The Federal Board of Revenue (FBR) has issued the Tracking and Monitoring of Cargo Rules, 2023, which allow small businesses to obtain licenses for tracking and monitoring vehicles and containers carrying transit cargo.
FBR issued Tracking and Monitoring
Currently, only one company is permitted to provide tracking services to transit cargo. The FBR notified new Tracking and Monitoring of Cargo Rules, 2023 via SRO.996(I)/2023 issued on Wednesday.
Under the FBR revised rules, the annual turnover for companies intending to apply for licenses for tracking and monitoring of vehicles and containers carrying transit cargo has been reduced from Rs. 350 million to Rs. 175 million, and the financial health has been reduced from Rs 200 million to Rs 100 million.
The revised procedure will apply to real-time tracking and monitoring of the following types of cargo from the port of entry to the port of exit or from one warehouse to another.
The applicant must provide technological solutions based on GSM, GPRS, satellite communication, or any other modem technology for real-time monitoring and tracking of containers and vehicles transporting cargo.
To be considered for the issuance of a license, the applicant must meet the specified qualifications.
The applicant’s system-based solution must be capable of performing the functions of monitoring a minimum of three thousand containers or trucks in real time from the licencee’s control room; monitoring and tracking of vehicles and containers throughout the journey from Customs point of entry to Customs point of exit in real time.
It also stated that no company shall conduct cargo tracking and monitoring unless it has obtained a license under these rules.
The licencees are required to provide, establish, and maintain a section relating to the performance monitoring of the licensed tracking companies in the central monitoring and control room (CMCR) in the old Customs House in Karachi or in any other control room designated by the Board.
The licensee shall provide the necessary infrastructure for the establishment of mobile enforcement units (MEUs), including vehicles (4X4), adequate means of communication with the CMCR and licencees’ control rooms, and routine maintenance activity (POL, repairs, and so on).
The Project Director shall communicate to the licensee the requirements of the Directorates of Transit Trade (HQ), in which the MEUs will be stationed at Transit Monitoring and Response Centers (TMRCs) on a shift rotation basis (24 hours a day, seven days a week).
In addition to determining the total infrastructure required in terms of vehicles and related resources. The MEUs will be staffed with adequate customs personnel and in the manner determined by the Director, Transit Trade (HQ), it added.
To read our blog on “FBR’s foul tax recovery from IESCO to be investigated by FTO,” click here
