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Home Breaking News

FCA system boosts Karachi ports revenue by 50pc

byCT Report
09/08/2025
in Breaking News, Karachi, Latest News, Slider News
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KARACHI: The implementation of the Faceless Customs Assessment (FCA) system has yielded remarkable results as the total revenue collection at Karachi ports surged by 50% year-on-year, reaching Rs342.5 billion in July 2025, up from Rs227.9 billion in the same month last year.

According to documents available with Wealth Pakistan (WealthPK), customs duty collections alone rose by 47%, from Rs63.6 billion in July 2024 to Rs93.8 billion in July 2025, signalling improved compliance, reduced under-invoicing, and greater transparency in the clearance process.

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A senior Customs official told Wealth Pakistan that this sharp rise in revenue is due to key structural reforms introduced under FCA, which include extended operational hours, centralised assessments, virtual reviews, digitised examination protocols, and tighter oversight on lab referrals.

“The results speak for themselves. This is not just a digital shift, it is a fiscal success story,” said Customs Chief Collector Jamil Nasir Khan, who has been spearheading the appraisement and FCA reforms since late 2024.

He said that the Central Appraisement Unit (CAU) as part of FCA regime in Karachi is now operational from 8:00 a.m. to midnight, enabling the daily clearance of 1,500 to 2,000 goods declarations (GDs). “Over 95% of GDs are assessed on the same day,” said Jamil Nasir Khan.

The 50% growth in total revenue highlights not only increased efficiency and transparency but also a strong case for scaling up FCA nationwide. The dramatic rise contradicts early criticisms that the system could cause delays or revenue losses.

Further facilitation is expected with upcoming initiatives such as direct port delivery and decoupling of payment from GD filing, which aim to reduce port congestion and ease liquidity constraints for importers.

It is worth mentioning that the launch of the FCA regime as part of the government’s Tax Transformation Plan is a significant reform that makes use of technology to maintain anonymity in the customs process to determine taxes on import shipments. The initiative was launched in December 2024 at the Karachi Port, which handles the bulk of imports before their transportation to the rest of the country.

The project involves relocating customs appraisement functions outside the customs collectorates. Under the initiative, a goods declaration or bill of entry submitted by an importer or their agent is randomly assigned to an assessing officer, who is physically located at a customs station, which is not the port of import in the automated system, for appraisal of duties and taxes.

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