Lahore: Director General (Customs Valuation) Irfan Wahid said on Monday that ensuring fair valuation of imported goods was the responsibility of Customs, and fairness, transparency and impartiality were the key principles in valuation rulings.
The existing valuation system was being improved and modernized so that valuation rulings could be linked with international prices, discretionary elements could be minimized, and greater price stability can be provided to businesses. He was speaking to business community during his visit to the Lahore Chamber of Commerce and Industry (LCCI).
LCCI President Faheem Ur Rehman Saigol welcomed him. Senior Vice President Tanveer Ahmed Sheikh, Executive Committee members Karamat Ali Awan, Firdous Nisar and Amir Ali, Director Valuation Lahore Saima Aftab, Additional Director Customs Lahore Palwasha Syed, along with other LCCI office-bearers and members, were also present.
Welcoming Director General Customs Valuation Irfan Wahid, LCCI President Faheem Ur Rehman Saigol thanked him for visiting the Lahore Chamber to listen to the business community’s concerns regarding customs valuation. He said the Directorate General of Customs Valuation plays an important role in the country’s trade, imports and tax system. Accurate, fair and transparent customs valuation not only protects national revenue but also promotes legal trade.
Faheem Ur Rehman Saigol said that LCCI represents more than 48, 000 members from the trade, industry and services sectors and plays an effective role in connecting government institutions with the business community. He expressed concerns over Valuation Ruling No. 2105/2026 concerning mobile
phone accessories. He said that customs value of some mobile phone accessories had increased by more than 100 percent compared with the previous Valuation Ruling No. 1887/2024. This has significantly increased customs duties and other taxes and has badly affected the business costs of importers.
He said that prices of mobile phone accessories were declining in international markets. Therefore, an increase of more than 100 percent in customs valuation does not match the current global market situation. If an increase was considered necessary, it should be kept at a reasonable and realistic level. The business community believes that the increase should not be more than 20 percent.
The LCCI President further said that some mobile accessory brands included in the new ruling are also being manufactured locally. He requested that locally manufactured products and brands should be properly identified and necessary changes should be made in the ruling. He also requested a fresh review of Valuation Ruling No. 2105/2026 and urged that new values should be determined on the basis of actual import documents, international market prices and consultation with relevant importers.
Faheem Ur Rehman Saigol also raised the issue of Valuation Ruling No. 2094/2026 concerning perfumes, cosmetics, deodorants and related products. He said that, according to the business community, customs values of a large number of well-known international brands had been fixed considerably higher than prevailing international market prices and actual import prices. As a result, the cost of regular imports had increased significantly and the import of some products was no longer commercially viable.
He said the situation could affect legal and documented trade, increase product prices in the market and create opportunities for illegal trade. He called for a review of Valuation Ruling No. 2094/2026 and requested that the matter be referred to the relevant forum for fresh valuation. He also stressed that chambers of commerce, relevant trade associations, authorized distributors, importers and other stakeholders should be given a full opportunity to present their views and documentary evidence.
Speaking about the valuation of perfumes and cosmetics, Irfan Wahid said that the matter had already been reviewed and a number of review applications had been filed. He said that many people had also participated in the hearings and presented their concerns. Most of the points raised by the LCCI President were already known to the authorities, and a decision on the matter would now be taken.
He said that local industry and importers may have their own interests and, at times, these interests may conflict. However, the basic principles in determining values should be fairness and impartiality. The Directorate General and officers issuing valuation rulings always try to ensure that the values determined are fair.
He said that if there was any issue or mistake in a valuation ruling, businesses have the right to raise the matter through the review process. A further appeal mechanism was also available. He said that fairness and reasonable valuation would remain the main priority in existing and future valuation rulings.
Irfan Wahid said that around 50 items were currently being valued on the basis of international publications and global market prices, and efforts were being made to increase this number. He said that this would help reduce discretion, uncertainty and unexpected changes in valuation. He said that international prices were mostly available for raw materials and basic commodities, while direct international prices were not always available for finished products or products with different specifications. Therefore, research reports, market analysis and other studies were needed to ensure that valuations were not only fair but also reflect actual market conditions.
Regarding mobile accessories, Irfan Wahid said the issue had also been discussed in the pre-meeting held before the main session. He said the values of some items had been reduced while the values of others remained unchanged. However, the main concern of the business community was the way different brands had been placed in different categories.
He said that relevant parties had also filed review applications and a hearing on the matter would be held next week. He said that efforts would be made to conduct the hearing on mobile accessories online so that the business community could directly present its concerns and complaints to the authorities and receive appropriate responses.
Irfan Wahid said that valuation rulings should be reviewed regularly and updated in a timely manner. He added that international databases were also being used for finished products to compare the transaction values declared by importers and assess the valuation rulings and areas where further improvement may be required.
