Delhi Customs Valuation Study – Dubious?
Please refer to the story in yesterday's DDT Import of Roller Drawer Sliders (Telescopic/Ball Bearing Type) – Delhi Customs valuation study
An alert Netizen wrote to us:-
As regards, the Delhi SVB's proposed assessable values for import of telescopic drawer channels based on their study, it appears that they have adopted a flat per inch rate of Rs . 2.95 per set across the spectrum for different lengths. As per the study if the MRP itself varies from Rs . 3/- to Rs . 8/- and as we are aware that MRP is an all inclusive price i.e. it includes even the customs duty paid by the importer, in addition to VAT, administration and distribution expenses, distributor and retailers margins, transport and insurance and last but not the least profit margin of the importer. If all these cost elements are taken into consideration and loaded to the proposed AVs then the MRP will be sky high. On the face of it, the proposed MRPs do not make any sense and the so called study is a farce.
At the end of all this, my fundamental question is can the Customs Authorities at the Port intervene in valuation of an importer who is not a related party and impose these arbitrary values, based on this dubious study?
A very valid question indeed! Any answers?