Guarantees a must for transporters

Changes align with 1987 deal; facilitate goods transfer to Quetta via Taftan


Irshad Ansari November 22, 2024

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ISLAMABAD:

Pakistan has made it compulsory for Iranian transporters to provide a bank guarantee equivalent to the customs duties and taxes imposed on goods being delivered to the National Logistics Corporation (NLC) Dry Port Quetta via Taftan. In case of violations, the bank guarantee will be confiscated, and additional legal actions, including fines, will be implemented. The Customs Rules 2001 have been amended to make this bank guarantee mandatory, and Notification No 1913 has been officially issued to enforce the new regulation.

These amendments align the Customs Rules with the 1987 Pakistan-Iran bilateral road transportation agreement. Under the revised rules, Iranian vehicles transporting imported goods from Taftan to the NLC Dry Port in Quetta must submit a bank guarantee equivalent to the customs duties and taxes imposed on the goods, as determined by the Collectorate of Customs Appraisement in Taftan. If Iranian transporters misuse the transshipment facility provided for importing goods, the bank guarantee will be confiscated, and penalties and other actions will be imposed as per the law.

Officials from the Federal Board of Revenue (FBR) stated that the 1987 bilateral road transportation agreement between Pakistan and Iran was initially established for passenger transport but was later expanded to include goods transportation. According to the agreement, Pakistani vehicles carrying exports to Iran are permitted to access Mirjaveh and Zahidan, while Iranian vehicles transporting passengers and goods to Pakistan are allowed access to Taftan and Quetta. Previously, Iranian vehicles could only deliver imported goods up to Taftan, where duties and taxes were paid, and clearance was conducted at the border. However, Iran has long been seeking permission for Iranian vehicles transporting goods from Taftan to proceed directly to Quetta for clearance, instead of processing it at Taftan.

FBR officials noted that Iran has consistently noted that while Pakistani vehicles are granted access to Mirjaveh and Zahidan under the agreement, Iran has even allowed Pakistani vehicles to travel up to Tehran and other areas. In comparison, Pakistan restricts Iranian vehicles to Taftan only. The issue of allowing Iranian vehicles access to the NLC Dry Port Quetta was raised by Iranian authorities during the Iranian president's visit to Pakistan.

Iran has persistently raised this issue with Pakistan's Ministry of Foreign Affairs, Ministry of Commerce, Ministry of Communications, and other relevant ministries. Iranian officials have also held several meetings with the FBR regarding this matter. As a result, it has been decided to amend the Customs Rules to facilitate the transportation of goods by Iranian vehicles from Taftan to the NLC Dry Port Quetta, where goods can undergo customs clearance.

As per the revised rules, Iranian vehicles transporting imported goods will be required to submit a bank guarantee equivalent to the value of duties and taxes on the goods. Additionally, the goods will be sealed, and tracker devices will be installed on the vehicles for monitoring purposes. Vehicles that complete the customs clearance process at the NLC Dry Port Quetta will have their bank guarantees released upon return.

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