Aluminium Hydroxide/Alumina Hydrate Customs values on import revised

Directorate General of Customs Valuation Karachi has revised customs values on the import of Aluminium Hydroxide/Alumina Hydrate from India, China, Korea, India, USA, EU and Japan for assessment of duty/taxes. The directorate has superseded Valuation Ruling No 233/2010, dated 09-03-2010 through a ruling (819/2016) issued here on Monday.

According to the ruling, Aluminium Hydroxide/alumina Hydrate (powder form), origin India, customs values fixed at (C & F) 0.27 US $ per KG; other origins, customs values (C & F) 0.30 US$ per KG; aluminium Hydroxide/Alumina Hydrate (Gel / paste form), origin China, Korea, India, customs values (C & F)0.50 US$ per KG and imports from USA, EU and Japan of the said item would be subjected to Customs Values (C & F) 0.60 US$ per KG. In cases where declared / transaction values are higher than the Customs values determined in this ruling, the assessing officers shall apply to those values in terms of Sub-Section (1) of Section 25 of the Customs Act, 1969. In case of consignments imported by air, or by land route, the assessing officer shall take into account the differential between air freight or land route transportation charges and sea freight while applying the Customs values determined in this Ruling.

Background of the valuation issue:

Customs values of Aluminium Hvdroxide/Aumina Hydrate were determined vide Valuation Ruling No 233/2010 dated 09-03-2010. The importers were demanding revision in prices of Aluminium Hydroxide/Alumina Hydrate claiming that there is decline in the prices in the international market. Accordingly to ascertain the current prices prevailing in the international market, an exercise to re-determine the customs value of Aluminium Hydroxide/Alumina Hydrate was undertaken by this Directorate General.

Stakeholder's participation in determination of Customs values:

Meeting with the stakeholders was held on 02-03-2016 which was attended by importers and office bearers / representatives of Pakistan Chemical Dyes Merchants Association (PCDMA). The stakeholders were requested to provide supporting documents to substantiate their contention of decrease in international market prices.

During the meeting it was observed that there are two distinct forms of Aluminium Hydroxide/Alumina Hydrate being imported, one in powder form and the other in gel form. There was a consensus that the new Ruling shall distinctly specify the two types of aluminium hydroxide! alumina hydrate separately.

Method adopted to determine customs values:

Valuation methods given in Section 25 of the Customs Act, 1969 were applied sequentially to address the valuation issue in hand.

The values determined vide this Ruling shall be the applicable Customs value for assessment of subject imported goods until and unless it is rescinded or revised by the competent authority in terms of Sub-Sections (4) of Section 25-A of the Customs Act, 1 969. The Collectors of Customs may ensure that the values given in the Ruling for the given description of goods are applied by the concerned staff without fail. Any anomaly observed may kindly be brought to the notice of Directorate General immediately for redressal, ruling added.