The Pakistan Business Council (PBC) on Thursday signalled concerns on a report that the Federal Board of Revenue (FBR) had terminated the satellite tracking of transit cargo containers destined for Afghanistan.
In a letter to FBR chairman Rashid Mahmood Langrial, the PBC said reliance on Customs resources to physically monitor movement and placing tracking devices in prime mover trucks instead of on the containers “will enhance the risk of cargo diversion”.
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The development came after a media report stated that the government had temporarily halted satellite tracking of containers carrying imported goods to Afghanistan from seaports and instead begun monitoring them through human surveillance, a move that may “increase the chances of smuggling”.
The report, citing sources, further said the FBR had terminated TPL Trakker’s license, without first putting in place an equally effective alternative to mitigate smuggling risks.
“Misuse of the transit trade arrangements causes loss of tax revenue, undermines local industry, and impacts employment. On several occasions, the Pakistan Business Council has recommended measures to reduce the incidence and magnitude of diversion.
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“This included tracking containers beyond the Pakistan/Afghanistan border and verifying that returning containers were empty. Without monitoring devices on the container locks, there is no technical certainty that the prime mover trucks will carry the cargo they are meant to, as containers may be switched through collusion,” the PBC letter read.
The PBC requested the FBR to inform the stakeholders when the technology – required to ensure that transit cargo leaves and does not return to Pakistan – would be deployed.
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