KARACHI: The Director General Customs Valuation Syed Tanveer Ahmed has issued order-in-revision 2019 fixing the values of canned fruits on the basis of weight instead of net content.
Importers of canned pineapple and canned fruit cocktail including M/s Flavaro Pak and others had contended Valuation Ruling No.856/2016 praying that the Director had fixed the values on the basis of net content instead of weight, which was unlawful.
Importers submitted that the contents of valuation ruling do not show the method of calculation, and same has not been incorporated in the Ruling No.856/2016 in order to show that Cost-Profit ratio, the sale/purchase by importers, whole sellers, dealers and retailers after proper application by work back method right from point of sale at the retailers end up to the point of purchase at the importers end.
The Directorate General considered all the arguments and again conducted market inquiry, which revealed that the values are slightly on lower side.
Moreover, it was noted that the present values have been fixed on the basis of net contents. It seems odd that value has been fixed on the basis of net content weight whereas the goods are sold in cans or packing and never sold on the basis of net contents.
Moreover, the values have been now fixed on the basis of weight. The market inquiry also verified the same fact.
The Directorate General confirmed the values already fixed with the amendment that these values shall include the weight of the essential packing also.