KARACHI: The Director General of Customs Valuation has issued Order in Revision No: 303/2017 under section 25-D of the Customs Act, 1969 against Valuation Ruling No: 990/2016 issued on December 13, 2016. The revision petition was filed by M/s. Zhob Chamber of Commerce and Industry and others.
Reportedly, the petitioner stated that due to shortage of water the subject goods have a maximum sale and usage in Balochistan and Khyber Pakhtunkhwa. These goods are used for promotion of agriculture and domestic use. A market inquiry should have been conducted accordingly to assess the value of goods. The above said valuation ruling for goods has been fixed on a very high side. Neither notices nor a meeting with a main importer of the subject goods was called for the revision in the existing Valuation Ruling 318/2011.
Sources said that the Director General of Customs Valuation in his order stated that hearing was fixed on 06-02-2017. All the petitioners contended that Customs values of the subject item given at serial No: 1 & 4 of goods China origin have been increased on much higher side from the previous Valuation Ruling No: 318/2011, dated 17-05-2011 and requested for reconsideration as per previous ruling’s values.
It was also pointed out that PCT heading for cast iron submersible motor was mentioned as 850.1.5210 instead of PCT heading 8501.5290. However as per para 6 of the valuation ruling, PCT heading mentioned in the ruling is only for reference purpose and not binding.
Matter has been examined in detail. The fresh inquiry by the office suggested that rise in values are more than adequate. The values at serial No: 1 & 4 of submersible motors is revised at $12.50 per kilowatt and $11.75 per kilo watt respectively.
It is directed the PCT heading for submersible motors (cast iron) from serial No: 1 to 6 of Valuation Ruling may be entered as 8501.5290 in the system as this heading attracts 20% duty whereas the heading mentioned in Valuation Ruling is 8501.5210 which attracts 5% duty.
The correct PCT is 8501.5290 attracting 20% duty. The values of stainless steel remain the same and petition is rejected to this extent.
