Pakistan Customs’ recent modifications to the green channel’s parameters have disrupted the clearance of thousands of containers bearing various imports, including critical goods, causing significant financial setbacks for importers.
Meanwhile, shipping companies and terminal operators are capitalizing on this situation, accumulating substantial revenues from demurrage and detention charges. This clearance delay raises alarms about potential shortages of medicines, pulses, medical devices, steel, and other vital supplies in the local market.
Khurram Ejaz, Chairman of the Customs Advisory Council of the Federation of Pakistan Chambers of Commerce and Industry, said that the Customs authorities made these rule changes unannounced, leading to widespread delays at the ports.
Ejaz highlighted that the Risk Management System (RMS) adjustments have sharply decreased the green channel clearance rate from over 47% to below 26%. Consequently, the need for container inspections and assessments has surged, placing additional strain on terminal operators and Customs officers. Currently, importers endure an unnecessary four-day wait to offload containers, followed by another two to three days for their examination.
He argued that Customs should have notified stakeholders of these changes beforehand. Additionally, Ejaz suggested increasing the number of officers to manage the heightened workload and avoid further clearance delays.
He also noted that the prolonged clearance times have allowed private terminal operators and shipping companies to impose excessive demurrage charges and container rents. Importers must incur these extra costs every five days, exacerbating their financial losses and escalating their business expenses.
