Fabric rebate item
amendment
On 16 October 2015 the South
African Revenue Service (Sars)
announced the amendment
of two rebate items for
textile fabrics used in the
manufacture of upholstered
furniture, for which the extent
of the rebate of the ordinary
customs duty remains – full
duty. The application, lodged
by The Textile Federation of
South Africa (Texfed), was
initiated on 20 February 2015
and took 238 days or nearly 8
months to complete.
The application proposed
the amendment of rebate
items 320.01/5407.61/01.06,
320.01/5903.20.90/01.08,
and 320.01/5907.00.90/01.08,
but the tariff amendment
does not reference rebate
item 320.01/5407.61/01.06.
According to the application,
Texfed has major difficulties
with the wording, scope
and coverage of the three
qualifying fabrics under the
rebate provision in the form
that they were introduced
as there are fabrics that are
manufactured locally that
meet the description of the
qualifying fabrics in the rebate
provision.
The amendments relate
to the removal of the words
‘impregnated, coated,
covered or laminated with
polyurethane’ in rebate item
320.01/5903.20.90/01.08.
They are replaced with the
words ‘commonly known as
imitation leather, laminated
with polyurethane’, and
the words ‘otherwise
impregnated, coated or
covered’ are replaced with the
words ‘commonly known as
imitation leather backed with
bonded leather’.
Rebate item
320.01/5903.20.90/01.08
reads ‘Other textile fabrics
impregnated, coated,
covered or laminated with
polyurethane, in such
quantities, at such times and
subject to such conditions
as the International Trade
Administration Commission
may allow by specific permit
for use in the manufacture
of upholstered furniture
classifiable under tariff
heading 94.01’.
Rebate item
320.01/5907.00.90/01.08
reads ‘Textile fabrics
otherwise impregnated,
coated or covered, in such
quantities, at such times and
subject to such conditions
as the International Trade
Administration Commission
may allow by specific permit
for use in the manufacture
of upholstered furniture
classifiable under tariff
heading 94.01’.
Trade Facilitation
Agreement
The World Trade Organisation
(WTO) on 13 October 2015
informed its members at the
Preparatory Committee on
Trade Facilitation (PCTF)’
final meeting for 2015 that
the number of ratifications
for the new Trade Facilitation
Agreement (TFA) had
increased sharply since the
middle of 2015. Since the
PCTF last met on 11 June,
the number of acceptance
instruments received has
tripled. Taking into account
the fact that one of the
ratifications — that of the
European Union — covers 28
members, the total number
of ratifications received now
covers 49 WTO members,
or around 45% of the total
needed to bring the TFA
into force. Two-thirds of the
WTO’s members will need to
ratify the TFA in order for the
agreement to take legal effect.
In addition to the EU, Hong
Kong, China, Singapore, the
United States of America,
Mauritius, Malaysia, Japan,
Australia, Botswana, Trinidad
and Tobago, South Korea,
Nicaragua, Niger, Belize,
Switzerland, Chinese Taipei,
China, Liechtenstein, Lao
PDR, New Zealand, Thailand
and Togo have ratified the
TFA.
DUTY CALLS
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