KARACHI: The MCC Appraisement East has proposed that the minimum rate of Customs duty should be increased to 2.0 percent from the existing 1.0 percent on all PCT headings; besides increase in duty on various other items has also been .

The Collectorate in its proposals for the budget 2015-16 has proposed several measures in the Customs tariff to increase government revenue as well as discouraging mis-declaration and under-invoicing.

A substantial quantity of coffee is imported every year. Being not a common man drink, it is proposed that the rate of Customs duty may be increased from 10 percent to 25 percent as elite class can afford higher prices.

Naphthalene having aromatic constituents exceeding from the weight of non aromatic constituents is classifiable under PCT Heading 2707.4000 chargeable to customs duty at 5.0 percent. Whereas, other than aforementioned Naphthalene is classifiable under PCT Heading 2902.9010 chargeable to customs duty of 10percent. To eliminate the chances of mis-declaration, duty slab on both the items may be rationalized to 10 percent.

Carbon Black oil is classifiable under heading 2707.9910 chargeable to customs duty of 5.0 percent. Whereas, Carbon of rubber grade is classifiable under heading 2803.0010 chargeable to customs duty of 25 percent. To eliminate chances of mis-declaration, duty slab on both the items may be rationalized to 20 percent.

Regulatory duty may be enhanced from 10 percent to 15 percent on betel nuts being non essential item having in-elastic demand as it will boost revenue.

Piston type air compressors and Screw compressors are subject to CD at 15 percent while the rate of duty on Air compressors mounted on wheeled chassis for towing is 5.0 percent, which should be made at par with that on Piston type and Screw type air compressors i.e. 15 percent.

“All other bearings (i.e. Tapered, Spherical, Needle, Cyliderical etc.)specified under PCT Heading 84.82 have rate of CD at 10 percent. Therefore, it is proposed that duty on ball bearings should be raised from existing 5.0 percent to 10 percent.

It has been proposed that rate of duty on sealed lead acid batteries used in telephone exchanges should be increased from existing 10 percent to 20 percent. In order to avoid higher rate of duty i.e. 25 percent and RD of 5.0 percent, the importers prefer to import appliances under PCT Heading 8509 in parts in different consignments, therefore rate of duty on parts for food grinders, mixers and juice extractors etc should be increased from existing 10 percent to 20 percent.

It is proposed that rate of duty on TV tuner should be increased from existing 5.0 percent to 20 percent while duty on multi-core, flexible flat type copper insulated should be increased from existing 10 percent to 25 percent.

As per Sr.30 of Appendix-B-II, of IPO, 5 items namely X-Ray machines, dialysis machine, anesthesia apparatus, Reverse osmosis equipment and ophthalmic instrument and appliances if imported in used condition requires inspection certification issued by internationally recognized Inspection Agency specialized in the field to the effect that the equipment is free from bacteria material injurious to health.

No specialized companies for above certification have been specified which causes suspicions and delay in clearance for ascertainment to bona fide of the furnished certification. It is therefore suggested that list of inspection/certification agencies should be made part of the import policy order (IPO) as an annexure like the one given for PSI agencies under Appendix-D.