DUTY CALLS

Textile Fabric Inter- Layered Application On 04 May the International Trade Administration Commission of South Africa (Itac) published a notice in the Government Gazette in respect of the proposed increase in the rate of customs duty on textile fabric inter-layered or otherwise combined with bentonite clay, classifiable under tariff subheading 5911.10.90, from free of customs duty (“General” rate of customs duty) to 25% ad valorem. The application was lodged by Kaymac (Pty) Ltd who provided the following reasoning for the application (i) Protect capital investment and improve potential for further investment and expansion; (ii) Retain local jobs and create further job opportunities; and (iii) Protect local industry and prevent potential cheap and inferior products. Comment is due by 01 June 2012. Leather Customs Duty Rebate Application On 04 May Itac published a notice in the Government Gazette in respect of the proposed rebate of the full rate of customs duty on leather prepared after tanning or crusting, including parchment dressed leather of buffalo animals, without hair on, being grain split, side leather, classifiable under tariff subheading 4107.9, for use in the manufacture of safety footwear. The application was lodged by Bagshaw Footwear, a division of Bolton Footwear (Pty) Ltd who provided the following reasoning for the application: (i) The product in question is not manufactured in the Southern African Customs Union (Sacu); and (ii) The import duty paid on the raw material renders the applicant uncompetitive against the imported finished product. Comment is due by 01 June 2012. Textile Rebates – Guidelines & Rules On 04 May Itac published “Guidelines, Rules and Conditions Pertaining to Rebate Items 311.42/5208/01.04 – 311.42/5209/01.04 – 311.42/5210/01.04 – 311.42/5407/01.04 – 311.42/5513/01.04 – 311.42/5514/01.04 – 320.02/5208/01.04 – 320.02/5208/01.04 – 320.02/5209 /01.04 – 320.02/5210/01.04 – 320.02/5407/01.04 – 320.02 5513/01.01 and 320.02/5514/01.04”. Itac also published “Application for a Permit in terms of Rebate Items 311.42/5208/01. 04 – 311.42/5209/01.04 – 311.42/5210/01.04 – 311.42 /5407/01.04 – 311.42/5513/01.04 – 311.42/5514/01.04 – 320.02/5208/01.04 – 320.02/ 5208/01.04 – 320.02/5209/01.04 – 320.02/5210/01.04 – 320.02/5407/01.04 – 320.02 5513/01.01 and 320.02/5514/01.04 for Rebate of Duty – Textile Bed, Toilet and Kitchen Linen; Curtains, Interior Blinds, Curtain or Bed Valances, other Furnishing Articles and Articles of Bedding and Similar Furnishing fitted with Springs or Stuffed or Internally fitted with any Material or of Cellular Rubber or Plastics, whether or not Covered”. Customs Rules for Travellers In an earlier issue we advised of a South African Revenue Service (Sars) notice to amend the Rules to the Customs and Excise Act (Sections 15 and 120), and forms relating to the Traveller Card (TC-01) and the Traveller Declaration (TRD1). It is important to take into account Rule 15.01(a)(ii) which stipulates that a traveller may only use the forms TC-01 and/ or TRD1 for declaring goods or vehicles required to be declared on these forms and places and from the date specified for each place. Implementation dates: Vioolsdrift (19 May), Nakop (19 May), Quachasneck (26 May), and Caledonspoort (26 May).