Import/Export

An exporter who wants his products to benefit from the preferential treatment must be able to proof that his products fulfil the rules to be originating in a country or territory covered by the preferential trade agreement and they must provide a preferential document validated by the customs authorities or document with a valid preferential statement issued by themselves.

The preferential trade agreement foresees the following preferential proofs above.

Packages entering as US-UN aid require:

• Exemption certificate from US-UN aid
• Exemption letter from US-UN aid for K.M.C. Octroi
• No value restrictions

It is not required for all, however shipments that are being held by local authority in United Arab Emirates after screening due to lack of MSDS (Material Safety Data Sheet) or NON DG (Dangerous Goods) declaration letter from the shipper resulting to misconnections and impacting end-to-end service. It would be advisable for all shipments originating, transiting and terminating for UAE to have MSDS or NON DG declaration from shipper enclosed in the shipment and copies to be uploaded in IDIS.

Below points need to be addressed in all upcoming consignments:

1.Placement of original invoice and packing list is mandatory against items falling in Annex A of rule 389 of the Customs Rule 2001.

2.List of documents to be uploaded with every declaration of goods:

Master bill of lading  House Bill of Lading for By Sea shipment(s)-Master Airway Bill  House Airway Bill for By Air shipment(s)-Commercial Invoice-Letter of Credit or bank contract-Packing List-container wise in case of containerized cargo and package wise in case of miscellaneous goods consignments-Previous Chemical Analysis and lab test report, if any-MTC  Mill test certificate issued by the manufacturer in case of prime quality steel product-Certification as per requirement of IPO-Preferential Trade Agreement (PTA) or Free Trade Agreement (FTA) certificate of origin if claimed-Any other documents or requirements specified by the board from time to time.

3.Shipments originating from UAE & Chain (excluding imports under PTA and FTA regime) certificate of origin shall be uploaded in the manner prescribed in the SRO 567(I)/2022

It is not required for all, however shipments can be held by local authority in United Arab Emirates after screening due to lack of MSDS (Material Safety Data Sheet) or NON DG (Dangerous Goods) declaration letter from the shipper resulting to misconnections and impacting end-to-end service.

It would be advisable for all shipments originating, transiting and terminating for UAE to have MSDS or NON DG declaration from shipper enclosed in the shipment and copies to be uploaded in IDIS.

A formal electronic export declaration must be sent to customs authorities by the exporter or their representative. Customs authorities grant the release for export and issue an Export Accompanying Document (EAD) with a unique Movement Reference Number (MRN). UPS operated simplified procedures allowing export formalities to be completed upto 14 days after export.

Informal Declarations
An informal declaration is possible for shipments up to a national threshold. The informal declaration is based on the invoice value and is restricted to shipments not subject to prohibitions and restrictions (for example, embargo regulations) or special export procedures (for example, temporary export). The informal clearance will be done by UPS at the point of exit.

National Requirements
Shipments up to a value of 873.00 GBP can be declared informally on the basis of the invoice.

The EORI (European Union Registration and Identification) number needs to be included with the Invoice for any shipment with value exceeding 873.00 GBP. The EORI number can be obtained by the shipper using website link: www.gov.uk/EORI

UPS service
UPS offers the service to prepare export declarations on behalf of the exporter without additional fees.

Please check the import related information if passports are allowed for importation.

Shipment in PK for B2B only.

For All B2B shipments, must include 1 original and 3 copies of an invoice with Contents of Shipment appropriate H.S code, weight of shipment, value of the shipment and Consignee's detail with valid phone number.

For All B2B shipments, Importer must be registered in WEBOC and Active.

Packing list should be attached with the shipment.

Active NTN/STRN (National Tax Number) (Sales Tax Registration Number) of Importer.

Shipment label and Invoice Must Show Correct Consignee (Local Registered Name).

Approved Electronic Import Form (EIF) is arranged.

Correct H.S Code should be on the Invoice from the supplier.

NOC (No Objection Certificate) and other Certification should be available with importer where and if applicable.

SRO information and required SRO documents should be communicated before start of clearance process.

In case of any other requirement raised by the custom official, importer is bound to submit accordingly depending on case to case basis.

For Personal shipment (addressed to an individual)

For all B2C shipments or individual to Individual, must include 1 original and 3 copies of an invoice with H.S Code, Contents of Shipment, Weight of shipment, Value of the shipment and Consignee's phone number.

Packing list of the shipment.

Shipment label and Invoice Must Show Correct Consignee as per CNIC (Current National Identity Card).

Consignee must not have any registered business in PK.

Shipments should be cleared from Customs within 15 days of import. Customs may auction all shipments after the 30-day time limit.

Non-Document shipments with Invoice value less than US$500.00 are cleared on arrival but shipments above the threshold (Invoice value US$500.00) are detained to be cleared through formal entry process in ICG. Duty and taxes are not refundable.

In Pakistan, Shipments through courier are cleared in ICG (Immediate Clearance Group) and as per rules B2B shipments are customs released in ICG having value of less than 500$ and less in weight of 50 Kg.

The shipment for an individual has limits of release less than 1000$ depending on case to case basis and less in weight of 50 Kg.

Documents are submitted for clearance along with import value declaration as per manifest.

Customs decides the value which is called assessment and may increase the value on the basis of examination.

All shipments are examined for evaluation and checking purpose.

Customs may hold any low or high value shipment for evaluation and proper examination or any other purpose.

Customs decide the release and detention of the shipment on the basis of examination manifest data and assessment report.

Shipment that customs decide to hold, are detained and customs issue detention receipt (D.R) / Delivery Order (D.O) with complete data i.e. value, weight, and description of the shipment as per invoice and shipping label details.

To assist with clearance:

Importers should share pictures of enclosing of invoice / packing list at the time of lading of cargo at origin so the same can be uploaded in GD as well.

instructions on banking contract / LC can also adhere this requirement as per SRO 567(I)/2022

High-value shipments over US$500.00 arrive at Air Freight Unit (AF) for formal entry clearance. Clearance may take 1 to 3 days provided that the consignee submits documents and pays the duty promptly,or has exemption status or certificates. A few organizations (Diplomatic shipments/UNDP/UN/Duty exempted organizations) have instructed us not to clear their shipments but to send the Customs Detention Receipt to them for self-clearance. For shipments detained by Customs due to value or any other reason, we would send the detention receipt to the consignee to avail the opportunity of either clearing through their own agent or to send us the paperwork to clear the shipment for them. The return of the detention receipts from Karachi/Lahore/Islamabad & Rawalpindi/Faisalabad/Sialkot and Peshawar takes approximately 48 to 72 hours while other cities take 72 hrs.

a. For shipments detained by Customs, the consignee for company shipments must be registered in WEBOC and active and required to submit copies of their National Tax Number along with Sales Tax Registration, Customs Detention Receipt and authority letter in name of the nominated broker or clearing agent of UPS/ULS-PK. All customs documents are submitted by respective consignee to concern UPS/ULS station. After submission of documents First duty is generated automatically from customs system on given invoice value and detail and sent to respective consignee. All applicable duty and taxes should be paid via demand draft on customs account or to FBR (Federal Board of Revenue) using online banking facility. After payment of first duty examination and assessment is done by the customs authority and If the duty is enhanced by the customs on assessment, enhanced duty is arranged for payment after confirmation from respective consignee. Warehouse, CAA and other clearance charges are applied as per GHA tariff and collected at the time of delivery from consignee.

b.For shipments detained by Customs, the consignee individual must have CNIC and active and required to submit copy of CNIC, original Customs Detention Receipt and authority letter in name of the nominated broker or clearing agent of UPS/ULS-PK. All customs documents are submitted by respective consignee to concern UPS/ULS station. After submission of documents First duty is generated automatically from customs system on given invoice value and detail and sent to respective consignee. All applicable duty and taxes should be paid via demand draft on customs account or to FBR (Federal Board of Revenue) using online banking facility.

Shipment will be released on Computerized National Identity Card (CNIC) and request letter without any charges for individual customers.

For shipment of commercial purpose, national tax number (NTN)/Government and Services tax (GST) is required and if consignee fails to provide the required information then fine from RS 3000 to 5000 will be enforced.

Shipment for Lahore (LHE) hub

In the absence of National Tax Number (NTN)\ Government and Services tax (GST), fine from RR 3000 to 5000 will be charged to the consignee.

In case of individual customers Computerized National Identity Card (CNIC) and request letter is required in order to get the shipment released. For commercial shipments national tax number (NTN)/Government and Services tax (GST)is mandatory.

• Shipping charges can be billed to the shipper, receiver or a third party.
• When billing the receiver, either the shipper or receiver's account number is required.
• When billing to a third party, the third party's name, country or territory and account number are required.

• Duties and taxes can be billed to the shipper, receiver or a third party.
• When billing a third party, the third party's name, country or territory and account number are required.
• If the duties and taxes are billed to an account outside of the destination country or territory, a "Duty and Tax Forwarding" surcharge will be applied.

• Please note the following third party billing exceptions:
  • Shipments to and from the same country or territory (domestic shipments) cannot be billed to third party payors in other countries or territories. For example, shipments from Mexico to Mexico or Canada to Canada cannot be billed to a third party payor in the U.S. This rule does not apply to UPS domestic services in European Union countries or territories as well as to UPS domestic services in the United Kingdom.For example, shipments from Germany to Germany can be billed to a third party payor in the U.S. (as long as the payor is a business and has a VAT or Tax/EIN ID on file with UPS).

• When paying by credit card, check, or cash, only the shipper can be billed the shipping charges.

The invoice should contain the following information:

• Contents of the shipment
• Weight of shipment
• Value of shipment
• Consignee's telephone number

Shipments of documents do not require an invoice.

The consignee's telephone number, mobile number and email address if available, should appear on the invoice.

Any shipment which arrives without the required invoice will incur a fine of up to PKR 5000.00 on every shipment subject to Pakistan Custom rules. Any shipment which arrives without the required invoice will incur a fine of of US$65.00 on every shipment.

Invoice must scan in IDIS for non-document shipments to Pakistan as per the requirement of State Bank of Pakistan for remittance to importer in Pakistan.

Placement of invoice and packing list are mandatory inside the import shipment and non-observance constitutes an offence punishable under section 156(1)ii of the Customs Act,1963 which reads as:

1.First time imposition of fine PKR 50,000-upon non placement of Invoice / Packing List

2.Second Time PKR 250,000.

3.Third Time PKR 500,000- and onwards for every recruiting violation.

• Exemption Certificate for payment of duty and taxes
• Exemption Certificate for payment of local taxes

If these certificates are not submitted, duty and taxes must be paid to effect clearance. If exemption of payment is not obtained from the associated government department, the consignee must pay the duty affixed to Customs clearance documents, along with sales tax, warehouse rent, and other duties and taxes. Failure to comply with the above instructions will cause a delay in the clearance of non-documents.

• Exemption Certificate for payment of duty and taxes
• Exemption Certificate for payment of local taxes

If these certificates are not submitted, duty and taxes must be paid to effect clearance. If exemption of payment is not obtained from the associated government department, the consignee must pay the duty affixed to Customs clearance documents, along with sales tax, warehouse rent, and other duties and taxes. Failure to comply with the above instructions will cause a delay in the clearance of non-documents.

Outward Processing Relief (goods exported from the UK for the purpose of repair)

The outward processing relief starts with the export from the UK and will be discharged with the re-importation of the repaired goods. Both steps need to be identified by UPS export or import operation. Repair Goods: Goods requiring Export from the UK for repair Invoice requirements:

• Statement stating "Goods being sent for repair under Outward Processing Relief" should be clearly marked on the commercial invoice
• Provide serial number of goods being sent for repair. If the goods are not serialized a statement to this effect must be made on the commercial invoice
• Exporters authorized to export under OPR must include their authority number on all paperwork
• Provide correct commercial value of goods as originally paid for not a nominal value for the goods.

Failure to provide any of the above information will result in shipments being delayed.

Repaired goods: Goods being re-exported returned after repair in the UK Invoice requirements:

• Invoice should clearly state "Goods have been repaired under IPR"
• Provide either IP authorization number or Import entry details
• Provide full commercial value of goods plus cost of repair

Failure to provide any of the above information will result in shipments being delayed.