In a significant leap towards modernization, the Federal Board of Revenue (FBR) recently announced the successful clearance of 4,000 consignments through its newly launched Faceless Customs Assessment System (FCAM). Launched with the aim to streamline the customs clearance process, FCAM is already demonstrating its capacity to drive efficiency, reduce corruption, and enhance transparency in Pakistan’s bustling trade ecosystem, particularly at Karachi’s South Asia Pakistan Terminal.
The digital overhaul is reshaping how customs operations are conducted in one of Pakistan’s busiest ports. With FCAM in action, the need for additional documentation and arbitrary examination calls has plummeted, marking a dramatic shift away from the legacy system characterized by extensive paperwork and procedural delays. According to an FBR official, the transformation is not just incremental—it’s a quantum leap towards operational efficiency and modernisation.
Reducing Bottlenecks and Enhancing Efficiency
One of the standout metrics highlighted by FBR officials is the drastic reduction in additional documentation and physical examinations. Prior to FCAM’s implementation on December 16, nearly 30% of goods declarations (GDs) faced objections that required further scrutiny. In the weeks since, this figure has dropped to an impressive 2%, reflecting a streamlined and more effective system. Similarly, the new system has reduced physical examinations by 83% and documentation requirements by 84%, significantly cutting down on delays and improving the overall trade experience.
The FCAM system, with its centralised appraising unit, is a digital solution designed to assess GDs in a more uniform and transparent manner. Unlike the old system, which was subject to regional discrepancies and inconsistent procedures, FCAM ensures that all GDs are evaluated with consistency across all entry points in Pakistan, paving the way for a more equitable and less corrupt process.
A Boost for Businesses, But Challenges Remain
For businesses, the benefits of FCAM are clear: faster clearance, fewer hidden costs, and a more reliable process. Karachi Chamber of Commerce and Industry (KCCI) President Jawed Bilwani hailed the system, noting that it would foster smoother trade operations while curbing corruption. However, Bilwani also urged the FBR to consider extending operational hours, including weekend shifts, to clear the backlog and keep the system functioning at full capacity.
While the system has already shown considerable promise, there are concerns about the training and readiness of customs officials. Salim Valimohammad, President of the Pakistan Chemical Dyes and Merchant Association, pointed out that untrained staff might pose challenges, potentially causing delays. He called for greater training initiatives and for customs offices to remain open on weekends to prevent backlogs from piling up.
Overcoming Resistance from Traditional Power Structures
Despite the obvious advantages for trade and business, FCAM is not without its detractors. The FIFO (First In, First Out) principle, which underpins the system, directly challenges the informal power structures that have long existed within Karachi’s Customs circles. For years, these informal networks allowed certain individuals to bypass formal queues, often enabling them to exploit the system for personal gain.
Now, as FCAM automates the process and ensures uniform treatment for all GDs, these traditional power brokers are finding themselves on the back foot. According to analysts, the resistance to this change is expected, especially from unscrupulous importers, clearing agents, and other opportunists who have benefited from corruption and inefficiency in the previous system. With FCAM’s faceless approach, their ability to influence the system is rapidly diminishing.
This shift towards a more equitable and transparent process is reshaping how businesses view the FBR, and it’s clear that the days of collusion and bypassing procedures are quickly becoming a thing of the past.
FCAM: A New Era for Pakistan’s Customs Operations
The Faceless Customs Assessment System marks a pivotal moment in Pakistan’s journey towards digitizing government services and improving public sector efficiency. By eliminating corruption and reducing bottlenecks, FCAM is opening up new possibilities for smoother and more predictable trade operations. For honest businesses, this means quicker clearance, fewer obstacles, and an overall better experience when navigating the complexities of customs.
Yet, the challenges of full-scale implementation remain. With some pushback from entrenched interests, the road to complete modernization may encounter bumps. However, for the first time in Pakistan’s customs history, the prospect of a fairer, more transparent system is not just a dream—it’s a reality.
As the system matures and officials and stakeholders adapt, FCAM is set to redefine the trade and customs landscape in Pakistan, ushering in a new era of efficiency, transparency, and digital transformation.
Source: Dawn News