCS shall generate four messages simultaneously for the
specific GD alongwith all the information provided by the trader:
import handling message to terminal operator to
release the container(s) for cross stuffing at selected
off-dock terminal;
message to the PCCSS sealing staff to execute pre-
Gate out events;
message to a randomly selected examiner to supervise
the cross stuffing at selected ODT; and
message to Drug Enforcement Cell (DEC) of
respective Enforcement Collectorate for drug heck on
the empty container as well as on the cargo at ODT
and to feed its report in the system.
The terminal operator shall make the container available
to the PCCSS staff after sending a 'pre-Gate-out' message to system
along with relevant information including the name of the bonded
carrier and the container number. This message shall also be visible to
the PCCSS staff.
The PCCSS staff, hereinafter mentioned as sealing staff
after verifying that permission for transportation of cargo to the ODT
has been allowed by the system, shall physically verify the particulars
of the bonded carrier and the container number vis-à-vis the
information received through the system, affix the PCCSS seal on the
container and feed the sealing information and the vehicle registration
number in the System.
The sealing staff shall also verify the installation of the
tracking and monitoring devices and upload images of the seals,
tracking devices, vehicles, and the containers in the system.
The sealing staff shall also generate and print copies of
'Transport Note', from the System, in triplicate. Each copy of the
'Transport Note' shall be signed by the sealing staff and the bonded
carrier or his representative. One copy of the 'Transport Note' shall be
retained by the sealing staff, the second copy shall be handed over to
the driver of the vehicle who shall submit the same to the Gate-in staff
at the concerned Off-dock terminal and the third copy shall be retained
by the representative of the bonded carrier for his record.
A system generated Customs Seal Verification Message
(SVM) shall be communicated to the terminal operator on feeding of
PCCSS seal information in the system.
Upon receipt of SVM, the terminal operator shall send
"GTO" message to the CCS which shall include the name of the
bonded carrier, vehicle registration number, container number,
shipper's seal number; PCCSS seal number and gross weight of the
container. The CCS shall relay this message to ODT.
The transit cargo containers destined to ODT for cross-
stuffing, should reach at the entry gate of the ODT within five hours
from their time of exit from a seaport In case no electronic
acknowledgment of the receipt of cargo at ODT is received after the
lapse of five hours of its departure from the exit gates of the port of
entry, the system shall compile report of all such containers and
generate an alert for the AD/DD examination for action.
The system shall block the bonded carrier in case of
delayed receipt of cargo beyond the prescribed time limit.
484U. Receipt of forward AT cargo at ODT for its cross
stuffing and release.- (1) On arrival of the container at ODT the
PCCSS staff posted shall check the 'Transport Note' and weighment
slip and shall verify the seal of the container. It shall feed a container
entry report (CER) for the incoming container in the system and any
discrepancy observed with respect to seal, transport note or any other
aspect shall be recorded in it. The CER will be pushed by the system
into the randomly selected examiner who has to supervise the cross-
stuffing.
The ODT staff shall enter `Gate-in' event in the system
and also enter the gross weight of the container.
The ODT shall then arrange for the cross stuffing of the
transit cargo from the old container into the corresponding new or
empty container(s) in the afghan transit cross stuffing yard.
The cross stuffing shall be carried out in the presence of
the examiner to whom the GD is marked, an authorized representative
of the Afghan trader and staff of seaport terminal.
The examiner shall ensure that cargo is cross stuffed from
the same container mentioned in GD to the same new or empty
container whose information is available in the system.
During the course of cross stuffing, examiner shall
compare the items being cross stuffed with the packing list and also
take photographs of cargo.
After cross stuffing is done, examiner shall have a look at
CER fed by PCCSS staff at the time of entry of container in ODT, feed
his examination report in the CCS alongwith photographs of the cargo
and also clearly stating that the difference in weight, if any, was within
the allowable limit or not. The sealing staff shall affix the post cross
stuffing seal on the new container in which goods have been cross
stuffed.
After the examiner has fed his report in the system, it will
ask for any discrepancy found? In case of Yes, the GD will be routed
to the Appraising Officer for further action as under the law i.e.,
framing contravention in case of mis-declaration or rectification of the
mistake with the approval of concerned AD or DD. In case of No, the
GD shall be auto-assessed.
After its auto-assessment the GD shall be routed to trader
or his representative to accept or contest the auto-assessment. The time
to accept or contest will be 12 hours. In case of no action by the trader
within 12 hours, the system shall auto processed to put the GD out of
charge. In case of any contest by the trader, the GD will be routed to
AD/DD for necessary action.
After completion of auto-assessment, the GD will be
pushed to the security officer for obtaining GD wise insurance
guarantee or one time Revolving Insurance guarantee.
The GDs, which will not be auto-assessed on account of
non-availability of matching valuation data in the system, will be
pushed to Assessment Officer (AO) for manual assessment.
The system shall mark the GD to bonded carrier.
Thereafter, the procedure prescribed in rule 473 (7) and onwards of
sub-chapter VII of the chapter XXI of Customs Rules 2001 shall apply.
The staff of terminal and Gate officer of Customs shall
ensure that after cross-stuffing, the empty containers shall be gate out
in the empty one door-off condition.
484V. Cross-stuffing of reverse transit cargo at the land
border stations.- (1) In case the trader or his representatives selects
the option of cross stuffing at the time of filing of GD he will also
provide information about old container number(s), or old vehicle
number (s) in case of non-containerized cargo as the case may be, new
or empty container number(s), name of bonded carrier and the
registration number of vehicle(s). The CCS shall generate three
messages simultaneously for the specific GD alongwith all the
information provided by the trader:
import handling message to terminal operator to
release the container(s) or old vehicle (s) in case of
non-containerized cargo for cross stuffing;
message to a randomly selected examiner to supervise
the cross stuffing; and
message to Drug Enforcement Cell (DEC) of
respective Enforcement Collectorate or ANF or FC as
the case may be for drug heck on the empty container
or truck as well as on the cargo and to feed its report
in the system.
The terminal operator shall arrange for the cross stuffing
of the transit cargo from the old container(s) or old vehicle(s) in case
of non-containerized cargo into the corresponding new/empty
container(s) or new vehicle(s) in case of non-containerized ctargo in the
Afghan transit cross stuffing yard.
The cross stuffing shall be carried out in the presence of
the examiner to whom the GD is marked, an authorized representative
of the Afghan trader and staff of terminal operator.
The examiner shall ensure that cargo is cross stuffed from
the same container or old vehicle in case of non-containerized cargo,
as the case may be, mentioned in GD to the same new/empty container
or new vehicle whose information is available in the system.
During the course of cross stuffing, he shall compare the
items being cross stuffed with the packing list and also take
photographs of cargo.
The cross stuffing of non-containerized cargo shall be
executed with tail-to-tail arrangement of the old and new vehicles
without de-stuffing of the cargo. After completion of cross-stuffing the
new vehicle carrying the revere cargo shall be properly scanned and
weighed.
After cross stuffing is done, he shall feed his examination
report in the CCS alongwith photographs of the cargo and also clearly
stating that the difference in weight, if any, was within the allowable
limit or not. The PCCSS staff shall affix the post cross stuffing seal on
the new container or new vehicle in case of non-containerized cargo in
which goods have been cross stuffed.
After cross stuffing of loose/non-containerized cargo the
tracking device and intrusion belt shall be affixed on the loose
cargo/new vehicle(s) in the presence of the staff of the Directorate of
Transit Trade.
After the examiner has fed his report in the system, it will
ask for any discrepancy found? In case of Yes, the GD will be routed
to the Appraising Officer for further action as under the law i.e.,
framing contravention in case of mis-declaration or rectification of the
mistake with the approval of an officer not below the rank of a
Superintendent / Principal Appraiser. In case of No, the GD shall be
auto-assessed.
(10) After its auto-assessment the GD shall be routed to trader
or his representative to accept or contest the auto-assessment. The time
to accept or contest will be 12 hours. In case of no action by the trader
within 12 hours, the system shall auto processed to put the GD out of
charge. In case of any contest by the trader, the GD will be routed to
AD/DD for necessary action.
(II) The GDs, which will not be auto-assessed on account of
non-availability of matching valuation data in the system, will be
pushed to Assessment Officer (AO) for manual assessment.
(12) The staff of terminal and Gate officer of Customs shall
ensure that after cross-stuffing, the empty old vehicle(s) or containers
shall be gate out in the empty one-door-off condition.
(13) Thereafter, the procedure prescribed in Rule 474(V) and
onwards of sub-chapter VII of the chapter XXI of Customs Rules 2001
shall apply.
Responsibilities of the carriers. — (1) Notwithstanding
any other action taken under the law and the procedure under these
rules, the bonded carrier shall bear all expenses incurred on re-stuffing
or re-packing of the goods including the duty and taxes leviable on
goods pilfered or damaged on way to or from the ODT under this
procedure.
(2) The bank guarantee or Defense Saving Certificates
submitted by transport operators at the time of issuance of license
under 478 (a) shall be taken into account for recovery of the amount
of duties and taxes, fine and penalty, if any, involved on the cargo
during the course of transportation from port of entry to ODT and vice
versa, and in case of any eventuality like damage, pilferage, theft, fire,
accident etc.
Violation of rules. - In case of violation of these rules or
any such violation is detected during inter-port movement of carg