Pakistan Single Window will help save $500 million annually

Razak says PSW will help to boost international trade, control cross-border smuggling

Islamabad   -  Pakistan is all set to save $500 million per annum because of reforms in country’s ports and shipping sector.

According to official sources, as result of these reforms cargo clearance time will be reduced to hours from days.

Sources further said that these reforms which have already been put into action after passage of Pakistan Single Window Act 2021.

Prime Minister Imran Khan in a tweet yesterday said that the PTI government has introduced another landmark reform of Pakistan Single Window (PSW) Act 2021 that paves the way for ease in imports and exports.

Prime Minister further said that Pakistan Single Window will bring 500 million dollars annual savings and reduce cargo clearance time from days to hours by integrating 75 regulatory departments, including customs, banks, port authorities, shipping companies, and brokers.

The Prime Minister said an independent authority will manage the Pakistan Single Window, which will be pivotal in unlocking Pakistan’s potential to become a hub for international transit and trade.

Last week the Federal Board of Revenue (FBR) inaugurated the PSW Company in Islamabad as part of compliance with the Trade Facilitation Agreement (TFA) of the World Trade Organisation (WTO).

The PSW is a requirement under the TFA, which was launched in 2013, and Pakistan ratified it in October 2015.

The PSW was rolled out almost a year before its deadline of June 2022 at a cost of $67 million through indigenous development effort.

Prime Minister Imran Khan had tasked Customs to complete this highly transformational project for reducing time, cost, and complication while ensuring better compliance with cross-border trade regulations.

The PSW Company has been operationalised to maintain complete ownership of entire cross-border trade, related logistics, and financial transactions.

Meanwhile, Adviser to the Prime Minister on Commerce and Investment Abdul Razak Dawood on Tuesday said that Pakistan Single Window (PSW) will help to boost the international trade and also assist authorities to control cross-border smuggling. 

He congratulated Federal Board of Revenue and Pakistan Customs for establishing Pakistan Single Window(PSW). In his Tweet, the adviser said that it was a landmark reform by the government, which would reduce the cost of business, clearance time and integrate 75 regularity departments. 

Earlier, on Monday, Prime Minister Imran Khan said the implementation of PSW will bring $500 million annual savings and reduce cargo clearance time from days to hours by integrating over 75 regulatory departments. “Another landmark reform by PTI govt - the Pakistan Single Window (PSW) Act 2021. It paves the way for ease in imports & exports. PSW will bring $500m annual savings & reduce cargo clearance time from days to hrs by integrating 75 regulatory depts: customs, banks, port authorities, shipping companies & brokers etc. An authority will manage the PSW which will be pivotal in unlocking Pakistan’s potential to become a hub for international transit & trade”, Prime Minister Khan said on Twitter. 

Pakistan Customs had recently rolled out Pakistan Singe Window (PSW) System almost a year before its deadline of June, 2022 set under World Trade Organization’s Trade Facilitation Agreement. Customs had reduced the project cost from initial estimates of USD 163 million to USD 67 million through indigenous development effort. 

The Prime Minister had tasked Customs to complete this highly transformational project for reducing time, cost and complication while ensuring better compliances with cross border trade regulations. To ensure that this new system is timely implemented and sustainably maintained, the PSW Company has been operationalized by FBR. 

The PSW Company is now enabling the Government of Pakistan to maintain complete ownership of this mission critical system of strategic national importance as it would handle entire cross border trade, related logistics and financial transactions.

PSW is instrumental for Pakistan to become a preferred route for international transit and transshipment besides it will help integrate upcoming national, regional and global single window systems. PSW will boost exports, help attract FDI and enable better integration into global value chains. It will also serve as the Trade Information Portal of Pakistan.

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