20000418

Quota exports

QSC announce

procedure to waive

1pc penalty

RECORDER REPORT

KARACHI: The Quota Supervisory Council has announced a procedure for waiving one percent penalty on quota exporters in cases where the shipping bill submitted is of a date later than the date of bill of lading.

A circular issued by the QSC says that exporters/associations request to accept shipping documents beyond 21 days will be accepted provided the shipping bill must be prior to or date of bill of lading alongwith undertaking on judicial stamp paper from the shipper to the effect that it is being done on the request of buyer's letter or fax which must be enclosed. The documents submitted sold be verified by the EPB regional office and approval be obtained from any QSC member.

The circular said that all such cases upto the 31 March 2000 will be allowed as a special case provided the above mentioned conditions are fulfilled. However, effective from April 1, 2000 the exporters shall pay one percent penalty in case the shipping bill submitted is of date later than the date of bill of lading.

Javed Chinoy, Central Chairman of Prgmea has strongly resented the QSC procedure for legalising shipping documents having shipping bills of a date later than bill of lading and said that in the past there was neither any penalty nor requirement of obtaining QSC member's approval nor producing a buyer's letter or a fax message.

He pointed out that the factual position was that in order to fulfil the conditions of Letter of Credit, exporters presented shipping documents set indicating the same date of bill of lading corresponding with the actual date as was required vide L/C. In some cases, however, the shipping bill were either of the same date or a date later than that of bill of lading.

The Prgmea members from the Northern Zone have strongly protested against the unnecessary conditions imposed for legalising shipping documents by the QSC chairman who they pointed out was from the private sector and was expected to sort out problems rather than creating difficulties for exporters.