KARACHI: Director General of Customs Valuation has revised the customs value of conventional and inverter type air conditioners vide valuation Ruling No.744/2015.
According to details, the valuation department received a reference from MCC Appraisement (West) which explicated that the current ruling excludes the inverter type air conditioner. On the other hand, local manufacturers also comprises of grumbles with respect to the improper assessment of the inverter type air conditioner.
Resultantly, taking into consideration the grievances of the importers / manufacturers, an inquiry was conducted to probe the entire matter. Moreover, it is pertinent to point out that the maiden market research indicated that there exist a substantial difference in the prices of conventional and inverter type air conditioners of similar brands. The entire market inquiry report was thoroughly analyzed and evaluated.
Furthermore, meetings were also held with the stakeholders where the local manufacturers submitted that the inverter type air conditioner consists of most advanced form of technology and are sold at very exorbitant prices in the international market along with the excessive premium payments.
Whereas, the importers accepted this clarification, but with the exception that the differences being depicted by the local manufacturers tends to be ambiguous. Importers also requested the concerned authorities to enhance prices up to the extent of 15% for opening ways for legal import.
Later, the assessment of customs values for split air conditioners were determined as: Wall mounted 12000 BTU under PCT code 8415.1020 at $ 209 (Conventional) and $ 282 (Inverter);
Wall mounted 18000 BTU under PCT code 8415.1020 at $ 242 (Conventional) and $ 327 (Inverter);
Wall mounted 24000 BTU under PCT code 8415.100 at $ 300 (Conventional) and $ 405 (Inverter);
Floor standing 24000 BTU under PCT code 8415.100 at $ 477 (Conventional) and $ 644 (Inverter);
Floor standing 48000 BTU under PCT code 8415.100 at $ 690 (Conventional) and $ 932 (Inverter);
Floor standing 60000 BTU under PCT code 8415.100 at $ 822 (Conventional) and $ 1110 (Inverter);
Wall mounted 12000 BTU under PCT code 8415.100 at $ 225 (Conventional) and $ 304 (Inverter);
Wall mounted 18000 BTU under PCT code 8415.100 at $ 291 (Conventional) and $ 393 (Inverter);
Wall mounted 24000 BTU under PCT code 8415.100 at $ 340 (Conventional) and $ 459(Inverter);
Floor standing 24000 BTU under PCT code 8415.100 at $ 534 (Conventional) and $ 721 (Inverter);
Floor standing48000 BTU under PCT code 8415.100 at $ 816 (Conventional) and $ 1102 (Inverter);
Floor standing 60000 BTU under PCT code 8415.100 at $ 1017 (Conventional) and $ 1373 (Inverter).
It is important to mention that in case of consignments imported by air, the assessing officer shall take into account the differential between air and sea freight at the time of applying custom duty.