Saturday, July 20, 2013

One last grift from the Karzai Mob?


As if they haven't pocketed enough US aid, as well as direct bag drops in Karzai's office, the Afghan power structure is looking to make one last suck on the US tit before we go.
Under a deal signed nearly a decade ago, goods shipped into Afghanistan by the American-led coalition are not subject to taxes or customs duties. But, Afghan officials said, each container brought in must be accompanied by paperwork to claim the exemption, and most of the forms were never filed.

The customs issues “have been lingering for many years now with no serious intention or effort” by the coalition to resolve them, Mr. Zakhilwal said.

Now that the coalition is trying to take out its equipment, the Afghan government is demanding each container either come with its paperwork — or a $1,000 fine. Najeebullah Manali, a Finance Ministry official, put the number of trucks at roughly 70,000. That would mean a fine of $70 million.

If anything, Mr. Zakhilwal said, the Afghan government was giving the coalition a break. “The duties owed to us run into hundreds of millions of dollars,” he said. “The truth is that quite a bit of these goods (mostly fuel) have been smuggled into the market with consequences not only for our revenue but also distorting our market and damaging competition.”

To force the issue, Afghanistan closed its border crossings with Pakistan to coalition shipments moving both ways on July 11. The crossings, through which most supplies move, were reopened on Wednesday after the Finance Ministry gave the coalition another month to settle the matter.
The US answer to this diplays the brilliance of US thinking on Afghanistan from the beginning.
American officials have balked at paying the fines, portraying the Afghan border closing as a shakedown by a government that is short of cash and unwilling to tax its own business class, which has grown wealthy off American supply contracts.

Instead, the coalition has turned to air shipments. It has flown out more than two-thirds of the material it moved in the past month, American officials said. In previous months, more than two-thirds had been shipped by land.

Air shipments are a far more expensive solution than simply paying the fines demanded by the Afghan government. If continued, the air shipments could result in the withdrawal of forces reaching or exceeding $7 billion, the upper end of its estimated cost.
To avoid fines totaling $Millions we will fly it out at an added cost of $Billions. Brilliant!

Comments:
I know it is pretty irrational of me, but I still kind of like them telling Karzai to sit and spin. It is complete bullshit considering how much cash he has had delivered by the sackful.
 

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