KARACHI: The Directorate General of Customs Valuation has revised the customs value of welding electrodes (MS, SS, BRONZE Valuation Ruling No: 1211/2017 under Section 25A of the Customs Act-1969.
The customs value of welding electrodes was determined vide Valuation Ruling No. 832/2016 dated 15-04-2016. M/s Ashraf traders and importer approached the Directorate General of Customs Valuation for revision of values of welding electrodes, particularly E6013 of mild steel, for the reason that prices of commodity have decreased internationally. An exercise to re-determine the customs value of the said goods under Section 25-A of the Customs Act-1969 was initiated to reflect their current international price trend of subject items.
- Stakeholders’ participation in determination of customs values: Meetings with all stakeholders were scheduled on 24-07-2017, 10.08.2017 and 06.09.2017. Meetings were attended by manufacturers M/s Shanghai Industries Pvt. Ltd, importers including Ashraf Traders, M/s New Light -House Pvt. Ltd and officers from field formations. All the stakeholders were requested to submit the following documents so that correct customs values could be determined: –
- i) Invoices of imports during last three months showing factual value. ii) Websites, names and E-mail addresses of known foreign manufacturers of the item in question through which the actual current value can be ascertained. iii) Copies of Contracts made/LCs opened during the last three months showing the value of item in question. iv) Copies of Sales Tax Invoices issued during the last four months showing the difference in price (excluding duty and taxes) to substantiate that the benefit of difference in price is passed on to the local buyers.
The requisite documents were not submitted by participants. Few importers submitted record like import invoices and sales tax invoices. During the meetings, the manufacturers M/s Shanghai Industries Pvt. Ltd contested that the current valuation ruling No: 832/16 of welding electrode is not reflective of prevailing international prices of the commodity as prices of wire rod i.e its basic raw material comprising of more than 70% of Welding Electrode has increased significantly in the recent times which is manifested by published metal prices which ultimately result in increase of prices of welding electrodes.
