KARACHI: The Directorate General of Customs Valuation has revised the customs value of sweet corn, canned pineapple and fruit cocktail vide Valuation Ruling No 965/2016 under Section 25-A of the Customs Act, 1969.
Customs value of the said items was determined under section 25(A) of the Customs Act, 1969 vide Valuation Ruling No. 856/2016 dated May 23, 2016. Some importers of subject goods requested for revision of existing ruling as 90 days had passed.
Therefore, in order to rationalise the values of subject goods, an exercise was undertaken by the directorate to determine the customs values of subject goods.
Meeting was held on October 25, 2016 with the stakeholders of subject goods and representatives of clearance collectorate also participated. All the stakeholders strongly contended and requested that the said valuation ruling may be reviewed in the light of prevailing international and local market prices and raised their issues regarding clearance vis-à-vis packing mode.
It was also highlighted that the subject goods are perishable items and therefore have got limited shelf life, consequently, near the expiry dates. These perishable items are sold on sales at discounted prices. It was further contended by the traders that since the subject goods are mainly being sold on super and general stores; therefore, a lot more expenses (shelf rent, marketing expenses and refrigeration cost etc.) are contributed at retail level which cannot be managed without adding extra value to the subject goods.
The importers contended that all these factors may also be considered in fixing value of subject goods. Prices are also verified on the basis of location of market in the city and date of expiry of the product in question. While determining the prices the factors like mode and nature of essential packing have also been taken into account.
