DUTY CALLS

HS2012 – Effective from 01 January 2011 If you are reading this column on 08 July 2011, there are only 177 days before amendments are introduced to the Harmonised System Nomenclature, also known as the South African Tariff Book. Every five years there are significant changes to the Harmonised System Nomenclature, also known as the HS. Recommendation for the proposed amendments were first published more than two years ago – 26 June 2009. By way of background, the proposed amendments, referred to by the World Customs Organisation (WCO) as a “Recommendation”, are the fifth since the WCO Council approved the Harmonised Systems Convention in 1983. South Africa introduced the HS on 01 January 1988. The current Recommendation includes 220 sets of amendments, divided as follows: (i) Agricultural sector – 98; (ii) Chemical sector – 27; (iii) Paper sector – 9; (iv) Textile sector – 14; (v) Base Metal sector – 5; (vi) Machinery sector – 30; and (vii) Other sectors – 37. In preparing for the proposed amendments, you need to study the documentation which has been available in South Africa since 26 June 2009. Before a Government Gazette notice is published, a lot of work needs to be completed to account for the impact of the proposed tariff amendments across all the Schedules to the Customs and Excise Act (the Act). The main sources of the amendments to the HS are (i) Technological Progress; (ii) Trade Patterns; (iii) Clarification of texts to ensure uniform application of the HS; and (iv) Adaption of the HS to reflect trade practices. Over the next few weeks we will address the amendments. Schedule No 3, 4, 5 & 6 – Final Opportunity Comments with respect to the proposed amendments of Schedules No.3, Schedule No.4, Schedule No.5, and Schedule No.6 to the Customs and Excise Act (the Act), as well as an Explanatory Memorandum on the proposed amendments are due by 12 July 2011. Tariff Applications – 01 July 2011 There were no tariff applications at the time of publication. Tariff Amendments – 01 July 2011 There were no amendments at the time of publication. Trade Remedy Amendments – 01 July 2011 There were no amendments at the time of publication. Draft Rule Amendments – 01 July 2011 There were amendments at the time of publication. Rule Amendments – 01 July 2011 There were no rule amendments at the time of publication. Duty Calls’ Watch List Applications for Rebate Permits for the Importation of Natural Honey for the Calendar year 2011 are due by 15 August 2011. Comment on the initiation of the investigation into the alleged dumping of frozen meat of fowls (chickens) of the species Gallus Domesticus, whole bird and boneless cuts, classifiable under tariff subheadings 0207.12 and 0207.14.10, originating in or imported from Brazil, is due by 01 August 2011. Comment on the initiation of a sunset review of the antidumping duties on frozen meat of fowls (chickens) of the species Gallus Domesticus, cut in pieces with bone-in, classifiable under tariff subheading 0207.14.90, originating in or imported from the United States of America (USA), is due by 01 August 2011.