Customs Uncover Rs6.88 Billion Misdeclaration in Shipment Bound for Export Processing Zone

Date:

A joint customs inspection in Karachi discovered load cells concealed in a shipment declared as machine press parts, with officials estimating Rs165 million in unpaid duties and taxes.

KARACHI, PAKISTAN — WEB DESK : Customs authorities in Karachi have uncovered a major misdeclaration involving a shipment valued at Rs688 million that was being transported to the Peshawar Export Processing Zone in Risalpur.

The discrepancy emerged during a joint inspection conducted by the Directorate of Transit Trade Operations Karachi and the Collectorate of Customs Appraisement following a confidential tip-off.

During the examination, officials discovered that the goods inside the container did not match the description provided in the customs documents. The Goods Declaration (GD) had listed the shipment as machine press parts, but inspectors found load cells instead.

Director General Transit Trade Irfan Javed confirmed that goods worth Rs688 million had been intercepted during the investigation.

Goods Did Not Match Approved Business Activities

The importer had reportedly received a licence from the Export Processing Zones Authority (EPZA) to manufacture artificial flowers, plants, suitcases and bags.

However, the recovered load cells did not correspond with the declared shipment description or the manufacturing activities approved for the importer.

Officials assessed the value of the misdeclared goods at Rs688 million under the applicable valuation ruling. The estimated customs duties and taxes payable on the shipment amount to Rs165 million.

Legal Action Against Importer Underway

Authorities are initiating legal proceedings against the company involved under the relevant provisions of the Customs Act.

A contravention case is being prepared, while a formal case is also being registered in connection with the alleged misdeclaration.

The investigation is focused on the discrepancy between the declared goods, the actual contents of the shipment and the importer’s approved business activities.

The discovery highlights continuing enforcement efforts by Pakistani customs authorities to identify irregularities in import declarations and prevent misuse of export processing zone facilities.

Further details regarding the importer and the outcome of the legal proceedings have not yet been disclosed.

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