Group Member:

Muhammad Umair
Umair Ali
 The Reliance Tech Company and have imported lead
Acid batteries by declaring description, PCT heading
and value in Goods Declaration (GD) at the Dry Port.
 They have declared the imported battries as “
Rechargeable Battries for general purpose” having
brand name Delkor with the different model by
declaring PCT 8507.2090 chargeable to 20% Custom
Duty and the imports related levies.
 The consignment has been examined has been by
Custom examiner the goods on 16/10/2016.
 Delkor Calcium Battery Model 95E41 100Amp 12V
(26.75kg each) Qty=50
 Delkor Calcium Battery Model 115F51L 120Amp 12V (34
kg each) Qty=800
 Delkor Calcium Battery Model 165G51L 160Amp 12V
(42kg each) Qty=448
 Delkor Calcium Battery Model 210H52L 200Amp 12V
(54 kg each) Qty=432
 Delkor Calcium Battery Model 210H52R 200Amp 12V
(54.70 kg each) Qty=264
(Total Quantity: 1994-Nos/85123kg)
 Principal appraiser found that the instructions printed
on Batteries clearly mentioned that the Batteries are
used not for the UPS but only for “Starting Engines”
 The information on the website of M/s Delkor also
confirms that the said battries models are designed for
use in Japanese vehicles and are such automotive
batteries…
 Therefore, the said batteries are correctly classified
under PCT heading 8507.1010 attracting 35% CD along
with 15% additional CD leviable under SRO
693(I)2006 dated 01/07/2006.
 The Automotive batteries falling under PCT head
8507.1010 are assessable @ US$ 2.09 kg in terms of
valuation Ruling N0732/2015.
 He therefore stated that the same are not correctly
classified under PCT 8507.2090.
 He is of the view that the concerned Custom Examiner
didn’t bother to ascertain the actual
description/Classification of batteries as provided by
the manufacture both on batteries and its website
which lead to Appraiser’s Assessment on the incorrect
description / Classification on lower value resulting in
short of afore-stated duty/taxes.
 You intended to pay duty and taxes amounting to Rs
8,677,67/- assessed value @$1.89/kg for the
consignment whereas in the light of PCT Head
pointed out by the principal Appraiser, i.e.8507.1010
and at value @ of US$2.09/kg,
 the amount of duty and taxes Chargeable on the
consignment Work Out to Rs 16,929,939. Thus the
differential amount of Rs 8,252,262/- as duty/taxes will
be paid by you if you accept Principal Appraiser’s
Opinion.
 The Custom examiner has mentioned that the stated
description of rechargeable Sealed Lead Acid Calcium
Batteries, Brand Delkor, made in Korea based on your
declaration in the goods description(GD) in WeBOC
for clearance with a complete description i.e.
 Item Description, Brand name, Item Type, Model
Numbers, Amperes, Weight, Value, Origen and
Quantity and uploaded Supporting Documents are
according to the provision of Customs Act 1969 and
other laws and procedures are in vogue.
 The declaration was found correct by the Custom
Appraiser of the Custom Collectorate who has assessed
the consignment on declared PCT i.e. 8507.2090 in
accordance with valuation ruling N0.723/2015 at US $
1.89/Kg on the basis of model, size and nature of goods
and scrutiny of G.D and attached papers.
 The entries with regard to model, size and nature of
batteries have been tailed with the examination report
and no discrepancy of any kind has been discovered.
 Catalogue and Bill of lading also confirm that these are
not the Automotive Batteries.
 Duly attested Letters of Confirmation from embassy of
the Republican of Korea Islamabad, Pakistan of
Consigner JW SUN CO. LTD KOREA and
manufacturer DELKOR.
 The description on the brochure depict as follows:
 Charge this battery only at well Ventilated places, and
avoid shorts or sparks
 Refer to the instruction manual of vehicle or battery
before using BOOSTER CABLE.
 These sealed Calcium Batteries are very enormous in
size and weights, so it is not possible to use or install
these batteries in cars, jeep, 5ton capacity vehicle and
in motorcycles coverable under PCT head 8507.1010.
Our product fall under PCT HAD 8507.2090 not in 8507.1010 because these
are calcium acid Batteries