KARACHI: The Directorate General of Customs Valuation has revised the customs value of mineral grease vide Valuation Ruling No 1289/2018 under Section 25-A of the Customs Act, 1969.
Earlier, the customs values of mineral grease were determined vide Valuation Ruling No. 830/2016 dated 12-04-2016. Several representations were received from importers wherein they claimed that the value of the subject item needs to be realized with international values which have decreased considerably. They requested to determine the applicable customs values afresh in accordance with the trend of values in the international market, therefore, this Directorate General initiated an exercise for re-determination of the customs values of mineral grease in terms of Section 25-A of the Customs Act, 1969.
Numerous meetings with different stakeholders including importers, and representatives from field formations were held The stakeholders contended that the mineral grease has shown a downward trend and they requested that the existing valuation 4:11 g may be reviewed in the light of prevailing international market prices. The view point of all participants was heard in detail and considered to arrive at Customs values of Mineral Grease.
Valuation methods given in Section 25 of the Customs Act, 1969 were followed. Transaction value method provided in Section 25 (1) was found inapplicable owing to wide variations in the values being declared to the customs.
Identical/similar goods value methods provided in Section 25(5) & (6) were examined for applicability to the valuation issue in the instant case which provided some reference values of the subject goods but the same could not be exclusively relied on due to wide variation in declared values of subject goods. Thereafter, market enquiries as envisaged under section 25(7) of the Customs Act, 1969, were conducted. All the information so gathered was evaluated and analyzed for the purpose of determination of customs values. Consequently, the Customs values of Mineral Grease (H.S. Code 2710.1992) have been determined under Section 25(7) of the Customs Act. 1969.