What is the process flow of import clearance? From IGM to out of charge order.
We are writing this post to give the answers of our reader who ask few questions from us, we have already answered a question,What is the difference between Appraising and Valuation Officer In Pakistan? In our previous post and today, we are going to discuss Custom Clearance Procedure For Import In Pakistan.
Import Clearance Procedure in Pakistan - (Process flow)
- Arrival of the Import Cargo in the Customs Ports (Issued IGM In System)
- Collect Required Import Documentation For Customs Clearance
- Create Import Goods Declaration in WeBoc System
- Pay Customs Duty and Other Taxes in Bank
- Gate Out Cargo or Goods From Port Area. (Out of Order Charge)
Arrival of the Import Cargo at the Terminals:
The customs clearance process begins with the entry of a cargo vessel, plane or another transporter of merchandise in the country on the assigned ocean, land and airplane terminals. Once the goods have reached the customs port, the port authorities issue the Import General Manifest (IGM) to every shipment. It is a number demonstrating the serial of the shipment arrived during the year. After issuing the IGM the consignment is further indexed to allow for a systematic reference to all goods received. Once the IGM updated, the shipment is offloaded and sent back to the terminal warehouse. In the case of land customs station, i.e. dry port, etc. the IGM is issued not at the time the goods reach the land customs station, but at the time the goods are offloaded at the sea or airport. Upon arrival of the offloaded goods, the clearance process starts. Normally at this point, a clearing agent is engaged by the importer to facilitate the process of customs clearance
Import Documentation For Customs Clearance:
There is no import/export license in Pakistan only the following documents will require clearing import cargo from customs, therefore, you must provide these documents to the clearing agent for start clearing process:
- Invoice of shipment.
- Packing list.
- Bill of lading.
- A copy of the Letter of Credit or Contract.
- A copy of the Sales Tax Registration Certificate as an importer.
- A copy of the National Tax Number.
- Copy of the most recent sales tax return
Process flow of import clearance In WeBoc
In Step 1: Import customs clearance process starts with a submitting import goods declaration (GD) in WeBoc system.
In Step 2: After Submitting, GD will assign to the cashier for payment of customs duty, if a trader appoints any clearing agent so they will calculate customs duty and inform the trader to get the payment order prepared from the bank.
Note:
In Our Post How to calculate Import Duty & Taxes In Pakistan, we share the basic structure of Customs Duty & how can we calculate customs duty in Pakistan
In Step 3: Now the system will send GD according to trader`s categorized channel (Green, Yellow, Red) if the importer is a new or importing consignment first time, so this cargo must be passed through the red channel so GD will send to Examiner in order to Examine your imported goods.
WeBoc system will use its own risk management system and send GD according to trader`s predetermine channels (Green, Yellow, Red channels). If you are a regular trader and you have imported or exported more than 50 consignments but still your cargo pass through the red channel so don`t worry, soon we will post detailed information how can you change your channel in WeBoc system.
In Step 4: After examination of goods, GD will send to appraiser for checking value of the consignment, HS code and duty, if the value of your cargo will OK, so they will allow cargo, otherwise, the appraiser will increase value, and again assign GD to cashier for payment of extra amount of duty and taxes which dues, due to increases of consignment value.
Final Step: Finally after payment of extra charges, GD will send to Gate Out Staff, now take your cargo from the port area that`s all.
In Step 2: After Submitting, GD will assign to the cashier for payment of customs duty, if a trader appoints any clearing agent so they will calculate customs duty and inform the trader to get the payment order prepared from the bank.
Note:
In Our Post How to calculate Import Duty & Taxes In Pakistan, we share the basic structure of Customs Duty & how can we calculate customs duty in Pakistan
In Step 3: Now the system will send GD according to trader`s categorized channel (Green, Yellow, Red) if the importer is a new or importing consignment first time, so this cargo must be passed through the red channel so GD will send to Examiner in order to Examine your imported goods.
WeBoc system will use its own risk management system and send GD according to trader`s predetermine channels (Green, Yellow, Red channels). If you are a regular trader and you have imported or exported more than 50 consignments but still your cargo pass through the red channel so don`t worry, soon we will post detailed information how can you change your channel in WeBoc system.
In Step 4: After examination of goods, GD will send to appraiser for checking value of the consignment, HS code and duty, if the value of your cargo will OK, so they will allow cargo, otherwise, the appraiser will increase value, and again assign GD to cashier for payment of extra amount of duty and taxes which dues, due to increases of consignment value.
Final Step: Finally after payment of extra charges, GD will send to Gate Out Staff, now take your cargo from the port area that`s all.
I hope this article Custom Clearance Procedure For Import In Pakistan, will help you to understand the process flow of import clearance in Pakistan, if you find any step we missed here or see anything wrong so please inform us using the below comments form.
