ISLAMABAD: Directorate of Customs Valuation Peshawar has drastically decreased the import value of Afghan-origin coal from USD 140 per metric ton (PMT) to USD 95 PMT imported into Pakistan via land borders Customs stations of Khyber Pakhtunkhwa.
The new valuation advice has superseded the valuation advice dated August 17, 2022, only to the extent of the Afghan-origin coal imported through the land borders Customs stations of KP and it shall not be applicable in any other cases.
In this connection, the directorate has issued new valuation advice to the collectors of Customs, Appraisement (Peshawar), Enforcement (Peshawar) and Enforcement (Dera Ismail Khan) Khyber Pakhtunkhwa (KP).
Import value of Afghanistan coal fixed at USD140/mt
According to the valuation advice, Customs Value of Afghan origin “coal” was determined to be at USD 0.140 per KG (or $ 140 PMT, C&F) vide valuation advice of 2022, issued by the then director Customs Valuation, Peshawar which valuation was in force, till to date.
However, Pakistani coal importers have approached the directorate stating that recently, the value of Afghan-origin coal has been decreased substantially. Therefore, import value of coal in Pakistan should also be revised / decreased accordingly.
Since coal is important industrial raw material for Pakistan, it was imperative to reconsider and revise its customs value (as imported from Afghanistan) commensurate with its prevalent prices in the local/regional market. Directorate of Customs Valuation Peshawar, therefore, up an exercise for this purpose, in consultation with local importers/traders of Afghani coal in KP.
Trade insisted that prices of Afghan-origin coal had undergone considerable decrease in recent times and therefore, its Customs values for import in Pakistan should also be revised downward. Trade also appreciated the fluctuating international price trends of coal and asserted that revised value of Afghani coal, if any, should prevail only for a limited time period, so that the same could be revised again, in due course of time, according to its changing price trends in Afghanistan.
After in-depth consideration of all relevant aspects of the matter, import value of Afghan-origin coal, as imported into Pakistan via land border Customs stations of Khyber Pakhtunkhwa, is hereby determined to be, minimum, USD 0.095 per Kg ($ 95 PMT) with immediate effect, until further revision thereof, the valuation ruling added.
Clearance Collectorates may ensure that henceforth, no import/clearance on lower than the above determined valuation be allowed. However, any import declaration of Afghani-Coal, bearing value higher than the above-determined value, may be accepted.
Copyright Business Recorder, 2023