Customs values of different types of medicines revised

01 May, 2018

Directorate General Customs Valuation (DGCV) has revised the customs values of different types of medicines under section 25(7) of the Customs Act, 1969. According to details, the customs values of different types of medicines were earlier determined vide valuation ruling 1238 in January, 2018.
Subsequently, several representations were received from importers to determine the applicable customs values afresh in accordance with the trend of values in the international market and to include more medicines being regularly imported with wide variation in declared prices.
It said that the customs values of medicines including water for injection 5ml B P, aminophyllin injection 10ml/250mg, calcium gluconate injection 1 gram BP 10 per cent, fostomycin syrup 250mg (suspension 60ml), metoclopomide injection B.P 10mg/2ml, kanamycin sulphate injection 1 gram, streptomycin sulphate for injection (equivalent to 1 gram streptomycin base) and vitamin AD3 injection 1ml (D3 injection) for inclusion in valuation ruling issued under section 25-A of the Customs Act 1969 for uniform assessment.
Keeping the prevailing prices of the subject items in view, the Directorate has initiated an exercise for determination of the customs values of the subject items in terms of section 25-A of the Customs Act, 1969. For the purpose, the meeting with the stakeholders including importers and representatives from Collectorates was held on April 18, 2018 to discuss the current international prices of the subject items.
Number of importers during the meetings argued that there were certain other medicines which were required to be brought under the regime of valuation ruling to curb the menace of under invoicing. They also supported their submissions with documentary evidences. They further contended that certain unscrupulous elements were using generic names to avoid application of ruling to their imports and requested to mention generic names of these medicaments as well.
After adopting valuation methods, transaction value method and similar goods value methods, the Directorate remained inconclusive to determine the customs values of different types of medicines. Thereafter, market enquiries as envisaged under section 25(7) of the Customs Act, 1969, were conducted.
Later, all gathered information was evaluated and the customs values of the said medicines have been determined under section 25(7) of the Customs Act, 1969.

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