Customs’ values on toffees, candies increased

ISLAMABAD: Directorate General of Customs Valuation Karachi has increased customs values on the import of toffees, candies & sugar confectionery items from Thailand, Taiwan, Indonesia, Vietnam, Saudi Arabia, UAE, Oman, Turkey, Europe and USA.

In this regard, the directorate has issued a new valuation ruling here on Friday. Earlier, the Customs values of Toffees, Candies & Sugar Confectionery items were determined under Section 25A of the Customs Act, 1969 vide Valuation Ruling No.1600/2022.

An exercise has been undertaken by this Directorate to re-determine the Customs values afresh in line with values prevalent in the international market.

Customs values of various goods changed

Meeting was convened which was attended by the relevant stakeholders. The issues pertaining to the valuation of subject goods were deliberated upon in detail in the aforementioned meeting.

The stakeholders requested to determine the Customs values afresh in accordance with the trend of values in the international market, as the values have declined considerably.

Ninety days’ clearance data has been retrieved and the same has been scrutinized. Moreover, import data of Candies, Toffees and Confectionery items was compared with data of Afghan Transit Trade for the same period.

After analysis, it has transpired that the total import value of Candies, Toffees and Confectionery items imported into Pakistan decreased from US$3.84 million to US$2.02 million (90% decrease) from 2021-22 to 2022-23 while, for Afghanistan, total import value under Transit trade substantively increased from US$1.96 million to US$5.09 million (160% increase) during the same period.

Market enquiry as envisaged under the Customs Act 969 was also conducted but could yield results to some extent because of variation in market prices.

In line with statutory sequential order, computed value method was examined, but the same also could not be applied as the conversion cost from the constituent materials and allied expenses, in the country of export, were not available for manufacturing of Toffees, Candies & Sugar Confectionery items.

The available data / information collected was thoroughly scrutinized and freight value at the time of previous VR No. 1600/2022 and prevailing freight values have been examined which are reduced. Finally, the Customs values of the subject goods have been determined, the ruling added.

SBP chief urges banks to increase presence in agriculture sector