GOVERNMENT OF PAKISTAN

MINISTRY OF FINANCE, REVENUE AND ECONOMIC  AFFAIRS

(REVENUE DIVISION)

 

NOTIFICATION

 

Islamabad, the 9th June, 1994

 

CUSTOMS

 

                S.R.O.507(I)/94.-  In exercise of the powers conferred by section 19 of the Customs Act, 1969 (IV of 1969), the Federal Government is pleased to direct that,-

 

                (a)            machinery, not manufactured locally, specified in column (3) of Table-I below, if imported by the industries specified in column (2) of that table for the purpose of initial installation, balancing, modernization, replacement and expansion shall be exempt from so much of customs-duty leviable under the First Schedule to the said Act, as is in excess of the rates specified in column (4) of the said table; and

 

                (b)            machinery, not manufactured locally, specified in column (3) of Table-II below, if imported by the industries specified in column (2) of that table for the purpose of balancing, modernization and replacement, shall be exempt from customs-duty leivable under the First Schedule to the said Act,  as is in excess of the rates specified in column (4) of the said table, subject to the following conditions, namely:-

 

                                (i)            the importer shall at the time of imporation, furnish an indemnity bond in the Form specified below to the extent of customs-duty exempted under this notification;

                                (ii)           the said indemnity bond shall be discharged on production of installation certificate, within a period of one year from the date of filing of bill of entry for home consumption relating to the machinery, from the Assistant Collector of Central Excise of the area to the effect that such machinery has been duly installed by the importer in the unit for which it was imported; and

                                (iii)          in the event of non-production of the certificate as aforesaid, the Collector of Customs shall enforce the indemnity bond and proceed to recover the customs-duty under the provisions of section 202 of the Customs Act, 1969, and the rules made thereunder:

 

                                Provided that in case of poultry industry the above conditions shall not apply.

 

Explanation.-  For the purposes of this notification the expression "not manufactured locally" shall mean the  goods which are

not included in the list of locally manufactured goods, specified in the General Order, issued by the Central Board of Revenue.

 

TABLE - I

S.No.       Type of industry                    Description of machinery                                             Rate of duty

(1)                           (2)                                           (3)                                                                           (4)

 

1.             Leather products              1.     Omitted.                                                                                  10%

                including leather               2.     Omitted.

                garments, shoes                3.     Flooding machine.

                and glove                         4.     Fusing interling machine.

                manufacturing                  5.     Leather cutting machine.

                industry.                           6.     Pressing/ironing machine.

                                                        7.     Upper splitting machine.

                                                        8.     Upper skiving machine.

                                                        9.     Heavy leather polishing machine.

                                                        10.   Perforating machine.

                                                        11.   Fur stitcher.

                                                        12.   Button making machine.

                                                        13.   Eyeletting machine.

                                                        14.   Stamping and marking machines.

                                                        15.   Heavy leather splitting machines.

                                                        16.   Stapling machine.

                                                        17.   Welding plant.

                                                        18.   Creasing machine.

                                                        19.   Injection moulding machines for soles and heals.

                                                        20.   Shoe Eyeleting machine.

                                                        21.   Shoe hydraulic vulcanizing pressess.

                                                        22.   Rubber mixing mill for rubber compounding.

                                                        23.   Shoe sole gluing machine mills.

24.     Omitted.

S.No.       Type of industry                    Description of machinery                                             Rate of duty

(1)                           (2)                                           (3)                                                                           (4)

 

2.             Poultry industry.                      1.             Omitted.                                                                  10%

                                                                2.             Feeding system.

                                                                3.             Egg grading machine.

                                                                4.             Auto battery case system.

 

3.             Sports goods industry.              1.             Radio frequency heating system.                              10%

                                                                2.             Copying milling machine.

                                                                3.             Magic-eye deco and spraying units.

                                                                4.             Remote control automatic handsaws.

                                                                5.             Hydraulic press.

                                                                6.             Multi-borer machine.

                                                                7.             Hydraulic stringing machine.   

                                                                8.             Fine splitting machine 12".

                                                                9.             Cutting dies.

                                                                10.           Hydraulic shaving machine.

                                                                11.           Shaping press.

                                                                12.           Magic-eye cutting press.

                                                                13.           Ironing model.

                                                                14.           Stitching machine.

                                                                15.           Perforating machine.

                                                                16.           Skiving machine.

                                                                17.           Hot stamping machine(hydraulic/pneumatic).

                                                                18.           Deflating machines for footaballs.

                                                                19.           Table Tennis ball manufacturing machines, consisting of:

 

                                                                                (i)            Dryer unit.

                                                                                (ii)           Electric motor.

                                                                                (iii)          Control panel.

                                                                                (iv)          Machine guard.

                                                                                (v)           Vacuum pump.

                                                                                (vi)          Grinding machine.

                                                                                (vii)         Barrel unit.

                                                                                (viii)        Clipping press.

                                                                                (ix)          Illing forming machines complete with feed unit.

                                                                                (x)           Cleaning and washing unit.

                                                                                (xi)          Ackrocool water cooling unit.

                                                                                (xii)         Radyne welding unit and cooler.

                                                                                (xiii)        Radyne control unit.

 

4.             Surgical goods and                    1.             Taping heads.                                                           10%

                cutlery industries.                     2.             Die Sinking machine.

                                                                3.             Ultra sonic plant.

                                                                4.             Scissors grinding and polishing machine.

                                                                5.             Omitted.

                                                                6.             Friction spindle presses/stamping presses/hydraulic cold dies,

                                                                                sinking presses, alongwith accessories.

                                                                7.             Spark erosion machines alongwith accessories.

                                                                8.             Surface grinders/tools and cutter grinder alongwith accessories.

                                                                9.             Electric/gas furnaces, vacuum, conveyor belt type plants.

                                                                10.           Hardness testing machine alongwith accessories.

                                                                11.           Precision Horizontal knee type milling machies.

                                                                12.           Sand blasting machine with accessories.

                                                                13.           Precision Horizontal Hand-Lever milling.

                                                                14.           Stamping and marking machine.

                                                                15.           Screw making and rivetting machine.

                                                                16.           Copying milling machine.

                                                                17.           Welding plant.

                                                                18.           CNC Vertical machining centre, parts and accessories thereof.

                                                                19.           CNC Turning Centre, parts and accessories thereof.

                                                                20.           Vibratory polishing machines, parts and accessories thereof,

                                                                                including media and compounds.

                                                                21.           Centrifugal Belt Grinding and Polishing Machines, parts and

                                                                                accessories thereof.

 

5.             Soft toy industry.                     1.             Filling and stuffing machines (8424.8900))                              10% ad val.

2.                    Testing equipment to test safety for children (9024.8000, 9027.8000)

TABLE - II

S.No.       Type of industry                    Description of machinery                                             Rate of duty

(1)                           (2)                                            (3)                                                                           (4)

 

1.             Tanning industry.             1.     Omitted.                                                                                  10%

                                                        2.     Omitted.

                                                        3.     Omitted.

                                                        4.     Sammying or setting out or sammying setting combined/drum setting

                                                                out (mechanical  or hydraulic, excluding offal setting machine).

                                                        5.     Omitted.

                                                        6.     Omitted.

                                                        7.     Togging dryer/tunnel dyer.

                                                        8.     Leather measuring machine (all types).

                                                        9.     Machine for spraying/padding curtain coating of leather (all types with

                                                                automatic spraying and drying).

                                                        10.   Omitted.

                                                        11.   Omited.

                                                        12.   Hydraulic press for ironing, printing and pressing of leather.

                                                        13.   Vacuum dryer (all types).

                                                        14.   Pasting unit (not less than 25 plates, complete with automatic

                                                                temperature and humidity control).

                                                        15.   Air blast dedusting machine (all types).

                                                        16.   Omitted.

                                                        17.   Steel or fibre glass or wooden drums for skin dyeing, lining and

                                                                tanning drums only.

                                                        18.   Machines for combing, carding and sheering of wool of skins only.

                                                        19.   Leather polishing machine.

                                                        20.   Sole leather rolling press.

                                                        21.   Clicking press.

 

2.             Onyx/marble industry.      1.     Onyx/marble cutting and polishing machine.                            10%

 

3.             Ginning industry.              1.     Pre-cleaning equipment.                                                           10%

                                                        2.     Linter cleaning equipment.

                                                        3.     Saws for sawgins.

 

4.             Sea food industry.             1.     Shrimps grading machine.                                                         10%

                                                        2.     Shrimps peeling machine.

                                                        3.     Devining and deheading machine.

                                                        4.     Shrimp butterfly making machine.

                                                        5.     Fish gutting machine.

                                                        6.     Fish bone separators.

                                                        7.     Filleting and nabbing machine.

                                                        8.     Fish bone band saws.

                                                        9.     Horizontal plate freezer.

                                                        10.   Air expansion valves/stroke.

                                                        11.   Low pressure float valves for control of liquid refrigerators.

                                                        12.   Solenoid valves.

                                                        13.   Back pressure operative valves.

                                                        14.   Thermostats (dial gauge).

                                                        15.   Remote sensing thermometer.

                                                        16.   Thermostatically controlled heading elements/tapes for cold room

                                                                doors of blast tunnels or sub-zero temperature cool room.

                                                        17.   Intermediate coolers.

                                                        18.   Gas purger.

                                                        19.   Drip proof motors.

                                                        20.   Processing hall sterillization system (ultraviolet lamp).

                                                        21.   Safety devices.

                                                        22.   Gas maks.

                                                        23.   Refrigerate leak detectors.

                                                        24.   Needle thermometers.

                                                        25.   Fish quality control equipment.

                                                        26.   Chlorinators.

                                                        27.   Filtration and water softening units.

                                                        28.   Compressors oil acidity.

                                                        29.   Chilled sea water (CSW) system.

                                                        30.   HD Polyethylene plastic fish boxes and insulated containers.

                                      

S.No.       Type of industry                    Description of machinery                                             Rate of duty

(1)                           (2)                                           (3)                                                                           (4)

 

5.             Sea food industry.                     Spares of machines specified in column (3), against S.No.4      10% ad val

                                                                in column (1).

 

 ( On appropriately stamped non-judicial paper )

 

 

INDEMNITY  BOND

 

 

                WHEREAS, the Federal Government has, by its decision contained in Notification No.S.R.O.________(I)/94, dated, the__________1994, and subject to the conditions given in the said Notification been pleased to direct that the machinery, as is not manufactued locally, imported for (mention the type of industry) shall be exempt from the customs-duty as is in excess of rates specified in the said Notification for initial installation, balancing, modernization, replacement and expansion as the case may be.

 

                AND WHEREAS M/s_____________________________having registered office at ____________________ have imported the machinery as is not manufactured locally in accordance with the conditions given in the aforesaid Notification for installation at________________________________________

 

                NOW, THEREFORE, in consideration of the release of machinery without recovery of the leviable customs duty the importers bind themselves to pay on demand to the Government of Pakistan the sum of Rs._________________being the customs duty leviable on the machinery if the importers fail to produce a certificate from the Assistant Collector of Customs and Central Excise within one year from the date of filing of bill of entry for home consumption relating to the machinery to the effect that the machinery has been installed at the said unit.

 

                The importers further agree and bind themselves  that the amount of duty covered by this Bond may be recovered as arrears of customs-duty under section 202 of the Customs Act, 1969 (IV of 1969).

 

                The Bond shall become void when the aforesaid certificate has been produced and the Collector of Customs is satisfied that the importers have fulfilled all the conditions of this Bond and the aforesaid Notification.

               

                Signed by importers on this ________________________day of_______________19____________.

                                                               

                                                                                                                                _____________________________

                                                                                                                                Managing Director

                                                                                                                                ( Name and permanent address)

 

Witness_____________________________________________

                (signature, name, designation and full address)

 

Witness_____________________________________________

                (signature, name, designation and full address)

 

 

Note:       The bond shall be witnessed by a Government servant in BPS-16 or above, and authenticated by an Oath Commissioner.                       

                Notary Public or an officer of a Scheduled Bank.

 

(C.No.6(17)/93-CB)

                                                                                                                                                RIAZ HUSAIN NAQVI

                                                                                                                                                 Additional Secretary

As amended

S.R.O.605(I)/94,      dated        -       13.06.1994

S.R.O.780(I)/94       dated        -       11.08.1994                                                                                                                                                     

S.R.O.497(I)/95,      dated       -       14.06.1995                                                                                                                                     

S.R.O.550(I)/95,      dated        -       28.06.1994

S.R.O.412(I)/96,      dated        -       13.06.1996

S.R.O.211(I)/97,      dated        -       28.03.1997

S.R.O.271(I)/97,      dated        -       11.04.1997

S.R.O.697(I)/99,      dated        -       12.06.1999