Iraq, Iran, Saudi Arabia Import of branded fresh dates: customs values reduced

ISLAMABAD: Directorate General of Customs Valuation, Karachi has reduced Customs values, ranging between US 0.18 dollar per kg and US 3.52 dollar per kg, on the import of branded fresh dates from Iraq, Iran and Saudi Arabia.

Through another valuation ruling, the directorate has also revised Customs value, ranging between $ 3.04 per kg (net content) and $ 46.61 per kg, on the import of food supplements/ multivitamins/ mineral supplements and Whey Protein of all origins.

The directorate has also revised the minimum Customs values on the import of shoe polish from China and Turkey, as the last ruling was issued more than four years ago. Now fresh values have been determined.

According to a valuation ruling issued by the directorate here on Thursday, the customs values have been mostly revised downwards on the import of fresh dates having brand names of Zahidi; Muzafati; Rabbi/Piarom; Ajwa, Amber and other varieties/types.

For example, the minimum Customs values of date brand Ajwa, Amber imported from Saudi Arabia have been reduced from $ 6 per kg and $ 3.52 per kg.

The minimum Customs value on the import of Muzafati from Iran has been reduced from $ 0.35 per kg to $ 0.34 per kg.

The minimum Customs value on the import of Zahidi brand from Iraq has been reduced from $ 0.19 per kg to $ 0.18 per kg.

The minimum Customs value on the import of Rabbi/Piarom from Iran has been reduced from $ 0.36per kg to $ 0.35 per kg.

The value added products of fresh dates such as filled with almond, honey and chocolates etc, will be assessed under section 25 of Customs Act 1969, by Clearance Collectorates. Reduction of 8 percent shall be admissible on total of above value on account of freight charges, if goods are imported through land route. In cases where declared transaction values are higher than the Customs values determined in this Ruling, the assessing officers shall apply those values in terms of Section 25 of the Customs Act, 1969. In case of consignments imported by air, the assessing officer shall take into account the air freight while applying the Customs values determined in this Ruling.

Background of the valuation issue revealed that the Customs value of fresh dates was determined under Section 25A of the Customs Act, 1969 vide Valuation Ruling No.1133/2017.

The Valuation Ruling was approximately five (05) years old. Quetta Chamber of Commerce and Industry (QCCI) and Sarhad Chamber of Commerce and Industry filed representations before the FBR. A meeting was held in FBR headquarters which was chaired by the chairman FBR and attended by Member (Customs-Policy), Director General Customs Valuation and other participants including the representatives of both the chambers. Keeping in view difference between freight from land and sea routes- quality of goods and other socio-economic factors, the Board forwarded a record note dated Feb 28, 2022.

Accordingly, an exercise was undertaken by the Directorate General of Customs Valuation to determine afresh the Customs Values of subject goods in terms of Section 25A of Customs Act, 1969.

The directorate stated that the valuation methods provided in Section 25 of the Customs Act, 1969, were duly applied in their regular sequential order to arrive at Customs values of subject goods. The transaction value method as provided in Sub Section (1) of Section 25 of the Customs Act, 1969, was found inapplicable because requisite information was not available as per law. The wide variation of values displayed in the import data as available on record also strengthened the aforementioned fact. Hence requisite information under law was not available to arrive at the transaction value.

Finally, clearance data, market information and international prices through internet were examined thoroughly and the information so gathered were utilized and analyzed for determination of customs values of the subject goods under Section 25 (9) of the Customs Act, 1969, Directorate’s Ruling added.

Copyright Business Recorder, 2022