Customs – Harmonised System

December 22, 2011

Every few years the harmonised system of tariff is reviewed and changes made.

In addition to changes to the South African Harmonised Customs and Excise Tariff to be introduced on 01 January 2012 (220 sets of amendments), the following amendments to the “Ordinary Customs Duty” i.e., Schedule No.1 Part 1 will also occur 

• The phase-down of the rate of customs duty in terms of the Free Trade Agreement (FTA) with the European Union (EU) – the Trade, Development, and Cooperation Agreement (TDCA);
• The phase-down of the rate of customs duty in terms of the FTA with the European Union Free Trade Area (EFTA);
• The phase-down of the rate of customs duty in terms of the Motor Industry Development Programme (MIDP);
• Reduction in the rate of customs duty on paper and paperboard under tariff chapter 48;
• Reduction in the rate of customs duty on aluminium products classifiable under tariff headings 76.06 and 76.07;
• Reduction in the general rate of customs duty on organic surface-active agents and primary plastic polymers; and
• Technical amendments including requests for the creation of additional tariff subheadings for statistical purposes from industry and other government agencies.   

Notable changes in the tariff relevan to clients a noted are: 
1.     Change in tariff subheading for Petroleum products. The subheading will now be TH 2710.12.  as opposed to TH 2710.11.

2.     Reduction in in the EU rate for various products to duty free. These include TH 2106.90.90 other food preparations.

3.     Also includes plastic tubes and sheets. TH 3917, TH 3919, TH 3920, TH 3921. 

4.   The EU rate on Titanium dioxide will now be duty free.

Click on the below link for the actual amendments. If you know your tariff code and want to check the possible reduction please use the attached document. Changes are reflected from page 23 onwards.

Link -  CUSTOMS AND EXCISE ACT, 1964. AMENDMENT OF SCHEDULE NO. 1 (NO.1/1/1432)

For more information on the changes specific to your business area please contact Vishnu Munien. Mail address vmunien@turnersshipping.co.za   

Source: BDP GNS Premium Partner, Turners Shipping