Directorate General Customs Valuation (DGCV) has revised the customs values of different types of yarns under section 25(9) of Customs Act 1969. According to details, the customs values of polyester spun yarn, viscose spun yarn, acrylic spun yarn and blends were earlier determined vide valuation ruling 1161 in 2017.
However, All Pakistan Textile Mills Association (APTMA) has requested the DGCV to revise the said valuation ruling as the price of raw material has gone up in the international markets. Perusal of clearance data of import of subject items also reflected upward trend of prices.
Since the existing valuation ruling is formulae based and the formula was determined with the participation of stakeholders and industry experts. Therefore, fresh values as per the formula was obtained for calculation and determined of values of subject goods.
For the purpose, meetings with stakeholders were held in February and March in which the representatives of APTMA and Pakistan Yarn Merchants Association (PYMA) acknowledged upward price trend of raw materials in the international markets.
The APTMA also communicated the values of polyester staple fiber, viscose staple fiber and acrylic fiber from China Chemical & Fiber Economic Information (CCFEI) network. The Directorate, which followed the formula/procedure mutually, agreed by both trade bodies, obtained three months import data from WeBOC and data of identical goods was also taken from CCFEI.
The data from WeBOC and CCFEI website is used to ascertain the international raw material trading-prices of polyester staple fiber, viscose staple fiber and acrylic staple fiber separately. In this manner the value calculated for polyester staple fiber was US $ 1.16/Kg (months of December 2017, January and February 2018) and the value calculated for viscose staple fiber was US $ 1.91/Kg (months of December 2017, January and February 2018). Similarly, the value calculated for acrylic staple fiber was US $ 2.16/Kg (months of December 2017, January and February 2018).
After detailed examination of each aspect of manufacturing, the agreed upon conversion-costs (for each count of polyester, viscose and blended yarns) were separately provided by the PYMA and APTMA. Keeping in view, the ring spinning machines, rotor spinning machines and vortex/jet spinning machines (MJS or MVS), these conversion costs was adopted to determined values of subject items.
Later, all gathered information was analyzed for purpose of determination of customs values. Consequently, the customs values of different types of yarns have been determined under section 25(9) of Customs Act 1969.