Importers could be eligible for refunds Alan Peat IMPORTERS SHOULD note that the duties on certain product categories from member states of the European Union (EU) have been reduced with retrospective effect to January 1 this year, forwarders Safcor Panalpina told FTW. The most recent of these relates to duty on wheat and meslin flour, which has been reduced from 10% to free with retrospective effect to January 1. This, along with the other products that share the retrospective downward adjustment, means that those who have imported these products in the past six months are eligible for refunds of the duty paid. “These reductions are not merely random adjustments to the tariff,” FTW was told, “but are in fact made in terms of the trade agreement between the EU and SA. “The agreement’s provisions for the phasing out of duties on European products imported into SA runs over different periods.” This means that, for many products, the phase down period runs for up to nine years from 2003 - with the final reduction to “free” for certain categories being achieved only in January 2012. The agreement also specifies the annual reduction during each year of the relative phasing out period. “It is in terms of these requirements that the amendments are being made,” Safcor Panalpina told FTW, “and it is also why so many of the adjustments are made with retroactive effect.” The forwarder suggests that importers buying qualifying goods from European vendors should ensure that the origin of the merchandise is included in their purchase conditions and that the provision of the relevant movement certificate (EUR.1) by the seller is made a condition of the sale.
