KARACHI: Rapidly increasing smuggling of auto parts and accessories is severely affecting the business of local manufacturers of spare parts, causing losses of billions of rupees to the national exchequer.
According to FBR’s estimate, over Rs 170 billion worth of goods are smuggled through Afghan transit trade each year, causing loss of Rs 21.5 billion to the national economy. Pakistani markets and shops are flooded with smuggled goods of all descriptions. “Smuggled items through the borders of Iran, Afghanistan and the Afghan Transit Trade form a major part of the informal economy volume—which ranges between 50-60 percent of the recognised economy,” they added.
Sources said that smuggling of auto spare parts like almost every other commodity is being done through ATT under the nose of the authorities responsible to stop it and over 200 trucks loaded with smuggled goods come daily unhindered from Afghanistan.
“Everyday, hundreds of consignments of spare parts arrive in Peshawar from Afghanistan, which are disseminated in major cities without any hesitation,” an auto dealer revealed on the condition of anonymity. “Almost all types of auto spare parts ranging from critical engine and transmission parts such as rings, pistons, gas kits, maintenance parts like oil filter, air filter are being imported from Thailand and Dubai in astonishing quantities and it must be hard for the local vendors of such parts to survive in the market,” he added.
He said that the smugglers are selling these parts at 50%-60% lesser rates than the parts made locally or being imported through proper channels and many dealers have started doing business with them to mint more profit. staff report