PESHAWAR: The federal government has planned intense lobbying for the enforcement of the Customs Act 1969 in the Provincial Administered Tribal Areas after Eidul Fitr.

Besides, it possibly will announce mega development projects for Pata as well to convince local residents about the payment of customs duty on all non-customs paid items, especially vehicles.

The Customs Act was extended to Pata in 1975 but it was enforced in the region.

In March this year, the federal government issued a notification for that law’s enforcement sparking protests across Malakand division and Kohistan district.

A source in the customs department told Dawn on Tuesday that the federal government had sought the opinion of relevant departments on how to effectively enforce the customs law in Pata without causing a negative reaction of the local residents.

He said the centre was committed to enforcing the Customs Act in Pata at all costs to increase its revenues but didn’t want to use force for it.

“Enforcement of the customs law is not a problem for the federal government. However, it wants resolve the issues surrounding it by dialogue instead of the use of force. Intense lobbying with stakeholders is expected after Eidul Fitr,” he said.

Centre likely to announce mega uplift projects for Malakand, Kohistan

The official said the Pakistan Army was already in Malakand, so the people’s reaction won’t be that serious in case the customs law was enforced but in that case, opposition parties could exploit the situation to serve own ends.

He said the issue was sensitive that could badly affect the vote bank of ruling parties, especially that of the PML-N, which ruled the centre.

“PML-N leader and adviser to the prime minister Engineer Amir Muqam is among those, who are strongly opposing the use of force for the enforcement of Customs Act in Malakand division and Kohistan district,” he said.

The official said from political parties to traders to common men, all residents of Malakand were opposed to the customs law, especially due to the presence of non-customs paid vehicles in the division in large numbers, and therefore, the use of force for its enforcement seemed to be out of question for the time being.

He said the government had sought the opinion of the officials of FBR tax collection sections on how to effectively implement the law besides considering taking lawmakers and politicians on board in this respect after Eidul Fitr.

The official said the Customs Act’s enforcement was possible only if the federal government began mega development schemes in Pata as local residents had been suffering from the aftermath of natural disasters and militancy for several years.

When contacted, Model Customs Collectorate Peshawar collector Qurban Ali Khan said the Customs Act had already been extended to Malakand division and that was why the customs department had opened an office in Batkhela, the headquarters of Malakand Agency, to collect the tax.

He said an enraged mob had ransacked the office in April 2016 against the implementation of customs law and that the office had been closed since.

“It is up to the federal and provincial governments to mutually decide about the customs law in Pata and give the customs department a go-ahead for setting up offices to collect customs duty. The customs department itself is a law-enforcement agency, which can arrange security on its own and begin work on the law’s enforcement anytime,” he said.

The customs collector said the government had formed a committee to study the ‘ground situation’ for the operationalisation of customs offices in Malakand division and file a report.

He said the customs department had set up its ‘stations’ in Bin Shahi Dir and Arandu (Mir Kani) areas but the staff members were withdrawn due to the Zarb-i-Azb military operation against militants in Fata.

“Our stations will resume function as soon as the federal government issues orders,” he said.

Mr. Qurban Ali Khan said the department could generate revenue at both stations as the routes they’re located on were used for transportation of scrap, timber and other products.

He said the major issue was the delicate law and order situation otherwise the revenue collection could be increased at different stations.

The customs collector said the Peshawar Customs had earned Rs20 billion during the last financial year.

“The Model Customs Collectorate Peshawar has surpassed the assigned target of the Federal Bureau of Revenue by one billion rupees. It also exceeded the collection of the previous year by two and a half billion rupees and even on the last working day of the fiscal, June 30, the record amount of Rs456 million was collected,” he said.

The customs collector said the tax target was achieved despite the repeated closure of customs stations in Torkham and Kurram Agency.

He however said the customs clearances suffered substantially at Peshawar dry port and industrial estates of Gadoon and Hattar due to the levy of surcharge on imports by the provincial government.

Mr. Qurban Ali said the FBR had highly appreciated the performance of Peshawar customs and congratulated the officers and staff of MCC Peshawar on the outstanding achievement.

Meanwhile, the Awami National Party has convened a multi-party conference against the extension of Customs Act to Pata at the Fishing Hut in Chakdara on July 12.

According to a statement issued here on Tuesday, the conference will be attended by legislators of all parties from Malakand division, local government representatives, and other segments of the society.

The participants will make a strategy to begin a movement to stop the government from enforcing the Customs Act in Malakand division.

Published in Dawn, July 6th, 2016