What is duty? DGFT clarifies
The DGFT has received representations asking for clarifications on the meaning of the duty as it appears in the policy and procedures in the following:-
where import of Agricultural Products listed in Chapter 1 to 24 of ITC (HS) Classification of Export and Import items except the following were allowed:
(i) Garlic, Peas and all other Vegetables with a Duty of more than 30% under Chapter 7 of ITC (HS) Classification of Export and Import items.
(ii) Coconut, Areca Nut, Oranges, Lemon, Fresh Grapes, Apple and Pears and all other fruits with a Duty of more than 30% under Chapter 8 of ITC (HS) Classification of Export and Import items.
(iii) All spices with a Duty of more than 30% under Chapter 9 of ITC (HS) Classification of Export and Import items (except Cloves) in addition to other items listed in the Para .
DGFT now clarifies that duty in these cases means only the ‘ Basic Customs Duty'
POLICY CIRCULAR NO. ,Dated : July 20, 2006