KARACHI: Director Directorate General of Customs Valuation Abdul Rashid Sheikh chaired three separate meetings with the stakeholders on Tuesday to discuss the concerns of stakeholders in an exercise to help determine the Customs Valuation of Ink, Auto Parts Scrap and Tractor Parts.
Talking to Customs Today after the meeting, senior vice president of Sindh Auto Parts Scrap Importers & Dealers Association (SAPSIDA) Ashraf Qureshi said that scrap auto parts imports are subjected to an excessive duty of 35 percent which is 10 percent over and above the 25 percent maximum duty on any other imports. In addition, import of auto part scrap is also subjected to Regulatory Duty of 15 percent and subjected to a 20 percent fine because it is banned vide Import Policy Order as well as Sales Tax, Withholding Tax and Federal Excise Duty. The cumulative duty and taxes imposed on auto part scrap adds up in excess of 100 percent of its import price.
“We are only asking Customs for fair valuation on the import of auto part scrap because it is a product used only by the poor segment of the society,” Ashraf said. Fair valuation would not only help the government earn the revenue but would also discourage smuggling of auto spare parts, he added.
“Today is the first meeting with the Director of Customs Valuation and we are asked to submit our proposal by November 14 which we would do,” he said. Local manufacturers of tractor parts presented their point of view during the meeting held to discuss the issue pertaining to the Customs Valuation of imported Tractor Parts.
