KARACHI: MCC Exports has detected evasion of regulatory duty on export of potatoes through mis-declaration of classification.
According to details, during scrutiny of Goods Declarations, it was observed that two exporters namely M/s Roshan Enerprises and M/s OK Enerprises filed goods declaration for export of potatoes falling under PCT 0701.1000. The consignments were allowed loading by the system through green channel.
However, suspecting the declaration of the goods, the GDs were diverted to red channel and during examination, it was observed that the containers contained fresh potatoes falling under PCT 0701.9000 which attracts regulatory duty at the rate of 25 percent levied vide SRO (l)/2014 dated 02.05.2014.
Thus the exporters, in order to avoid payment of regulatory duty, had misdeclared the PCT. Four such consignments containing five containers of above exporters were put to hold and contravention cases framed thereon.
The amount of regulatory involved in these consignments is Rs 0.702 million. It is pertinent to mention here that four other GDs containing four containers of M/s Roshan Enterprises (same exporter) with above PCT were already shipped through green channel. The RD involved on those consignments is Rs. 0.578 million.
Contravention in said cases has also been prepared. Thus total detection of RD in this way amounts to Rs. 1.280 million.