Domestic Trade Laws

Table of Contents

Overview and Function

The Act enables Pakistan’s government to give effect to the country’s obligations under the United Nations Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). The Act was passed on 1st January 2012 and extends to all of Pakistan. It deals with prohibitions of exports, re-exports and imports of wild fauna and flora alongside punishments for violations. A draft bill called the Pakistan Trade Control of Wild Fauna and Flora (Amendment) Act, 2020 to amend the Act has been approved by the Federal Cabinet and is to be introduced in the National Assembly.

Key Provisions

Section 3 Prohibition of export, re­export and import and punishment for contravention
Section 4 Cognizance of Offence
Section 5 Export from Pakistan
Section 6 Import into Pakistan
Section 7 Re­export from Pakistan
Section 8 Introduction from the sea
Section 9 Export or re­export to or import from a state not a party to the convention
Section 10 Transit or trans­shipment of specimens
Section 11 Specimens that are personal or household effects.
Section 12 Export and import of specimens bred in captivity or artificially propagated.
Section 13 Non-commercial loan, exchange etc.
Section 14 Waiver of requirements.
Section 15 Management Authority.
Section 16 Scientific authorities.
Section 17 Entry and release of wild exotic fauna and flora.
Section 18 Confiscation or return of specimens unlawfully traded.
Section 19 Confiscation of specimens possessed unlawfully.
Section 20 Animals and plants etc, to be Government property.
Section 21 Arrangements for feeding and safe keeping.
Section 22 Maintenance of records.

Overview and Function

The Act enables Pakistan’s government to establish, expand and effectively operate Special Economic Zones (SEZs) through a legal and regulatory framework to inspire domestic and international investors for the establishment and development of industrial infrastructure by offering special exemptions to reduce business costs. The Act provides for duty-free import of plants, machinery and equipment, and 10-year income tax holidays for zone developers and enterprises. It was enacted on 13th September 2012 and extends to all of Pakistan. Additionally, several provisions were amended by the Special Economic Zones (Amendment) Act, 2016 (Act No. XLV of 2016) to improve and make the SEZ regime more business and investor friendly for rapid industrialization and economic development.

Key Provisions

Section 4 Establishment of special economic zones
Sections 5-6 Board of Approvals; Functions and Responsibilities of BOA
Sections 7-8 Approval Committee; Functions of BOI
Section 9 Responsibilities of Provincial Investment Promotion Authorities
Section 10 SEZ Authority
Sections 11-12 Requirements for all zone applications; Approval of zone application
Section 13 Approval of development agreements
Section 14 Simultaneous approval of zone application and development agreement
Sections 15-16 Approval of existing zones (amended); Zone approval criteria (amended)
Section 17 Functions and powers of SEZ authorities
Section 18 Suspension and removal of members of SEZ authorities
Sections 19-20 Eligibility as developer; Responsibilities of developers
Section 21 Development agreements
Section 22 Sanctions against developers
Section 23 SEZ Committees
Section 24 Admission of zone enterprises
Section 25 Sanctions against zone enterprises
Section 26 Land regime
Section 27 Public utilities and transportation links
Section 28 Applicable operating administrative procedures
Section 29 Assistance by BOI and SEZ authorities
Section 30 Labour laws
Section 31 Employment of key persons
Section 32 Security
Section 34 Incentives for SEZs
Sections 35-36 Benefits for developers; Benefits for zone enterprises (amended)

Overview and Function

The Act provides for free competition in all sectors of commercial and economic activity to improve economic efficiency and safeguard consumers from anti-competitive behaviour. It created the Competition Commission of Pakistan to maintain and boost competition. It was enacted and came into force on 13th October 2011 and extends to all of Pakistan.

Key Provisions

Section 3 Abuse of dominant position
Section 4 Prohibited agreements
Section 5 Individual exemption
Section 6 Cancellation, etc of Individual exemptions
Sections 7-9 Block exemption
Section 10 Deceptive marketing practices
Section 11 Approval of mergers
Sections 12-13 Establishment of Commission
Section 14 Composition of Commission
Sections 15-19 Chairman; Acting Chairman; term of office; restriction on employment; termination of appointment
Section 20 Commission Fund
Sections 21-22 Accounts and audits; annual report
Section 23 Appointments by Commission
Section 24 Meetings of Commission
Section 25 Disclosure of interest by members
Section 26 Notification of interest by staff of Commission
Section 27 Public utilities and transportation links
Sections 28-37 Functions and powers of the Commission
Sections 38-44 Penalties and appeals

Overview and Function

The Act concerns levies and collection of customs duties, fees, and service charges on goods and services in Pakistan. It was enacted on 3rd March 1969 and extends to all of Pakistan. The Act was last amended in 2021.

Key Provisions

Sections 3-8 Appointment of officers of customs and their powers
Sections 9-14A Declaration of ports, airports, land customs-stations, etc.
Sections 15-17 Prohibition and restriction of importation and exportation
Sections 18-34 Levy of, exemption from, and repayment of, customs-duties
Sections 35-41 Drawback (of the export on imported goods, on goods taken into use between importation and exportation)
Sections 42-59 Arrival and departure of conveyance
Sections 60-72A General provisions affecting conveyances at customs-stations
Sections 73-82 Discharge of cargo and entry inwards of goods
Section 83 Clearance of goods for home consumption
Sections 84-119 Warehousing
Sections 120-125 Trans-shipment
Sections 126-129A Transit trade
Sections 130-138 Exportation or shipment and relanding
Sections 139-145 Special provisions regarding baggage and goods imported or exported by post
Sections 146-155R Provisions relating to coastal goods and vessels
Sections 156-157 Offences and penalties
Sections 158-192 Prevention of smuggling – Powers of search, seizure and arrest – Adjudication of offences
Sections 193-196J Appeals and revisions

Overview and Function

The Act provides for the advancement and elevation of exports of Pakistan and facilitates the need for a dedicated and efficacious organization within the Ministry of Commerce responsible for the maximization of exports. It also requires effective support, structured interaction with stakeholders, and comprehensive institutional arrangements to prepare consistent, practical, and effective trade policies, regulations, development, and enforcement initiatives amongst the Ministry of Commerce, trade development organizations, and the private sector. The Act was enacted and came into force on 25th February 2013 and extends to all of Pakistan.

Key Provisions

Sections 3-11 The University (establishment of University, Chief Executive, Secretary, etc.)
Sections 12-15 The Board
Section 16-17 Conflict of interest
Sections 18-19 Disqualification, removal, resignation and vacancies
Sections 20-22 Powers and functions
Sections 23-29 Finance

Overview and Function

The Act provides for the registration and regulation of trade organizations. It was enacted to ensure suitable representation for all genders and business sectors at all levels in trade organizations as they play an important role in the development of policy frameworks to improve the business environment and enhance economic growth. Additionally, it defines the purpose, role, responsibilities, and operational framework including the code of corporate governance for trade organizations. It was enacted and came into force on 22nd February 2013 and extends to all of Pakistan.

Key Provisions

Section 3 Licensing and registration of trade organisations
Section 4 Revocation of licences of existing trade organisations
Section 5 Privileges and obligations of trade organisations
Section 6 Renewal of licence
Sections 7-8 Cancellation of license, exemption, and registration
Section 9 Grant of license de novo
Section 10 Membership of trade organisations
Section 11 Organisation and tenure of office-bearers and executive committee of trade organisations
Section 12 Uniformity in structure and autonomy of trade organizations
Sections 13-15 The Regulator, powers and functions
Section 16 Supersession of Executive Committee, office-bearers and appointment of Administrator
Section 17 Administrator to act under control of the Regulator
Sections 18 Restriction on suits against trade organisations
Section 19 Compulsory membership of trade organisations
Section 20 Restriction on membership
Sections 24 Power to levy fee etc.
Section 25-26 Penalty
Section 27 Trade Organisations Fund