DUTY CALLS

Mussels Tariff On 03 October 2014 the South African Revenue Service (Sars) announced the amendment of tariff subheadings 1605.53.20 and 1605.53.90 – canned mussels (i) in airtight metal containers, or (ii) other – resulting in an increase in the “General” rate of customs duty from 5.5 c/kg to 25% ad valorem as recommended in International Trade Administration Commission of South Africa (Itac) Minute No. M02/2014. Do you know what an Itac Minute is? This year Itac has issued three Minutes, two of which were in respect of sugar. The publication of Minute No M03/2014 is now awaited. The tariff application, lodged by Itac was published on 18 July 2014. Paper/Paperboard Tariff Sars on 03 October 2014 announced an increase in the “General” rate of customs duty on paper and paperboard, classifiable under subheadings 4802.56.20 and 4802.56.90, from 5% ad valorem and 10% ad valorem. The reasoning for the tariff amendments is contained in the Itac Report No 482. This application, lodged by the Paper Manufacturers’ Association of Southern Africa (Pamsa), was published on 18 October 2013, or 350 days ago. Sugar Tariff On 25 September 2014 Sars announced an increase in the rates (all rates affected) of customs duty, classifiable under tariff subheadings 1701.12, 1701.13, 1701.14, 1701.91 and 1701.99, from 92,6c/kg to 142,5c/kg in accordance with the variable tariff formula (there is also one for wheat). The reasoning for tariff amendments is contained in Itac Minute M04/2014. Scrap Metal Export Control Itac is inviting comments by 17 October 2014 on the Price Preference System (PPS) for the exportation of scrap metal. Rebate Guidelines Itac on 03 October 2014 published “Guidelines pertaining to rebate of the duty on various rebate provisions in terms of Schedule 3, 4, 5 to the Customs and Excise Act”. In future all permit applications for the specified Rebate Items must be submitted in accordance with the Guidelines. If you want to check if the Guidelines apply to your company, simply send us an email to receive a copy of the Government Gazette notice. Stainless Steel Sinks dumping Itac announced the initiation of a Sunset Review of the antidumping duties on stainless steel sinks, classifiable under tariff subheading 7324.10, originating in or imported from the People’s Republic of China and Malaysia. The application, essentially for the extension of the duty, was lodged by Franke Kitchen Systems (Pty) Ltd. Comment is due by 27 October 2014. Customs Tariff 2015 Sars published its second amendment of the draft tariff phase-downs of the Customs Tariff 2015 (the Schedules to the Customs & Excise Act), this time also extending the due date for comment to 15 October 2014. The latest amendment is to provide for 8-digit tariff subheadings (South Africa specific) for Wagyu beef in Tariff Chapter 2. The proposed rate of customs duty is a formula duty.