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Dear Members,
We forward herewith a copy of Customs Notification No.131/2002-Customs dated Nov 28, which pertain to duty free import scheme available to various leather product segments.
By virtue of this notification the following amendments have been made in the scheme.
1. "Polishes, Creams and shoe finishes in any form" has been included in the list of permitted inputs under the 1% duty free import scheme.
2. Customs Tariff heading No.43 which pertains to "Fur Skins & Artificial fur" has been included under the Lining & Interlining for duty free import by manufacturer-exporters of leather garments.
3. The 1% duty free import facility has been extended to leather Harness & Saddlery goods also besides the other product like leather footwear & footwear components, leather gloves, travel goods or hand bags and similar container all made of leather.
Member-exporters may please note the above amendments and avail the duty free facility accordingly.
While on the subject, we would like to inform our members that Council had been constantly representing to the Department of Revenue to extend 1% duty free facility to all leather products segment including small leather goods such as wallets, purses, key cases etc. and also to non-leather footwear. It was pleaded to notify all essential inputs such as lining & interlining, in-soles / midsoles, toe caps / toe puffs, synthetic foam, ribs as well as packaging boxes of all materials under the list of permitted inputs.
Follow through meetings were also held with senior officials in the Department of Revenue, reiterating our plea to consider all our suggestions to make the duty free import scheme more purposeful and useful to the exporters. However in the recent amendments mentioned above, only a few suggestions have been considered and all other were left out.
In the circumstances, the Council again took-up the matter strongly with the senior officials of the Department of Revenue as well as Department of Commerce, as there is unjustifiably a wide gap between what was agreed upon to notify and what is not given effect to in the recent amendment. The Council again sent the list of essential inputs, as stated above to notify the same in the permitted list of inputs and also requested to extend the 1% duty free import scheme to small leather goods which are not still covered in the scheme.
The Council is seriously following up these matters and any further developments will be communicated to you.
With best wishes,
Yours sincerely,
S. Audiseshiah
Executive Director
Dec 5, 2002
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