ISLAMABAD: Directorate General of Customs Valuation Karachi has issued new customs values on the import of Water Based Acrylic Type Self Adhesive Tape (BOPP/OPP) and Hot Melt Rubber Based Self Adhesive Tape in - Jumbo/Log Roll or in retail packing.
The directorate has issued a new ruling number 1996 of 2025. The new ruling would be applicable on the imports from China, Hong Kong, Malaysia, Korea/UAE /Taiwan, Canada, Europe, Japan, and the USA.
Earlier, the customs values of Water Based Acrylic Type Self Adhesive Tape (BOPP/OPP) and Hot Melt Rubber Based Self-Adhesive Tape in Jumbo/Log Rolls or in Retail Packing were determined vide Valuation Ruling that was challenged before the Honourable Director General of Customs Valuation under Section 25D of the Customs Act, I969. Director General vide Order-in-Revision No. 04/2025 remanded back the Valuation Ruling for re-determination of customs values by recourse to the valuation methodology in terms of the Section 25 of the Act, I969. Accordingly, an exercise for the re-determination of customs values of subject goods was initiated under Section 25A of the Customs Act, 1969.
New customs values on import of dates fixed
Meeting were attended by several stakeholders including the local manufacturer including the representatives of KCC&I. The importers contended that the values of subject goods are on a lower side in international market, therefore, the customs values may be revised according to the actual market trends. M/s Universal Coating (a local manufacturer) contended that the subject goods are being under-invoiced and the customs values in the existing Valuation Ruling are on lower side in accordance with the actual international market trends and hence the customs values need to be increased. They informed that the prices of raw material may be worked out keeping in view the conversion costs of BOPP as raw material and manufacturing costs of BOPP film and adhesive including the overhead expenses in the manufacturing process.
For the determination of customs values of subject goods, ninety (90) days’ data was retrieved and the same was thoroughly scrutinized. Some references of declared values were available. Subsequently, market inquiry has also been conducted and examined in the light of this Directorate’s Office Order No.17 of 2014.
In line with statutory sequential order of section 25, computed value method as provided in Section 25(8) of the Customs Act 1969 was examined, in the light of constituent materials i.e. BOPP (as raw material), BOPP films and Adhesive were taken into account for determination of customs value, but the same also could not be solely relied upon as the conversion cost from the constituent materials and allied expenses, in the country of export, were not available for manufacturing of the said goods. Finally, the Customs values of the subject goods have been determined under Section 25(9) read with Section 25(7) and Customs Rule l2l (2) of Customs Rules, 2001 which provides that the methods of valuation, to be employed under sub-section (9) of section 25 of the Act may be inclusive of those laid down in sub-sections (l), (5), (6), (7) and (8) of the said section. But a reasonable flexibility in the application of such methods would be in conformity with the aims and provisions of sub-section (9) of that section, the directorate added.
Copyright Business Recorder, 2025
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