Transit trade directorate detects major misdeclaration

Karachi: The Directorate General of Transit Trade in Karachi has uncovered a major misdeclaration in a container destined for the Export Processing Zone (EPZ) in Risalpur, Peshawar. The seized goods, valued at around Rs688 million, were examined jointly by the Directorate of Transit Trade (OPS) in Karachi and the Collectorate of Customs Appraisement SAPT on October 19.

Customs officials discovered that the container, listed as "Machine Press Parts," actually contained load cells. The importer, who holds an Export Processing Zones Authority (EPZA) license for manufacturing artificial flowers and plants, received permission to manufacture LED TVs in 2022 and suitcases and bags in 2025. The imported items did not align with the declared description nor the importer's licensed activities.

Customs officials assessed the goods under Valuation Ruling No. 861/2016, estimating the value at approximately Rs688 million. The duty and taxes associated with the contraband are believed to be around Rs165 million. The discrepancy is considered a prima facie case of substantial misdeclaration, and legal proceedings are being initiated under the Customs Act, 1969, and relevant rules.