Business

Understanding Standard Customs Inquiry Procedures

Published

5 months ago

2025/11/9

Aligning with global best practices requires Sri Lanka to embrace independent and impartial reviews where necessary

Sri Lanka Customs plays a vital role in safeguarding the national economy, both through its regulatory responsibilities and revenue collection functions. As the country’s border control authority, the Department is tasked with facilitating legitimate trade while preventing illegal activities such as smuggling and other forms of illicit cross-border movement.

As a regulatory body, Customs must also remain accountable for the actions it takes. In fulfilling its mandate, Sri Lanka Customs—similar to Customs administrations worldwide—may be required to initiate investigations that lead to formal inquiries. These investigations are conducted in line with globally accepted standards and procedures, reflecting the Department’s role in international law enforcement and its responsibility to uphold transparent, fair, and consistent practices.

Customs investigations are typically initiated upon detecting irregularities such as misdeclaration, undervaluation, or violations related to imports and exports. At present, the full inquiry process is carried out internally within the institution, without the requirement to seek an independent review. This internal structure means that matters involving external parties are handled without impartial or third-party oversight.

Although the goods or interests under inquiry often belong to private entities, decisions are made exclusively by the officials, which can give rise to concerns regarding transparency and potential conflicts of interest. A comparable investigative approach is also followed by other regulatory bodies in Sri Lanka.

Global norms

Internationally, administrative bodies engaged in decision-making are expected to uphold principles of fairness and impartiality. Accordingly, processes must adhere to key standards such as impartial decision-making, the right to be heard, transparency, access to review mechanisms, and overall procedural fairness.

In line with these norms, the World Customs Organization—through Chapter 10 of the General Annex to the Revised Kyoto Convention (RKC), the global framework for simplifying and harmonizing customs procedures—emphasises that decisions affecting traders or individuals must be subject to review. Likewise, the Trade Facilitation Agreement of the World Trade Organization (WTO), in Article 4, requires member states to ensure that importers and exporters have access to mechanisms for review or appeal of customs decisions.

The United Nations Conference on Trade and Development (UNCTAD) also highlights that fair administrative procedures are essential to preserving public trust and ensuring compliance within customs operations. Similarly, the OECD Recommendation on Regulatory Policy and Governance (2012) underscores the need for administrative bodies to maintain accountability, transparency, and procedural fairness in enforcement and adjudication processes.

Global best practices

International practice has moved toward transparent, multi-stage dispute-resolution frameworks, ensuring that decisions can be reviewed independently. This shift has created an opportunity for Customs administrations worldwide to incorporate impartial review mechanisms outside their internal structures.

In the United Kingdom, functions are distinctly separated: tax collection and border control are handled by different institutions, and appeals are adjudicated by an independent lower-level tribunal. Decisions of this tribunal may then be appealed to the Upper Tribunal and subsequently through the regular court hierarchy.

In India, review and appeal functions are assigned to the Customs, Excise and Service Tax Appellate Tribunal (CESTAT), a statutory quasi-judicial body established under the Customs Act to adjudicate complex customs and tax disputes.

Similarly, Thailand has adopted a structured, tiered review system. Disputes undergo initial internal review by subject-matter experts, after which appeals may be taken to the national judiciary. Higher-level appeals are handled by the Customs Board of Appeals, which includes external experts, ensuring an additional layer of independent oversight.

To strengthen fairness and accountability

The international examples above demonstrate the value of clearly separating investigative, decision-making, and review functions. Such structures reinforce impartiality, enhance accountability, and strengthen public confidence in the inquiry process. These models reflect globally recognised best practices that promote transparency and fairness in customs administration.

Sri Lanka’s current framework primarily operates through an internal review process. In addition to the above, introducing an external, independent review mechanism—aligned with international standards—would further strengthen trust, impartiality, and institutional accountability. As a border control authority and a key regulator of import and export activity engaged in global trade systems, adopting internationally practised adjudication approaches would enhance the credibility and reliability of Sri Lanka Customs at every level of operation.

By Nadeeka Dissanayake

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Business

Oil tops $116 a barrel as Iran accuses US of preparing invasion

Published

13 hours ago

2026/03/30

Priyan

A worker collects engine oil as he works at a degassing station in the Zubair oilfield near Basra, Iraq, on March 28, 2026 [Aljazeera]

Oil prices have surged to their highest level in nearly two weeks amid escalation on multiple fronts of the US-Israel war on Iran.

Brent crude, the global benchmark, rose more than 3 percent on Monday morning to top $116 a barrel.

The latest climb took the global benchmark to its highest point since March 19, when it briefly touched $119 a barrel.

The surge came after Iran said it was prepared for a US ground invasion, with the speaker of the country’s parliament warning that Tehran was waiting for the arrival of US troops to “set them on fire” and “punish” their regional allies.

Tehran’s warning came as the conflict deepened over the weekend, with the Iranian-backed Houthis launching missiles at Israel for the first time in the war, and Israel expanding its invasion of southern Lebanon.

Asia’s main stock indexes fell sharply in morning trading, with Japan’s Nikkei 225 and South Korea’s KOSPI both down more than 4 percent as of 1:30 GMT.

Iran’s effective closure of the Strait of Hormuz in retaliation for the US-Israel war has disrupted about one-fifth of global oil and liquified natural gas (LNG) supplies, plunging the world into its biggest energy crisis in decades.

Oil prices have risen nearly 60 percent since the start of the war, driving up fuel prices worldwide and forcing numerous countries to adopt emergency measures to conserve energy.

Analysts have warned that oil prices are likely to keep rising unless maritime traffic returns to normal levels in the strait.

US President Donald Trump has threatened to “obliterate” Iran’s energy infrastructure if Tehran does not relinquish its stranglehold on the waterway by a deadline of April 6.

Trump, who on Thursday extended his deadline by 10 days, has proposed a 15-point plan for ending the war with Iran and insisted that the two sides are making progress towards a deal in indirect talks being mediated by Pakistan.

Tehran has flatly rejected Trump’s plan and proposed its own terms for a ceasefire, including war reparations and recognition of Iran’s right to control the strait.

Greg Newman, CEO of Onyx Capital Group, which began as an oil derivatives trading house, said energy consumers were only beginning to feel the true fallout of the turmoil.

“Physical oil moves around the world in loading cycles, and Europe has taken around three weeks to really start feeling the effects of the oil shortage,” Newman told Al Jazeera.

“Brent is starting to reflect the reality, and we think it’s a steady rise from here towards $120 and beyond.”

Newman said the scale of the disruption had yet to be fully appreciated.

“No one in the market has ever seen the outages we are now suffering from – physical premiums are the highest ever. There is still a sense that the macro world is not taking this seriously enough, but it is worse than anything that has come before it,” he said.

“The reality will come out in the economic numbers over the coming months.”

While Iran has been allowing a growing number of transits by ships that are not aligned with the US or Israel, traffic remains a fraction of pre-war levels.

On Saturday, Pakistani Minister of Foreign Affairs Ishaq Dar announced that Tehran had agreed to allow 20 Pakistani-flagged vessels to pass the strait in what he described as a “meaningful step toward peace”.

Malaysian Prime Minister Anwar Ibrahim said last week that Iran had granted an unspecified number of Malaysian vessels permission to clear the strait.

Seven non-Iranian vessels passed the strait on Thursday, up from five on Wednesday and four on Tuesday, according to maritime intelligence firm Windward.

Before the start of the war on February 28, the strait saw an average of 120 daily transits, according to Windward.

[Aljazeera]

Business

SLT-MOBITEL turnaround signals new era for SOEs, says deputy minister

Published

15 hours ago

2026/03/30

Thilina Walpola

The panel discussion led by Deputy Minister of Digital Economy Eng. Eranga Weeraratne (centre) with SLT MOBITEL’s top management Pic by Nishan S. Priyantha

The era of privatising loss-making state-owned enterprises may be drawing to a close, with SLT-MOBITEL emerging as proof that strategic management can deliver profitability without a change in ownership, Deputy Minister of Digital Economy Eng. Eranga Weeraratne said.

“There was a massive public outcry asking the previous governments to sell the loss-making state-owned enterprises. Now it is not there as it was used to be heard,” Weeraratne said. “SLT-MOBITEL has proven that the proper management strategy can turn any loss-making SOE into profit. Gone are the days we heard ‘sell, sell, sell’.”

The remarks came as Sri Lanka’s national ICT provider reported a decisive financial turnaround in FY 2025, driven by disciplined cost management, operational efficiency, and steady growth across fixed and mobile businesses.

The company has simultaneously rolled out a pioneering 24/7 operational model – the industry’s first – with 14 Outside Plant Maintenance Centres operating round-the-clock in metro areas, Kandy, and Jaffna to ensure uninterrupted connectivity.

“Our strong financial results reflect the resilience of SLT-MOBITEL and the trust customers place in us,” said Dr. Mothilal de Silva, Chairman, SLT Group. “With the roll-out of the 24/7 OPMC operations, we are raising the bar for service reliability.”

SLT-MOBITEL has also made 5G publicly available in Sri Lanka and continues to support the Ministry of Digital Economy with secure data centre infrastructure, reinforcing its role as a catalyst of national development.

By Sanath Nanayakkare

Business

Kia Tasman arrives in Sri Lanka: A pickup built for work and comfort

Published

15 hours ago

2026/03/30

Thilina Walpola

Kia Motors Lanka has launched the all-new Kia Tasman, the brand’s first-ever pickup truck – engineered to redefine the double cab segment by combining rugged capability with SUV-like refinement.

Built on a robust body-on-frame platform, the Tasman offers best-in-class strength with a payload capacity of 1,151kg, towing up to 3,500kg, and water wading up to 800mm. Advanced 4WD systems and terrain modes ensure unmatched off-road performance.

Inside, the cabin surprises with best-in-class rear legroom, sliding and reclining rear seats – a segment-first – and a panoramic display with premium Harman Kardon sound.

“This is a vehicle conceived without compromise,” said Kia Motors Lanka Chairman Mahen Thambiah. “For customers who demand durability, capability, and everyday comfort, the Tasman delivers on every front.”