On 25 August the South African Revenue Service (Sars) announced the substitution of tariff subheading 3301.90.20 ‘Extracted oleoresins obtained from extraction of opium’ and tariff subheading 3301.90.30 ‘Extracted oleoresins obtained from extraction of liquorice’ for which the ‘general’ and Mercosur rate of customs duty is 12% ad valorem.
The insertion of tariff subheading 0405.20.10 ‘Dairy spreads - with a milk fat content of 39 per cent or more but less than 75 per cent’, for which the general, EU, EFTA and Mercosur is 500c/kg with a maximum of 37%, whilst for SADC it is free. The insertion of tariff subheading 0405.20.90 ‘Dairy spreads: Other’, for which all rates of duty are 500c/kg with a maximum of 79%, whilst SADC is free.
The tariff amendments serve to give effect to technical corrections to the Southern African Customs Union (Sacu) tariff structure as well as to adjust the customs duty structure of the World Trade Organisation (WTO) bound rate.
The reasoning is in the International Trade Administration Commission of South Africa (Itac) Report 554.