Latest news with #HarmonisedSystem
Business Recorder
22-05-2025
- Business
- Business Recorder
Experts for imposing FED on alcoholic beverages
ISLAMABAD: The government can easily generate handsome amount of revenue to the tune of billions by imposing federal excise duty (FED) on alcoholic beverages in the upcoming budget (2025-26). According to tax experts consulted by Business Recorder, the tax structure surrounding alcoholic beverages, particularly beer, has been a largely neglected topic despite its substantial potential for generating significant revenue for the government. This is especially pertinent as the government is approaching the upcoming budget for the fiscal year 2025-26, where there is a pressing need for innovative revenue generation strategies. They explained that the beer is classified under the Harmonised System (HS) code 22.03. It is currently taxed under the standard rate of value added tax (VAT) mode. This classification means that beer is not subject to taxation based on the retail price, unlike many other consumer products, which are taxed on their Maximum Retail Price (MRP). This unique approach places beer in a different category compared to aerated waters and various other beverages, leading to potential revenue losses for the government. Under the Pakistan Customs Tariff (PCT) tariff, 90 percent customs duty is applicable on the import of beer/wine. An intriguing aspect of the current tax environment is the absence of a FED on the sale of alcoholic beverages, including beer. The reasons for this omission are unclear and warrant further investigation, given the significant revenue that could be derived from such a tax. Currently, due to pressing need of generating higher tax revenue target, the Federal Board of Revenue (FBR) appears to even focusing on levying more taxes on different sectors including packaged food, dairy products, packaged milk, non-alcoholic beverages, fruit juices, aerated waters, and energy drinks as areas to enhance revenue collection for the fiscal year 2025-26. This strategy may however, overlooked the lucrative opportunity that the taxation of alcoholic beverages presents. Copyright Business Recorder, 2025
Time of India
19-05-2025
- Business
- Time of India
DGFT updates import policy to match customs tariff changes in budget 2025
The Directorate General of Foreign Trade (DGFT), under the commerce ministry, on Monday notified changes to align India's import policy schedule with modifications made in the Customs Tariff through Budget 2025, particularly in the segment of precious metals. The move aims to ensure consistency between customs duty structures and regulatory frameworks for imports, PTI news reported. As part of the Budget, new Harmonised System (HS) codes were introduced for several key products, including gold dore, silver dore, and platinum with a purity of at least 99 per cent. These changes enhance the tracking and classification of semi-processed metal forms, which are sometimes used to circumvent higher import duties applicable to fully refined metals. A notable complexity addressed in the update involves platinum alloys. According to the rules set by the World Customs Organisation (WCO), any product containing as little as 1 per cent platinum could be classified as a platinum alloy. Global Trade Research Initiative (GTRI) pointed out that some importers exploited this provision to import gold items—containing up to 99 per cent gold—from Dubai, falsely labelling them as platinum alloy to benefit from lower import duties under the India-UAE free trade agreement (FTA). by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like These Are The Most Beautiful Women In The World Undo "To block this misuse, the government in the Budget introduced a new HS code specifically for platinum containing 99 per cent or more pure platinum," GTRI said. Under the updated import policy, only this high-purity platinum category is eligible for preferential duty benefits under the UAE trade pact. Imports with other platinum compositions now face restrictions, effectively shutting down the misuse of the FTA by routing gold into India under the guise of platinum. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
The Hindu
12-05-2025
- Business
- The Hindu
Amendment of roasted arecanut import policy helped increasing the price of low-grade arecanut: CAMPCO
The Directorate General of Foreign Trade (DGFT), amending the import policy on roasted arecanut through a notification last month, has resulted in the prices of low-grade variety 'chali' arecanut shooting up in the domestic market, according to the Central Arecanut and Cocoa Marketing and Processing Cooperative (CAMPCO) Ltd. Since the DGFT notification, the prices of low-grade arecanut varieties such as the 'kari gotu' have increased by 50% (from ₹100 to ₹150 per kg), 'pathora' by 16.66% (from ₹300 to ₹ 350 per kg) and 'ulli' by 38.88% (from ₹180 to ₹250 per kg), A. Kishore Kumar Kodgi, president, CAMPCO Ltd, Mangaluru, told The Hindu. The revised policy has recategorised roasted arecanut to 'prohibited' from 'free'. In its notification on April 2, the DGFT brought it from under the Indian Trade Classification (ITC) Harmonised System (HS) Code 08028090 and 20081920, to a single Code 08028090 which covered all kinds of processed arecanut, including roasted arecanut. Since there is a uniform HS code for the import of arecanuts, the import of low-grade arecanuts has become costlier, Mr. Kodgi said. Upward trend continues The CAMPCO president said that the domestic arecanut market has maintained an upward trend since the beginning of this year, owing to the drop in production during the harvest season between December 2024 and March 2025. Mr. Kodgi said that farmers have reported crop loss ranging between 60% and 70%. He said that if the price of 'hosa adike' ('chali' harvested in the current season) went up by 31.4%, from ₹350 a kg in January to ₹460 a kg on May 12, the price of 'single chol' (harvested a year ago and stocked) increased by 9.89% from ₹455 per kg to 500 a k.g. on Monday. 'Expecting that prices will go up further, the farmers are not releasing the produce into the market. Hence, there is stability in the market,' the president said. Mahesh Puchchappady, president of the All India Areca Growers' Association, Puttur, said that the drop in production this year's harvest season is attributed to climate change. As this is the fruiting season, any extreme change in the climate during the next fortnight, before the onset of monsoon, will be crucial in deciding the crop production for the next harvesting season. The next season's production will also depend upon the severity of 'kole roga' (fruit rot disease) in the plantations in this monsoon, he added.
Zawya
24-03-2025
- Business
- Zawya
Webb Valuation: Transforming African Customs and Protecting Revenue (By Arnaud Bouraïma)
By Arnaud Bouraïma, Chief Commercial Officer at Webb Fontaine ( As global trade continues to expand, customs administrations all over the world face increasing challenges in collecting accurate revenue and minimising fraud. In Africa, these challenges are particularly acute. Studies show that giving customs inspectors better information can improve fraud detection by 21.7 percentage points and increase tax collection by 5.2 percentage points ( Webb Fontaine, a leading provider of trade facilitation solutions, is tackling these issues with advanced technology powered by AI. Webb Valuation is one of the company's key tools. It helps customs authorities in Africa identify and prevent fraud. The tool uses AI to boost efficiency, reduce fraud, and secure vital revenues. Webb Valuation also incorporates data analytics. By analysing patterns and anomalies, potentially fraudulent activities, such as undervaluation or misclassification, can be flagged, allowing authorities to take preventive measures. Improving Accuracy and Reducing Fraud Customs clearance can be slow and complicated. It involves many steps like document verification, product classification, risk assessment, and compliance checks. These tasks are intricate and time-consuming, causing delays. Such delays impact trade efficiency, disrupt supply chains, and increase costs for customs authorities and traders. Webb Valuation simplifies the process. It automates tasks like classifying products, assessing risks, and verifying prices. This significantly reduces customs processing time and facilitates the faster clearance of goods, benefiting customs officials and traders. For example, in a West African country, the Webb Valuation solution has contributed to an increase in customs revenues of over 20%, thus promoting economic growth. This is just one of many milestones. Clearance times are reduced, monitoring is improved, and communication between customs officials and traders is smoother. Automated query management and real-time checks make the port a model of efficient customs operations in West Africa. Webb Valuation also enhances the accuracy of duty and tax computations. This secures revenue for customs authorities and promotes fair trade. AI-driven tools suggest monetary values and Harmonised System (HS) codes for goods. They identify high-risk shipments for further scrutiny. Valuation and classification reports are automatically sent to the Customs Management System. Consistency checkpoints ensure declared values align with Webb Valuation reports. Any discrepancies are then flagged or rejected. Boosting Revenue Collection Customs authorities often struggle to collect the right number of duties and taxes on imported goods. This happens because it's hard to classify products accurately, and sometimes importers might undervalue and/or misdeclare their items. These challenges can lead to lost revenue and inaccurate tax collection. Webb Valuation helps by using AI to suggest the right values and HS codes and flag high-risk shipments for more inspection. The system has over 14 checkpoints to ensure declared values match market prices, reducing revenue loss. Countries using Webb Valuation have seen a significant increase in customs duties and tax collection by up to 20%. By improving transparency and ensuring fair values, the system helps promote economic growth and stability. Empowering Customs Authorities with Training While AI is crucial for Webb Valuation, human expertise makes it even more effective. Customs personnel need training to work with AI systems. Webb Fontaine focuses on training customs officials thoroughly so they can use AI insights to make better decisions. The company's experts work closely with customs administrations, data scientists, and trade analysts to keep improving the system. They also partner with government agencies, trade operators, and international organisations to ensure Webb Valuation fits well into national customs frameworks. Continuous feedback and performance monitoring help the system adapt to changing trade rules and market conditions. Transforming Africa's Trade: How Webb Valuation Drives Imports and Exports As customs processes digitise with advanced technologies like Webb Valuation, they will become more reliable and efficient. Fraud, misdeclarations, and undervaluation will be easier to detect. This will lead to more accurate tax and duty collection, enhancing trade competitiveness and safety and boosting revenue collection. Since no two customs administrations work the same way, Webb Fontaine collaborates with stakeholders to create solutions tailored to each country's specific needs. Each entity is unique, so tools must be developed and refined. This ensures they meet various needs and regulatory requirements. Webb Valuation will transform Africa's import and export landscape by streamlining customs procedures, reducing delays, and cutting transaction costs. By ensuring accurate valuation and classification of goods, it will also boost revenue collection for African nations, supporting economic growth. As Africa's ports continue to expand, the need for efficient trade facilitation is more crucial than ever. Webb Valuation is not just a technology reshaping Africa's customs infrastructure; it's the game-changer that simplifies complexities, equips stakeholders with the essential tools to thrive in the dynamic world of international trade—ensuring a fairer, more transparent, and more profitable future. Distributed by APO Group on behalf of Webb Fontaine. About Webb Fontaine: Established in 2002 and headquartered in Dubai, UAE, Webb Fontaine is a leading technology company specializing in Artificial Intelligence-driven solutions for global trade. With offices spanning Europe, the Middle East, Asia, and Africa, the company leverages its extensive expertise to provide governments and communities with innovative solutions that streamline trade processes and enhance efficiency. Webb Fontaine is renowned for its pioneering technologies that help reduce trade fraud, improve customs revenue, and expedite clearance times, supporting smoother and more profitable trading ecosystems. The company prides itself on a diverse workforce of over 700 professionals from 41 nationalities, emphasizing a culture of excellence, innovation, and integrity. The firm's commitment to research and development is unmatched, owning the largest R&D centres in the trade sector, which are pivotal in advancing trade technology and practices. Webb Fontaine's accolades include numerous international awards and certifications, underscoring its dedication to quality and leadership in trade facilitation.
